Our Terms & Conditions | Our Privacy Policy
These simple (but effective) strategies could help you significantly shorten the debt relief timeline.
Getty Images
Credit card debt has become a major issue for millions of Americans over the last few years — and with inflation ticking back up, the prices of everything from groceries to gas are climbing, pushing people’s budgets to the limit. In turn, even more cardholders are becoming reliant on these short-term, high-rate borrowing options to cover their necessary expenses. That’s not the greatest plan, though, considering that credit cards are some of the most expensive borrowing tools you can use.
Right now, the average credit card rate is closing in on 23%, pushing up card balances and trapping people in a frustrating cycle — one where the monthly minimum payments barely make progress against the mounting tide of debt. But while relying on credit cards is a dangerous route to take, breaking free doesn’t have to feel impossible. There are numerous strategic approaches and targeted debt relief techniques that help you regain control over what might seem like an insurmountable financial burden.
Debt relief programs can take a while to complete, though — and that may not be ideal if you’re trying to get out of debt quickly. Luckily, there are ways to optimize your strategy and reduce the time it takes to become debt-free, no matter which debt relief option you choose.
Find the right solution for your credit card debt now.
How to speed up credit card debt relief
Debt relief comes in various forms, and the best way to accelerate your progress depends on which method you’re using. Here’s how to make the different approaches work faster for you.
How to speed up debt consolidation
Debt consolidation involves taking out a loan to pay off your credit card balances, ideally at a lower interest rate. While this can simplify your payments and reduce the amount of interest you pay, you can take additional steps to speed up the process, including the following:
- Secure the lowest possible interest rate: Every percentage point matters when consolidating debt. Compare your options for personal loans, but you may also want to look at home equity loans and other borrowing options to find the lowest sustainable rate.
- Maintain or increase payment amounts: After consolidation, try to continue paying the same total amount you were paying across all of your cards previously rather than dropping to the minimum on your new loan.
- Create a payment acceleration fund: Set aside any unexpected income (tax refunds, bonuses, gifts, etc.) specifically for making extra principal payments on your consolidation loan.
- Implement bi-weekly payments: Instead of making one monthly payment, make half-payments every two weeks. This results in 26 half-payments per year (equivalent to 13 full payments) versus the standard 12.
Explore your credit card debt relief options online today.
How to speed up debt management
A debt management program is a structured repayment plan set up through a nonprofit credit counseling agency. These programs help you pay off your debts in three to five years, but if you want to speed up the process, here’s what to do:
- Push for more aggressive terms: While credit counselors handle the negotiations, you can ask them to push for even lower interest rates or fee waivers based on your specific hardship.
- Make additional payments: Debt management programs establish a set monthly payment, but nothing prevents you from making additional payments directly to the program.
- Ask for program fee reductions: Many debt management programs charge setup and monthly fees. Request that these be reduced or waived based on financial hardship to direct more money toward debt repayment.
- Stay proactive with creditors: If your financial situation improves, contact creditors to negotiate even better terms mid-program.
How to speed up debt settlement
With debt settlement, the goal is to negotiate with your creditors to settle your debt for less than what you owe. This process can take time, but you can accelerate it by doing the following:
- Boost your settlement fund quickly: The faster you accumulate money in your settlement fund, the sooner negotiations can begin. Consider temporary lifestyle downgrades, selling unused possessions, or taking on side work.
- Target one account at a time: Rather than trying to settle all accounts simultaneously, focus on building up enough money to settle one account completely before moving to the next.
- Be strategic with timing: Creditors are often more willing to settle for less when accounts have been delinquent for 90-180 days but haven’t yet been sold to collection agencies.
The bottom line
No matter what form of credit card debt relief you’re using, the fastest way to find success is to be proactive. Look for ways to increase your payments, reduce interest rates and avoid accumulating new debt in the interim. Every extra dollar you put toward your debt today brings you one step closer to financial freedom. With discipline and strategy, you may be able to break free from credit card debt faster than you ever thought possible.
Angelica Leicht
Images are for reference only.Images and contents gathered automatic from google or 3rd party sources.All rights on the images and contents are with their legal original owners.
Aggregated From –
Comments are closed.