Credit card debt stinks, and instead of going out, and hiring professional help, you may want to do it just yourself.  A lot of people want to do it, but they have no idea on where they can turn, or what they can do, in order to get rid of it.  Instead of taking huge steps, and learning a lot at a time, let’s take baby steps, and show you exactly what you can do, in order to start fighting your credit card debt today.

Professionals are no different than you

What you’re going to find out with professionals is that they are going to do the same thing as you, but they are going to charge a fee, as well.  Just think of someone that would come, and clean your house.  Sure, you can clean your house, but you’re going to have to pay that person extra, whereas you can do it for 99% less.  The same goes with settling debt, it’s just a service!

Things to know when settling your debt

When you’re ready to settle your debt, you’re going to have to know these things, before you even call up the credit card companies.

  • Your account must be delinquent for at least 180+ days, in order for them to settle with you.  If you’re only late by 30-60 days ,they will still want the full payment.
  • If you want to settle, make sure that you have cash on hand.  You’re going to want to pay in cash for a full amount.  It’s safe to have at least 50-60% of what you have to owe.  If you don’t have cash, you won’t be able to settle.
  • When calling up a credit card company, make sure that you document everything that you say on the phone.  You don’t have to record everything (it’s illegal in some states), but rather jot notes for your own personal reference.

Start your settling after 180 days

Once your bill has been unpaid for 180 days, this is where the fun starts.  You’re going to want to call up the credit card company, and explain your situation.  Tell them that you can only pay 50-60% of the bill in cash right now.  Would you be willing to settle?  You just need to be honest, and see what they can do for you.  Don’t settle for anything more than 70-80%!  You want to get your bill cut in half.

Get it in writing

If the company does decide that they want to settle with you, make sure that you get this in writing.  You don’t want to pay, until they send you a statement in the mail.  Once you get something in the mail, this is when you can pay off your bill.  If you need help with the negotiating process, check out some debt books online that can help you out.

Settling your debt is going to take time, and yes, it’s going to take hard work.  Work hard at it, and try your best to knock your bills down.