Trimming Expenses to Reduce Debt

Any debt relief plan will cost you money. Experts are the first to announce that the best way to get out of debt is by doing it yourself. Look for ways to cut back on your spending and then put that extra into paying off your credit cards.

Cut Your Interest Rates

First, contact your credit card company and tell them you received a pre-approved offer for a much lower interest rate. You are now considering switching. Do they really want that? The answer is simple: of course they don't. Odds are high that they will then match or even beat the rate. Do not agree immediately. Tell them you want to shop around and that you want the interest rate offer mailed to you.

Now you have time to go back to other credit card companies and play them off each other. When you have an interest rate that suits you, then go back to the company who currently houses your account and tell them the best offer you got. They may ask for proof, so make sure you have everything in writing. Odds are they will match it. This can save you thousands in high interest charges.

Get Rid Of Any Unnecessary Bills

Do you have cell phone service and a home phone? If your cell phone company is reliable, you really do not need the home phone. You can save plenty of money by dropping your home phone and relying solely on your cell phone.

If you happen to be hooked up to DSL, this obviously will not work. Instead, consider switching to a less expensive cell phone plan. Some of the prepaid cell phones cost as little as $20 every three months and have exceptional service. This is a far better deal if you need to trim your budget.

Cable and satellite television cost a bundle. Odds are that you will survive by dropping it. You can sign up with a program like Netflix and have movies, concerts, documentaries, and TV program's box sets delivered to your door. Netflix starts at $10 a month, while most cable packages are well over $40.

Car Pool:

Many people spend between $20 and $100 a week on gas. Find co-workers or people in nearby businesses who have similar hours and see if they are interested in carpooling. Not driving daily can cut your gas bill by 50% or more if you can get other interested drivers.

Many states have carpooling programs that will match you with others in your immediate work area. The state run programs also offer free rides if you have to work late or a car breaks down.