Most people who carry a balance on their credit cards would love to have lower monthly payments.  For many, it is possible to get lower credit card payments but it may not always be in your best interest.

Before we jump into how to get those monthly minimums lowered, let’s first take a look at the drawbacks.  Paying the smallest possible amount on your credit card balances means you will take longer to pay it off, thus paying even more money in interest and staying in debt even longer.

So even though lower monthly payments may sound attractive to most people, it can be fool’s gold for everyone who want to reduce debt. (more…)

Well, it looks like Chase is back at it once again.  We saw a few months back how Chase was jerking customers around and faced a class action lawsuit over it.

Now, Chase is back up to their old tricks, informing many customers who were promised a low interest rate balance transfer for the life of the balance that their minimum payment would increase from about 2% to a whopping 5%!

To put that in perspective for you, let’s use the example of a $10,000 balance.  The old payment would have been around $200.  The new 5 percent payment would be $500 every month!

Now, we all understand that Chase and other credit card banks are worried and are trying to protect their finances in these tough economic times.  But, how many customers do you think can easily afford these huge increases in monthly payments?   (more…)

Well we have heard that it was coming, but it looks like many major credit card companies like American Express and Bank of America are slashing customers’ credit limits.

Even customers with good credit and who were far from maxing their credit cards out are being affected.  Officially, some creditors claim it is in preparation for the new credit card laws that will be enacted in 2010.

Hurting Credit Scores, Causing More Problems

Even if you no longer use your credit card or are just trying to pay it off, this will still negatively affect you if you carry a balance.  Let’s take a look at a very good friend of mine’s situation. (more…)

Chances are if you are reading this, you are in debt and interested and learning how to get out of debt as quickly as possible.  The best method for acheiving this goal will not be the same for everyone:  your most efficient path to a debt free life depends on your current financial situation.

Here are a few ways to cut your debt down much faster.  You will not be able to take advantage of all of these options, but you should be able to use at least one or two to chop down the time it takes you to get out of debt. (more…)