What should I do

Submitted by Anonymous (not verified) on Mon, 05/10/2010 - 05:07
Forums

I am 60 years old and have approx $15,000 in credit card debt. Would it be advisable to lower my contribution amount to my 501K, and use that money to pay down my debts? I'm so confused about what the best strategy would be.

My score is 724 and I've not been late with any of my payments But my minimum payments and the APRs have increased significantly. I'm paying lots of interest every month with APRs ranging from 15.24 to 16.99.

Hi,

You can try balance transfer. Try to transfer the balance into another card which has a low interest rate. Can you tell if you had been making only minimum payments on these cards? If so try making more than minimum payments.

Another thing is that according to the new credit card rule, creditors are required to provide you a notice on the rate hike, so that you can opt out and close the account. If you get a notice prior to the hike in the interest rate, you will have the time to think whether or not it will be possible for you to continue using a card with high interest rate.

Hope this helps.

Regards,

Aaron

Mon, 05/10/2010 - 10:35 Permalink