Tag Archives: credit card debt

How to Pay Off Debt Using the “Debt Snowball” Technique

If you spent any time in the snow as a kid, you may have learned that the best way to make a snowball is to take a clump of packed snow and start rolling it. Well, as it turns out, that’s the best way to pay off your debts as well. The debt snowball technique has become widely popular for one simple reason; it works. If you’re struggling to pay off your debts, but aren’t ready to consider bankruptcy, your best bet is to try the debt snowball technique. If that doesn’t work, then you’ll know it’s time to talk with a bankruptcy attorney about other options. How to Use the Debt Snowball Technique in 5 Steps Get current on your bills and regular expenses. You won’t be able to make any serious progress unless you are current. The key to the debt snowball trick is that you are working…
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‘Credit Cards Are Greater Threat on Campus than Alcohol or Sexually Transmitted Diseases’

On Monday, I discussed how lenders are once again extending more credit to risky borrowers, but there was another report recently issued that calls attention to another group that is common target for credit card issuers: college students. Fox Business reported on April 16, 2012, that a recent paper by the International Journal of Business and Social Science not only found that 70 percent of American college students have credit cards, but more than 90 percent of them are carrying monthly credit card debt. Furthermore, five of every six of those students do not know their cards’ interest rates, 75 percent do not know their late payment charges and 70 percent do not know what their over-balance-limit fees might be, according to Fox. “Our students lacked even basic financial knowledge of a common credit tool that many of our students used every day,” the study concluded. “There is no way…
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Credit Score Below 660? Lenders May Want to Make You an Offer

Shauna Ames is a 41-year-old office manager from St. Paul who, like countless other Americans who filed bankruptcy, received a credit card offer from Capital One. While it is certainly common for individuals filing Chapter 7 or Chapter 13 bankruptcy to begin receiving multiple offers for credit cards, Ames told the New York Times that she was surprised by the offer because the company had just won a lawsuit against her for $5,485 in overdue credit card debt last September. “I still can’t believe it,” Ames told the Times. According to the story published April 10, 2012, “Capital One is one lender that has been courting borrowers with damaged credit, even those who have just emerged from bankruptcy, with pitches like, ‘We want to win you back as a customer.’” Indeed, the Times reported that credit card lenders gave out 1.1 million new cards to borrowers with damaged credit in…
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