Lower Credit Card Debt
First contact your current credit card company. Explain that you are contacting different companies to lower the interest rate on your debt and ask if they can do any better than the current rate they are charging you. They should be your first stop, since they have the most to lose if you take your business elsewhere. Once they tell you the new rate, contact other credit card companies and get their rates. Then go with the lowest rate. You can then do one of two things. To help if you have a tight budget, you can pay the lower monthly amount that is now due because of the lower rate freeing up money each month . Or, if the goal is to pay it off as quickly as you can, keep the same payment and with the lower rate, the debt will be paid off sooner.
School Loans and Other Personal Debt
The same strategy can apply to other debt you hold. Once again, contact the existing company first. Then go to outside sources and find the best terms you can. Be sure to ask about any application, re-financing or other fees they may charge. Then go with the best package. Find out if they allow you to pay above the required minimum and have the additional mount applied to the principal Then determine if it would be better for you to keep the same payment amount as before and pay it off sooner. Or, lower your monthly payment to ease your budget.
New Car Purchase
With interest rates so low, if you need a car, now may be a good time to make the purchase. You can research on-line for the “Blue Book” value of your car to have a better idea of what you should get as a trade in or if you decide to sell it outright. You can also research for the proper price on the new vehicle.