Advice On Credit Card Debt Settlement
It is estimated that the average American household has over $10,000 in combined monthly credit card debt and that most people only pay the minimum payments due on those credit cards. Credit card companies love it when you only pay the minimum because on any average card with more than $2,000 charged on it that could take almost 30 years to pay off with minimum payments.
Meanwhile the credit card company or bank is raking in your interest payments and service charges every month. Here is a working example of how credit card companies think. I have a credit card to a local location of a national home improvement store that I pay minimums on every month. My wife has had the same Mastercard for years that we pay off in full each and every month. I have had my credit limit double in the last 3 years on my home improvement card and my wife has never had her credit limit raised, not once. They love minimum payments.
But some people get in over their heads with credit cards and they need some type of credit card debt settlement in order to get out from under the heavy debt. You can negotiate a credit card debt settlement agreement with your bank or credit card company on your own and there isn't anything anyone else can do that is different so do your own talking and save yourself the fees of these debt relief services people. You don't need them so don't bother.
What You Can Expect
A credit card debt settlement is based on two things: the balance you owe and the interest you pay. If you have been in need of credit card debt settlement for a while and you have been about ready to default on a card then you have nothing to lose so you can tell the bank or the credit card company the truth.
A credit card debt settlement negotiation is as simple as this: the bank wants their money and they would like to avoid having to take you to court so all you have to do is ask them what they want to be happy. If the credit card debt settlement is bad enough then you can consider the card gone and just start negotiating on the amount owed and anything else. Just remember that if you make an arrangement with a creditor and then you do not keep your end of it then you are in trouble.
Banks decide on the interest they charge you and usually in a credit card debt settlement negotiation the first thing you can do is ask for the amount of interest to be lowered. The creditor may hesitate but if you have already promised to pay the principle then anything they get after that is all profit so they will work with you on interest. You just need to ask the questions in order to get the answers.
