How To Negotiate Lower Credit Card Bills

Okay, you've accumulated a $20,000 debt. You know you were an irresponsible borrower, but you are also aware that you don't own a time machine. As much as you wish you could, you can't buy a time machine and undo the mistakes of your past. And so you're stuck paying off a debt that is much larger than what you could afford. While you're likely facing a bumpy ride ahead, there are some things you can do to make your future smoother. The first thing you should do is call your credit card company and try to negotiate down the amount of debt that you owe. When credit card companies eye large debts and a consumer making minimum payments, they begin to fear that the money will never get paid back. If you can offer a large sum, like say, a one-time $10,000 payment to erase the debt, you'd most likely be surprised by the number of creditors willing to accept such an offer. Likewise, if you promise to double your payments, you might be able to get the debt lowered to $14,000-$15,000. While it may not be enough to get you out of the doghouse, it is still a worthwhile step, and hey--making $4,000 to $5,000 over the course of a phone call is not the worst use of your time by any means. If only we could make financial deals like that all the time! The most important thing to do is to admit your mistakes, acknowledge that you owe the creditor money, and ask them for leniency. The best case scenario is a reduction in debt, the worst case scenario is that you owe what you did before the phone call. Not a bad bargain. If you want to read a great article on the subject, be sure to read Andrew Wang's article at Rich Credit Debt Loan, link here: http://www.richcreditdebtloan.com/how-to-negotiate-with-credit-card-companies-to-reduce-your-debt/ .