It is possible to save thousands of dollars in credit card bills by just a little planning and foresight. You will have to adopt radical cost saving measures to save these hard earned dollars from going in the stomachs of fat bank CEO’s.
First thing you need to find out how much interest are you paying to your credit card company. If you are paying anything more than 12% for your VISA or Mastercard, then you are making a big mistake and you really need to stop using that card. There are many banks that charge in excess of 13% of interest that can go up till a whopping 30%. You will have to look how much your bank is charging. An ideal amount to pay to any bank would be between 9% to a maximum of 12%. Anything above this is your foolishness. Here you can easily save up to 500 dollars per year. Look for a low interest credit card from which you can borrow and pay to your high interest credit cards. This way you will avoid paying for high interest rates. Use saving to pay up the consumer debt you have stacked up. Banks offer only a 1% pay off for your saved up cash which is better than the above 10% interest you are paying your bank for. Go for a home equity loan if you have to. Home equity loans hold only interest rates of 6% to 7%. The added bonus of home equity loans is that it is possible to deduct the loan interest from the annual taxable income. Look for cards that offer no fee. They usually have an hidden agenda like low interest rate and low grace period. This will save you twenty of fifty dollars per year, not much but a penny saved is a penny earned.