It is quite easy to get into the mind-shattering credit card debt trap but it is certainly not so easy to pay off all your credit card outstanding payments and debt. However, it is possible to do it with a perfect plan, discipline, and dedication and you could henceforth, enjoy life without any stress of credit card debt.
How Much Could You Consider Paying?
The very first step towards paying off your credit card debts is to determine how much you could afford to pay every month towards your credit card debt. The best way to determine precisely how much you could dedicate towards your credit card debts is to examine your monthly budget. If you are not having a proper monthly budget, it is necessary to chalk out a perfect and personalized monthly budget.
As per https://www.forbes.com, there is a perpetual debate regarding the most effective debt payoff strategy. Some experts believe that you must initiate by paying off the highest interest rate debts. Yet other financial experts feel that you must consider dispersing your payments and keep paying exactly the same amount towards each debt. This way, you could successfully chip away at a steady pace, little by little. There are still some other financial advisors who argue that it is best to start by tackling your smallest debts first. Consider knocking out your existing smallest debt first and then with confidence move on to your second smallest debt and the rest in a similar fashion. This method helps to boost your morale which is essential under the circumstances when debt is supposed to be the primary cause of stress and tension in most American households today.
Paying off your credit card balances based on the highest interest rate first is referred to as the debt avalanche debt payoff method. Paying off your credit card debts by beginning with the lowest existing balance is referred to as the debt snowball method. Choosing between debt avalanche and debt snowball methods could be pretty challenging. If you intend to save money eventually over time, you could consider starting with your highest interest rate debt first. Eliminating debts with high-interest rates could help in effectively reducing the finance charges you often need to pay. However, if you are thinking of knocking out some of the accounts fast, you could consider starting with the lowest balance debt. It could be extremely helpful to consider using an efficient online credit card debt pay off or debt reduction calculator to chalk out an effective plan to eliminate your credit card debt. You could do a comparative analysis meticulously to see which method would be bringing in savings and which helps you get rid of your credit card debt faster. You may seek some professional help and expert advice by getting in touch with NationaldebtRelief.com for perfect debt relief solutions. In this context, let us explore some of the top credit card debt reduction calculators online.
Debt Reduction Planner from CNN Money
CNN Money has made things incredibly easier. You simply need to enter your exact credit card balance, monthly payment, and interest rate. You would then need to choose which method you would like to choose for paying off all your credit card debts. First of all, choose if you wish to make the minimum payments, or payments by a specific date, or fixed payments. This list is capable of accommodating as many as 8 credit cards. If you are choosing the popular option of minimum-only payment method, the result would give you the important information of the time it would be taking for paying off all your credit cards and the principal and the amount of interest you would end up paying. If you input a debt-free deadline, Debt Reduction Planner from CNN Money would be letting you know exactly how much you need to pay every month for meeting that deadline. The debt-free deadline and fixed payment options help in generating a detailed or comprehensive debt repayment plan.
Credit Card Payoff Calculator from Bankrate
This simple and easy credit card calculator from Bankrate.com allows you to quickly determine the precise repayment period for a particular credit card. Input your interest rate along with the credit card balance. You could even consider entering your payment amount for every month for determining precisely when you would become debt-free. Alternatively, you could input your debt-free time-period for determining the monthly payment essential for paying off your debt.
Debt Repayment Calculator from Money-Zine.com
The popular credit card debt repayment calculator from Money-Zine.com demonstrates the amount of money you could save simply by boosting your debt payments. You simply need to input your total outstanding debt, existing monthly payment, interest rate, and extra monthly payment.
The calculator would be telling you:
- The number of months necessary for paying off your debt with the existing payment.
- The amount to pay off at the enhanced payment.
- The exact number of months saved if you are making extra payments.
- The total amount to be paid at the existing payment rate.
- The total amount to be paid with a boost in payments.
- The amount you could be making additional payments.
WhatstheCost.com Debt Snowball Calculator
Most popular credit card debt calculators would be creating a repayment plan where your highest interest rate credit card debts would be paid off first. Thanks to this competent calculator, you could now consider entering as many as 20 credit cards, their interest rates, balances, expiration month, any promotional rate, and the minimum payment. You could do your analysis and accordingly choose which method works out best for you. You could consider paying off your existing credit card debts according to the highest interest rate at first or the lowest balance debt first.
A credit card debt payoff calculator would help you in knowing precisely how long you would take for paying off your existing credit card debt or the exact amount you require to shell out for paying down your existing debt faster. There are numerous online credit card debt calculators. Some of them are easy to use while others provide accurate results. You could choose one or more of the above-mentioned online credit card debt calculators for eliminating your debts faster.