Fred Harteis News Articles Sure, we all want to get out of debt. But once you've made that decision, and have unlocked a source of cash (big hurdles, to be sure), there is a question of just what is the best way to pay it off? That, depends on your goals.
The Round Robin Plan:
Big Loan in Your Future?
Thinking about buying a home, but you need to improve your credit score in order to get the best interest rate? Paying down debt using the round robin strategy can get you there the fastest. People with the best credit score only use 10% to 20% of their available credit, so the faster you can pay down your debt on each card, the better your credit score will be.
The Snowball Effect:
Escaping High Interest
To use this strategy you start by paying the minimum amount on all but your highest interest credit card. Then use every extra cent you can find to pay the greatest amount you can on your highest interest credit card. When you get that card paid off then continue paying the minimum amount you were paying on your second highest credit card plus the larger amount you were paying on the highest interest credit card.
Personal Loan Unpaid?
Win Back Friends & Family
Are you known as the family deadbeat? You can achieve redemption and win back the trust of your family and friends by following these simple steps. First, acknowledge your debt to your debtor. Second, calculate a realistic monthly payment and then treat this debt like any other bill. Pay it religiously. Third, pay interest not only in cash, but in meaningful gifts and actions.
Minimize a Mortgage Mess
Whatever the reason, when you know you no longer can afford your mortgage payments, don't go hide in the closet. The first thing you should do is call your mortgage servicer and let them know you have a problem and what the problem is. Many loan servicers will tell you they can't do anything for you until you miss at least two payments or are more than 60 days late. If you can't get help from your mortgage servicer, don't give up seeking help and don't wait until you've missed two payments. Start working on finding a solution as soon as possible.
Retire With a Clean Slate
Still have debt and nearing retirement? You may want to reduce monthly savings to your retirement accounts, such as your 401(k), and instead use that extra cash to pay down your debt more quickly. But, be sure to at least put enough into your employer retirement savings plan to get your full employer match. You don't want to give up the extra money! Check with your financial advisor before taking this step.
Source: Aol.com
About Fred Harteis: Fred Harteis leads Harteis International. Fred Harteis has a background in agriculture and has created many successful business ventures.