Mid adult smiling Latin businessman in office, using credit card to pay online

Paying On
Your Own

Counting Money an old lady

Pay On Your Own

As much as we all would prefer to handle things on our own, there are times in our lives when we all need some help. When you’re trying to get out of debt on your own, it can be an overwhelming task that often leads to a dead end for consumers. To start, you need to know how to pay off credit card debt. The interest rate on a credit card balance is usually between 10-30% (APR). These high-interest rates can be very costly and make it difficult for people to pay down their debt in a reasonable time. Most consumers can afford only to make their minimum payments, so it can sometimes take over a decade to pay off your debt.

It’s no wonder many people need help getting out of debt. If you were to fall behind on the accounts it gets even more difficult to get back on track. Your creditors will increase your rates and tack on late and over-the-limit fees making it impossible for someone facing a hardship to catch up. Unfortunately, most people choose to do nothing and hope things will get better. This can be very expensive. Eventually, your debts must be handled.

Senior Woman Counting Money And Doing Finances At Home

Steps to tackle your debt on your own

Create a Budget

Sit down with pen and paper, or at a computer with a spreadsheet and create a simple budget detailing your monthly income and each of your monthly expenses. This will give you a starting point to see what you have at the end of the month to put toward your debt

Develop a Strategy

After creating a budget, make a list of each debt. Write down the creditor’s name, balance, and interest rate. Then, use a debt calculator to see how long it will take you to pay off your debt by only paying minimum payments. Then calculate how long it will take if you increase your minimum payments to the maximum amount that your budget will allow.

Plan Of Action

Now that you have a clear picture of your debt and how much you can realistically pay on your own, decide on a method to pay down your debt as quickly as possible and maximize your savings

Some Methods Of Paying Down Debt On Your include:

For some, paying down debt on your own might be the best option if you’re able to make more than the minimum payments and you have low interest rates. However, if you are not able to make more than the minimum payments, dealing with high-interest rates, or struggling to keep up, there are several options that might be better for your situation. Click here to learn more

For more information on the best way to get out of debt — including debt settlement — turn to the experts at Optimal Debt Solutions. Get a Free Consultation

Need Help navigating the the various debt relief options?

Speak with a Certified Debt Analyst for a free consultation.

Call center, telemarketing and customer service