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sabrinamariMicropayments are an easy, useful strategy for getting credit card debt down fast.
1. They tighten your focus
2. They build momentum so debt goes down faster
3. They generate awareness about your spending patterns and therefore...
4. They enhance your relationship with Element Money
Here's how to use them:
1. If you don't already have one, set up online banking accounts for your checking and savings accounts.
2. If you don't already have one, set up an online account for each of your credit cards.
3. Link your checking account to your credit card accounts so you can easily make online payments.
4. Check your bank accounts and credit accounts once or more weekly so you know how much you have in/on every account.
5. Once a week, make a smallish micro-payment on your credit cards. On good weeks, pay more; on tight weeks, pay less.
Because you are maintaining your focus, you will make better progress while staying flexible and you will never be late on a payment.
Most credit card companies work on a 25-day cycle, not a 30-day cycle. Even if you pay off all your credit card bills monthly, you might still be charged interest if you pay only once a month. If you make micro-payments and pay off your cards continuously, you can avoid ever paying interest.
Other useful tricks:
See if your card allows you to schedule an automatic monthly payment of your minimum on or before your due date. If you can afford to do this, you will never miss a payment again even if you get distracted by life matters.
Some cards only allow you to make 1 payment a week or 1 payment every 3 days. If you you use micro-payments, take notice of rules like these.
My rules:
Never pay interest if you don't have to.
Always make credit cards work for you; never allow them to work for credit card companies.
1. They tighten your focus
2. They build momentum so debt goes down faster
3. They generate awareness about your spending patterns and therefore...
4. They enhance your relationship with Element Money
Here's how to use them:
1. If you don't already have one, set up online banking accounts for your checking and savings accounts.
2. If you don't already have one, set up an online account for each of your credit cards.
3. Link your checking account to your credit card accounts so you can easily make online payments.
4. Check your bank accounts and credit accounts once or more weekly so you know how much you have in/on every account.
5. Once a week, make a smallish micro-payment on your credit cards. On good weeks, pay more; on tight weeks, pay less.
Because you are maintaining your focus, you will make better progress while staying flexible and you will never be late on a payment.
Most credit card companies work on a 25-day cycle, not a 30-day cycle. Even if you pay off all your credit card bills monthly, you might still be charged interest if you pay only once a month. If you make micro-payments and pay off your cards continuously, you can avoid ever paying interest.
Other useful tricks:
See if your card allows you to schedule an automatic monthly payment of your minimum on or before your due date. If you can afford to do this, you will never miss a payment again even if you get distracted by life matters.
Some cards only allow you to make 1 payment a week or 1 payment every 3 days. If you you use micro-payments, take notice of rules like these.
My rules:
Never pay interest if you don't have to.
Always make credit cards work for you; never allow them to work for credit card companies.
