How To Lower Credit Card Interest Rates and Focus on Financial Freedom
My friend asked me how to lower credit card interest rates and how to get credit card relief.
I am writing this blog to answer that question and to help you focus on what is more important than paying off your credit cards…and that’s your financial freedom.
You might not be thinking about financial freedom, except wishing that you didn’t have credit card debt.
My friend is struggling every month just to make her debt payments on time.
If you too are living paycheck to paycheck and dealing with debt payments, following the advice in this blog can save you hundreds or even thousands of dollars depending on how much credit card debt that you have.
Here’s what’s most important, what you focus on expands…so focus on financial freedom…not your debt.
Here’s how you do it:
1) Spend only what you have in cash or in your bank account (that’s right, put the credit cards in a drawer or cut them up so you stop using them).
2) Start saving at least 10% of everything you make. This is KEY because you will be PAYING YOURSELF FIRST!!!
The reason you have money problems is because you don’t value yourself enough to give yourself money before other people.
So it’s important you start saving money and learning to invest it properly to produce you passive income…and your Financial Freedom!!!!
3) Renegotiate Your Interest Rates.
There’s a method that I learned from a Financially Free friend.
Get a notebook and pen.
Call the credit card with the highest interest rate and ask them for the interest rate that you want (I asked for 5%).
Take notes of the credit card, date, time, the name of the person you are talking to and also what they say.
If they don’t lower your interest rate, then ask to speak to their manager.
When you do speak to the manager, tell them who you spoke to before, and ask for the interest rate that you want.
If they don’t lower your interest rate, then write down the credit card, date, time, the name of the manager and what they said.
Then ask to speak to their manager. Keep doing this until they lower your interest rate. Every credit card I called eventually lowered my interest rate. One card even credited back over $1,000 in interest!
4) Get Credit Card Relief
When you call your credit card company, you can also ask them to lower your monthly payments, or even to settle the amount if you pay one lump sum.
If you owe $8,000, and you can pay $4,000 now, you can offer to pay that and have them close the card. You can tell them if they don’t accept the deal, that you will be paying the $4,000 to a different card instead.
These are just ideas.
You can also hire a credit relief agency to help you settle all your debts into one lower monthly payment.
I didn’t go this route, as I just lowered interest rates and paid the minimum payments on my lower interest rate cards, and paid as much as I could on the highest interest rate card.
I also got bank loans at lower interest rates and paid off my credit cards.
It took me over 5 years, but now I have no debt for 3 years now and counting =)
5) Focus on Your Financial Freedom
The most important thing to remember is what you focus on expands.
So you need to focus on Financial Freedom.
After you renegotiate and get your debt payments set up, put them on autopay and forget about them.
While you are saving money, start reading or listening to books on Financial Freedom.
Some suggestions are Money is My Friend by Phil Laut, Secrets of the Millionaire Mind by T Harv Eker, The Richest Man in Babylon by George Clason, Rich Dad Poor Dad by Robert Kiyosaki, Money Master the Game by Tony Robbins…to name just a few.
Also read financial news and magazines and learn about what investments are out and available for you.
After you find some good investments, you will have some savings to go ahead and start!
Conclusion
It is important to get your finances structured so you spend less than you make and put aside at least 10% of everything you make.
Use the tips to lower your interest rates and get your payments affordable to you.
Then spend the rest of your time researching investments and reading or listening to books about financial freedom.
You will make it!
Your finances are better than you think.
About Mey Duldulao
Back in 2011 I had over $30,000 in credit card and line of credit debt, was living paycheck to paycheck and was stressed out over my lack of success in my financial life.
In April of 2016, I became debt free and had a monthly passive income stream. I quit my job on December 23, 2016, and started doing my dream work of mentoring others on what I did to create the freedom to quit my job.
In 2017 we bought our first condo in Waikiki, and we went on 5 weeks of vacation (including a 7 day cruise to the Mexican Riviera)!!!
In 2018 we bought our first investment property!
In 2018 we converted our first condo into our 2nd investment property.
I spend most of my time doing what I dreamed of for years, spending my days with my son Jordan and my husband Jomel, enjoying motherhood and being a wife. I also enjoy researching Financial Freedom and sharing what I learn with my clients and on my blog.
If you want to learn more about how I can help take back control of your money and your time, then CLICK HERE, watch the free video and get started!