Question: We need some credit card debt relief or even a settlement of some kind. We have looked at counseling to get out of credit card debt but our credit will be trashed when we are done. What steps or tips can we take to pay off and even eliminate the debt we carry on our credit cards. Heidi, Charleston, SC

Answer: Credit card debt follows many people with a wallet full of credit cards who also carry cards with high interest rates. Even with high rates the problem of credit card debt elimination can be tackled and the earlier the better. If the relief from debt is not attacked aggressively a small fortune in interest will be paid.

The credit card can be a useful tool but also a dangerous credit instrument. Without focus and regular monitoring of credit use the end result can be higher debt, out of control spending and years and years of paying on a slowly declining balance. When it comes to wiping out credit card debt – pay off as much of the balance as possible.

Lowering the balance will also lower the interest added each month.

Another simple solution is to pick up the phone.

Yes, pick up the phone and call the credit card company and ask for a reduction in the interest charged – do some negotiation! Tell them you will close the account and move the balance to another company. Do not only pay the minimum amount. Stop charging and pay as much as you can on the balance each month.

If the minimum payment is to much pressure because of too many credit cards to pay on each month consolidating the debt may be the best option to stop the bleeding and manage the debt repayment.

Debt consolidation can help reduce multiple payments, concentrate all the money on one monthly bill and reduce the risk of any possible late payments. It may also reduce the amount of time you will be repaying on the debt.

You may want to consolidate the high interest, costly credit card debt and make it more manageable and affordable!

Unsecured Consolidation Loan

A unsecured loan to consolidate debt can be an effective way to handle small, high interest cards and store credit cards. Income, financial position, assets and credit score. Consolidating all these debts into a smaller fixed monthly payment. You’ll need decent credit to gain the real benefits of unsecured consolidation loans.

Secured Consolidation Loans

Consolidation loans allow borrowers to secure money to pay off debt by tapping into the equity in a home. You must be a homeowner or property owner in order to take advantage of these loans. The ability to borrow greater sums of money on secured loans is higher than unsecured loans making them a powerful financial tool. The equity in the property is often the limiting factor in the loan level.

0% Balance Transfer Credit Card

Consolidate credit card debt on another credit card may seem like an odd way to reduce debt. However, using a 0% interest balance transfer will give you a period of time to pay down the total card balance with NO INTEREST. Usually you can transfer the balances from as many credit cards as you want to the new card up to the credit limit on the new card. There is usually a transfer fee of 2-3% of the total amount being transferred to the new card. Make sure you factor this in your calculations.

Life of Balance Transfer Card

If paying off the balance on a 0% balance transfer credit card does not look like it is a possibility a life of balance transfer card maybe an option to consider. These cards let you transfer the balance from any existing credit cards up to the specified limit. Another plus, you’ll be able to enjoy a lower monthly interest rate on the transferred balances than on the 0% balance transfer cards. But, you must be able to pay the minimum amount, take as long as you want and usually there are no transfer fees. To pay off credit card debt you do have some options. To get results you must take action to see results.

0% APR Credit Cards is only one of the offers and ideas credit card companies come up with make their credit card seem more appealing than others, along with rewards programs, low APR, and 0% APR card offers.

By offering programs that make their credit card seem better than the others, they are able to bring in more customers, and therefore increase the revenue of their company. A 0% APR card is one of the most popular ideas that credit card companies have, since it gives consumers the ability to make purchases without having to pay any interest.

How Does A 0% APR Credit Card Offer Work?

When a credit card company offers 0% APR, they are “presenting” qualified card holders the opportunity to use their credit card without having to pay any interest. The 0% APR usually lasts for a specific time period, ranging from three months all the way up to a year. During this time any purchases or cash advances made on the credit card will be interest free during the introductory period, so no interest fees will ever be charged.

This gives consumers the chance to make purchases they would not originally be able to afford, but they won’t have to pay any penalties for making the purchase on a credit card.

What To Consider When Applying For A 0% APR Credit Card Offer

Because 0% APR credit cards are usually only for a specific time period, it is important to look at what happens to the account once the introductory period is over. The card may be subject to a very high interest rate, and penalties and fees may result if there is a balance remaining on the card.

It is important to take all of these fees and charges into consideration before applying for any card including a 0% APR program, since it may end up costing more in the long run.

Another factor to consider is whether or not the interest charged after the introductory period occurs only starting when the period is over, or whether interest starting from the date the account was opened will be charged. This can end up costing a cardholder hundreds of dollars if a balance is left on the card, since the interest from the past months will be included as well. By assessing all of the possible charges and fees associated with this type of offer, one can decide whether or not 0% APR credit card offers really are beneficial.

How To Benefit From 0% APR Credit Card Offers

Even though there are some high fees and interest rates associated with 0% APR offers, they can still be very beneficial when used correctly. As long as the balance on the card is paid off before the introductory period ends, one can make all of their purchases without having to pay any interest. It may even be beneficial to use the card after the introductory period has ended, as long as it has a low APR.

The purpose of 0% APR card is to make a credit card seem more appealing than another, in order to bring in customers and make them cardholders. This type of offer can be very beneficial as long as it is used correctly, but there are a few factors that cardholders should take into consideration first. As long as the credit card really is better than others on the market, taking advantage of a 0% APR offer can be very beneficial to you and your credit card statement.

Applying for a credit card is and should be easy, you have offers sent in the mail from VISA, Mastercard, Discover and American Express, see ads on TV with low interest APR, rewards, Platinum or Gold cards plus they are easy to find online. Filling out an online application is about as simple as it gets, but if you are not careful you could apply features you do not want or need.

How To Wade Through Credit Card Application

The mail arrives along with the snappy deal for a credit card with 0% APR – that is exactly what you’ve been looking for, cash back on purchases plus rewards or miles.

Now it’s time to begin the application process. You have a few options – make a call and apply over the phone, fill everything out and mail it in or the simple painless way is to do it online. All options require the much of the same information even if the rates and intro offers vary.

Applying for Your Card Online

Before you take the step of filling out the application for any card make sure you take the time, pull out the magnifying glass and carefully read the terms and conditions. Make sure you also understand the terms and what you will be signing up for. Base your choice on the card, features, terms and conditions that best meet your needs like transferring balances to a low rate APR card. Then start the application process online – it is much faster.

Once you’ve reached the form you’ll need to provide information to do some verification and credit checks. It helps to have the following information close at hand.

• Driver’s license
• Social security number
• Birth date
• Address

You may also need provide details about your:

• Employment
• Salary
• Banking
• Additional credit commitments

After competing the application the next step is the waiting game. Waiting for the credit card issuer to approve your application. Depending on your financial condition it could be immediately or take a few weeks.

Online applications speed up the approval process. No need to snail mails, since everything has been entered online the digital approval process begins when the submit button is clicked. No need to worry, applying online is a safe and sound procedure.

Applying In Person or By Mail

One of the biggest advantages of sorting through all the offers which hit the mailbox regularly is they allow you plenty of time to sort through and review them instead of sitting behind your computer monitor.

Each offer includes an application from the card issuer with all the details required to get approved. The information with be a mirror of what you’ll find on a web-based from. However, the process to be approved will be a bit longer as mail plus the data entry is much slower than entering everything online.

The Face-to-Face Application

For some consumers the best transaction is personal and face-to-face. This kind of credit card approval can be found down at your local bank. The approval process is streamlined, short with a quick answer. The bank can evaluate your credit history along with your credit score to make a fast approval.

Credit Card Red-Flags

Not all offers for credit cards even with a low APR are a good deal. If you receive in the mail an offer but after looking it over closely you cannot find a website address for me in today’s modern online society something does not seem right. It does not mean you cannot trust the company, some companies offer “internet specials” for the best deals to drive new applicants to use the web. Just use caution. Look for a phone number to contact them and speak to representative.

Online, mail or in person – no one method is better than the other. It comes down to selecting the best credit card offer for your needs. You should also keep in mind that every time you apply for credit your credit report adds another inquiry. Applying for too many cards can create some red flags on your credit report. Do your homework before making any credit application.

Offers for Credit Card Balance Transfer with headlines including words like 0% APR, Zero, Low and Fixed Interest Rate and Free are not as popular as before the financial institutions started to pull back on them. How often did you get them in the mail, 2 or 3 times per week? From your bank or with names of American Express, Visa and Mastercard all were looking to “help you” manage money better.

Transferring your balance can help in the consolidation of credit card debt carried on multiple cards, help lower the APR interest rate you currently pay on the balance and in the end save money along with getting your financial house in order.

Many consumers with a significant amount of credit card debt find a balance transfer to consolidate of all their cards onto one credit card very beneficial.

Before accepting any credit card offer make sure you read the Terms and Conditions. Make sure you follow all the rules and regulations that come with a balance transfer so you will get only the best savings you deserve.

The choice in credit cards offers today is enormous with a range of features, APR, rewards, balance transfer and other options. The selection process is not an easy one. Each card offers the holder unique features for that card.

If you strip away all the fluff and fine print most credit cards have on minor differences in their offerings. One provides cash back on purchases, another you acquire points for travel and others let you consolidate your other credit cards.

One component of every credit card application will be the APR. The APR is short for the “Annual Percentage Rate” or the percent charged by the company to allow you to carry their card, make purchases and carry a balance.

APR For Every Type of Purchase

Understanding the APR is an important part of the overall credit card transaction especially if you carry a balance at the end of the month. The APR varies from card to card, type of card, the type of transaction along with buying and how you pay your bills.

Many consumers think of only one APR rate, however, a credit card can have numerous APR rates. For example, cash advances come with the highest APR; purchases on the other hand are usually a much lower APR. For instance, taking a $25,000 cash advance with your credit card could show up with a fat 23% APR on the advance. But, buying that flat panel LCD TV and home theater system although pricey slides in under the radar at 19%. Four percent may not sound like much but over time the charges add up.

Only reach for your credit card when the need is urgent ­ this means absolute needs not wants ­ or use your card for purchases you have the money for and can pay back at the end of the month without additional charges. Read these credit essentials.

Depending on your monthly balance can also make a difference in the APR charged. These changing APR’s move around as they are tiered and tied to your balance. Carrying a balance of $2,000 and below may trigger your APR to be 13.9% but once the balance moves above $2,001 the APR changes to 18.1%. This is just another reason to keep your balance low or better yet pay it off every month.

There is also an APR for the late payer. If you always seem to be late on your credit card payment each month your APR will often go up. This raises the balance and makes less of your payment go towards paying off your debt. Make your payments on time and pay more than the minimum.

The Intro APR

The introductory APR is the percentage rate you see plastered on the outside of all those credit card offers in your mailbox each week. They make for great marketing to entice consumers to make the switch to another card with a lower rate.

These cards come with a low interest rate and allows consumers to transfer and consolidate their outstanding balances onto one credit card. The rates look attractive, they can also be helpful if you’re trying to pay off all those past charges.

Before transferring any credit card balances make sure you understand the introductory APR period. Once the period has expired a new higher APR will be charged on the remaining balance. This APR rate is often very high, read the fine print before applying. When applying look for a card that offers 12 months at a 0% APR, then focus on paying the balance OFF in the 12 month period.

In closing do not look at the APR on an offer assuming everything is one rate or that it will last forever. Many financial conditions come into play. The choice of a credit card should be done carefully with a complete understanding of the APR at all levels.

Even Mastercard is feeling some pinch as consumers slow with their credit card spending.

The volume of credit card use in the US is causing a tightening of the credit card industry as more people are beginning to reach for a debit card over a credit card.

This is making some of the companies cull out inactive accounts.

Visa on the other hand has watched their revenues grow in their debit card business.

More from Forbes here:

Credit card delinquency rates have reached record highs throughout America in the past few years. There are some factors that have helped contribute to this, such as the weakening economy, higher gas prices and other factors, but the issue is largely one of continued consumer misuse and misunderstanding of the fees that come with credit cards.

A deeper look inside the good, the bad and the ugly of credit cards may help you improve the way in which you use your own card, or help make the decision of whether you should go after a credit card in the first place.

Card Benefits

The benefits of credit cards are many. Obviously the main benefit is having a line of credit that allows you to purchase things in advance of when you would be able to otherwise.

Other benefits include the rewards programs that many cards offer, which can prove to be quite substantial depending on your usage of the card, and the fact that you can avoid carrying around large sums of money. They also some peace of mind knowing that you have an extra source of income should something unexpected come up.

The truth though is that credit cards are ultimately less than they’re cracked up to be. The simple fact is that through monthly or annual fees and interest payments on purchases, it eventually gets to the point where you’re borrowing your own money.

In the rush to get something a few months ahead of when you could’ve otherwise got it, you set yourself on a course for a lifetime of dependency and fees that will drain thousands of dollars from you by the time without fail. In the wake of the delinquency statistics, many people have failed to consider the fact that the credit cards themselves are the problem, and not so much the people using them.

Card Fees & Interest Rates

When fees and interest rates make consumer money all but disappear into thin air, we’re all the worse for it. The credit card companies get fat while everyone else suffers. Retail outlets that once thought credit cards were the greatest thing since sliced bread are now reeling as that credit debt has caught up with all those consumers and cut retail spending dramatically.

Credit cards are undoubtedly one of the main reasons for the weakening economy, and yet all people do to compensate for this is by taking on more and more cards and burying themselves deeper and deeper. Incredibly, as much as 15% of the population owns more than 10 credit cards. If this isn’t utter insanity, nothing is, plain and simple.

Just some of the many factors that contribute to the overall credit card debacle are yearly fees, outrageous late fees that can raise the standard rates by 2 to 3 times their original amount, sky high interest rates no matter the amount of money being borrowed, over-limit fees, and penalty rates. All leading to a lower credit score.

The one element that consumers are conned into believing is a benefit are the low minimum payments required. If you think the credit card companies are doing you a favor, think again. They want you to only make the minimum payment, this means you’re stuck paying them more money over a longer period of time.

This trend is so alarming that federal banking regulators have recommended the minimum payment required be raised to at least 1% of the balance in an effort to try and save consumers from themselves and the wily credit card companies.

So why get a credit card? Good question, one that not enough people have been asking themselves over the past decade. Take the time to ask yourself this before you jump into the fray that has left our country’s households in an average of $8,000 in debt.

With so many choices in the world of credit cards one item stays a constant – the changing APR or “Annual Percentage Rate.”

Many cards holders are unaware that the APR on a credit card is not a constant. The rate changes depending on a variety of financial calculations.

For instance, cash advances usually carry the highest rate while purchases using your card is at another rate. When you signed up for you 0% APR card and transferred all of your balances my likely the card came with a grace period on the balance. Once that time ends a new APR comes into play. Confused? Learn more here in Low APR Credit Cards May Not Be Created Equal – Know Your Cards APR and How it Changes.

There are so many credit cards on the market loaded with all kinds of options, we see these on a daily basis as the hit our mailbox.

Choosing the right card for your needs can be not the easiest of task.

Don’t go out and make your choices blindly. Give the offer some careful consideration before filling out the application.

What Will You Need The Card For?

Everyone has different needs for some it’s gas, others it’s rewards and for some it’s a balance transfer. It’s important to know what you plan on doing with your card and why you are opening an account before taking that credit step.

Pick a credit card that gives you the services and function that best meets your needs.

Do you plan on paying the card off each month? Are you looking to stop yourself from carrying cash? Or maybe you have so many cards you need to consolidate your outstanding balances into one monthly payment with lower interest rates.

Do you see big spending in the future and can see using the card to pick up some rewards or points. My wife and I did just that when building our house and shopping for furniture.

Select a card for business may carry a different set of needs compared to a personal use card. Cash back and special discounts may play a big part of the decision making process.

Watch The Interest Rates!

The initial interest rates may look very attractive across the board with credit card companies. However, make sure you look long-term. A missed payment of late payment could skyrocket the interest rate.

Make sure you know what can trigger rates changes, extra fees and any other potential hidden costs.

Incentives

Many companies in the credit card arena will offer additional services all in an effort to attract more clients. Take the time to look out beyond the offer to examine the complete scope any incentives may require down the road.

Focus on the usefulness or if they could be a trap in your buying habits.

It’s Bill Paying Time – an event all of us dread each month.

After pulling out the credit card to make that purchase you could not live without, it is time for the dreaded bill which will show up later in the month. Now the process of paying off the purchase starts.

Pulling the card out was much easier than writing the check. Call me old fashion but I still write checks. Paying online does not carry the same sting!

But it is important to know how to handle making your credit card payments to make the process simpler and incur the least amount of additional fees.

Best Card for Credit Card Balance Transfers –

Pay Off A Balance

The sad fact is approximately 1/3 of all holders of credit cards do not or are unable to pay off the balance each month when the statement arrives. This same 1/3 also walks around scratching their heads wondering when making the “minimum” monthly payments each month – Why the balance remains about the same.

In an effort to keep you pain and payments low, credit card companies often charge a low minimum payment which covers your interest and a small part of the principle owed. It’s hard for a balance to go lower when you cover only the interest!

Balance Payoff Tips

• Start planning! Begin to plan your purchases with cash in hand and ONLY use your credit card under – again planned purchases! I use mine when I travel, rent a car, stay at a hotel and when I’m buying something my wife and I have agreed to charge but will pay off at the end of the month.

The is a good overall card for points and rewards!

• Start paying more than the minimum. You must pay more than the minimum if you want to see your balance decrease – and stop charging! Consider switching to a lower rate card or transferring the balances of all your cards to one credit card and begin hammering away at the balance – and stop charging! The current top card for balance transfers is This new lower rate card has a purpose. That purpose is to get you out of debt by allowing more of you payment to go towards the balance -– so stop charging!

Choose Your Card Wisely

Different credit cards allow you to pay the balance in different ways. Some cards you must pay off monthly and others allow for payments or partial payments on the unpaid balance.

When the balance is unpaid you are charged interest on the balance.

Take the time to carefully choose the credit card and the payment terms which will best meet your needs. Your also plays a factor in the card you choose.

The goal show be to pay your credit card off every month.