Paying Off Credit Card Debt
Nov
01
I was watching Oprah yesterday where Suzie Orman was answering financial questions that the audience members had. I really like Suzie Orman’s advice and find her very credible since she has actually gotten herself out of hundreds of thousands of dollars in debt.
One audience member had debt on several credit cards and was wondering which one she should pay off first. Obviously the answer was to pay off the card with the highest interest first. The best way (in my opinion) to do this is to transfer as much of your debt as you are able, to new credit card that has a 0% introductory rate (these often last between 6-15 months) . First of all make sure the 0% interest rate applies to transfers as some only apply to purchases. Once that introductory rate is over obtain anther 0% introductory rate card. I know a couple who paid off all their credit card debt this way. Of course after you transfer your debt, be sure to cancel the cards you transferred from to help your credit score and allow you to qualify for more (o%) cards.
If your credit score is really low there are some credit cards for bad credit . If you are not able to qualify for 0% interest rate cards do your research to try to find the lowest interest rate you can.
November 5th, 2007 at 10:33 pm
I love reading and learning about finances. And I adore Suze Orman. She is just so logical and straight to the point.
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