Financial troubles can touch every part of your life, making day-to-day responsibilities hard to handle. When you are ready to find a solution, it can be difficult to figure out how to get help with credit card debt.
To find a fix for your debt problem, start with these steps:
Determine What You Owe
Gather your creditor statements and total all your balances and monthly payments. This gives you a clear picture of what you owe and what you need to pay each month on your credit card balances.
Balance Your Budget
Update a monthly budget with your current income, credit card payments and other monthly expenses. Review all your expenses with the goal of freeing up income to pay back your debt as quickly as possible. This may also mean finding ways to increase income to make your budget work.
Negotiate With Creditors
It may be possible to work with your creditors directly. Not all creditors can offer special repayment options, or when they do, individual creditor plans can be temporary. But you may qualify for their hardship plans, which can help decrease interest and fees for a period of time.
Understand Debt Settlement and Bankruptcy
If you are unable to repay your debt in full, debt settlement and bankruptcy may be options. Before you take these steps, it’s important to understand the negative credit reporting and tax implications these options can include.
Ask for Help
Nonprofit credit counseling can help you clarify your situation and develop a clear plan to help you regain control of your finances. Take Charge America offers free credit counseling, a crucial first step toward financial freedom.
A certified credit counselor will work with you to develop a clear picture of your debt, a detailed monthly budget and an action plan to resolve your debt, which may include participating in a debt management plan.