http://www.seaofdebt.com/credit-card-debt-reduction.html Credit card debt reduction are the best way out of debt. Of course, so is practicing credit card debt reduction by not opening new ones! en-us Sat, 26 Jul 2008 15:00:00 EDT Sat, 26 Jul 2008 15:00:00 EDT Weblog Editor 2.0 How to Experience Credit Card Debt Reduction One of the most obvious ways to experience credit card debt reduction is to stop opening credit card accounts! That seems so easy, but when stores are offering 10, 15 and even 20% off your purchase when you open a card with them, it's tempting! Who doesn't want to save money, right? And to top it off, they tell you that their credit card customers get special coupons in the mail. But you have to wonder why stores push their credit cards so much. They wouldn't push it so much if they weren't making money from it. And they do. They count on you spending a lot of money on their card and not paying it off in full at the end of each month. Then the interest rate (usually 22-25%) kicks in. Then you actually end up paying more for whatever you bought with a discount for opening up the account in the first place! But know this: every time you open a store credit card, it triggers an inquiry into your credit. If your credit report shows six or more inquiries in two months, then you are eight times as likely to go bankrupt. Let's say that's exactly the trap you've fallen into. You need to go a step further to get credit card debt reduction. You need to find a debt management company and look into one of the many credit card debt reduction programs. There are so many that there's bound to be one that fulfills your needs. Here's a brief rundown of them: Debt Consolidation - This credit card debt reduction program works by a debt management company getting your interest rates and balances reduced. Then the new, lower balances are combined and instead of paying your creditors each month, you pay the debt management company one payment which gets divided among your creditors. Because of all the reductions, you can be debt free in five years. Debt Consolidation Loan - This credit card debt reduction program is just a loan given to you to pay off all your credit cards. Then you have a loan payment instead. The benefit is that instead of paying such high interest rates on your credit cards, you pay an interest rate in the single-digits on your loan, which means you can be out of debt in five years. Debt Settlement - This credit card debt reduction program gets 60-80% knocked off of your credit card balances. Obviously, your creditors don't like this, so they expect you to pay the new, lower amount in full at once. Sometimes you get 1-3 years though. Still, your creditors report this to the credit reporting agencies and it effects your credit like a late payment. Debt Consolidation Mortgage - This is the best credit card debt reduction program for homeowners. Similar to a debt consolidation loan, you get a check to pay off your credit cards. The amount of the check is added to your mortgage, so you're paying the same interest rate as your mortgage, and your monthly mortgage payment only goes up slightly. Surely, one of these programs is right for you. Check into one today. Sat, 26 Jul 2008 15:00:00 EDT