The debt snowball is one of the most effective credit card debt solutions, and a very effective way to finally pay off debt. Believe me, you really can do this, no matter how much you owe.
First of all, before you even begin, you need to realize that your debts are not going to disappear overnight. You didn't accumulate them all in a day and you're not going to pay them off in a day either. You also need to accept the fact that if you are going to overcome your credit card debt, you will have to stop using your cards.
Now, you need to figure out how much you can possible spend on your debts each month. Look for ways to minimize your monthly spending on luxuries and non-essential items so you can apply that money to your credit card bills. Be sure to have a small emergency fund that you can fall back on if something comes up, like a car repair or a leaky roof, etc. That way you don't have to put that expense on credit.
Now you are ready to start the debt snowball. Make a list of all of your debts, large and small. Sort the list in order of lowest balance first, down to highest balance last. Hopefully the last item on your list will be your mortgage.
From here you start to put all of your available money toward your smallest debt, while still making the minimum payments on all of the others. Once you pay the smallest one off, take all of the money you were putting on the smallest debt and add it to the monthly payment that you were making on the second smallest one. Continue with this method all the way down your list until all of them are paid.
Some people suggest starting with the highest interest debts first so you can save on interest. This makes sense, but you will have a much greater sense of achievement by eliminating each debt quickly, rather than just saving a couple of dollars on interest. Imagine how good you will feel each time you cross a debt off your list!
Once you experience the exhilaration of paying off those first few debts, you will be hooked! That is what is meant by the debt snowball effect - once you get it started it just keeps rolling and growing under its own momentum. The debt snowball method really is the most effective credit card debt solutions you can use.
There are a few cases that this method may not work for. Perhaps you simply have too much debt to handle on your own. Maybe your income is actually less than your credit card monthly payments. Maybe it is just too overwhelming for you to even attempt. In cases like these, there is still hope for credit card relief. You may need to work with a debt reduction or debt consolidation company. These companies will work with you to find a credit card debt solution for you.
If you need help with your credit card debts, you can get a free consultation from Debt Consolidation Headquarters [http://ELIMINATECREDITCARDDEBTNOW.INFO]. You could be debt-free in 12-36 months, and they may even be able to reduce what you owe by up to 50%.
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