Making purchases with credit cards is easy, establishments accept a wide variety of cards and install many times without interest, however the facility also applies to lose control over the debts acquired and not able to take them off. If this happens, a good way to avoid getting the negative name on the square is to seek debt renegotiation. How to do this? Today we will give some tips for you to succeed and get out of the network.
It’s time to put all the debts on paper
This is really necessary for you to know exactly the value of your debt on the card. Not only that, you also need to know what your essential expenses are in the month, including: water, electricity, rent, tuition fees, etc., as well as other expenses that can be re-allocated to pay the debit balance, because this will help in negotiating the proposal to pay it, without running the risk of accepting a portion that will not fit in your budget.
What if I have more than one card with outstanding debts?
Usually we see advice that it is better to pay the card with the lowest debt. This is a mistake. One must take into consideration which one has the highest interest rate. Check your invoice in the “Financing Charges” section of the “Maximum Funding Interest Month”, which will state the percentage rate that will be charged if the total amount of the invoice is not deducted.
Usually rates vary from one card to another, so it is always better to pay the higher rate because it is the one that will consume more income as the debt is being postponed. Even if you do not make a full payment for a card, it is important to pay at least the minimum amount of the cards (but only in the last case!), Rather than suspending all payments, the rates are slightly lower.
Looking for the lender
When seeking the card provider you do not have to explain the reason for the debt, but rather demonstrate your intention to pay it. It is interesting that in your preparation, the moment you put everything down on paper, assess your negotiating condition based on your income and your expenses.
Get in touch with the company by the customer service center or in person, in a special sector responsible for negotiating debts in the company itself. If communication with the industry is difficult, try contacting them by other means. The service via social networks, for example, has worked very well.
When negotiating a piece to know what the “Total Effective Cost” of the debt, it is mandatory to provide this information, which will contain the amount to be paid with interest, taxes and taxes.
Analyze well the proposal that is offered by the company
When you are face to face with the lender state what your financial situation is so you can reach a good agreement for both. Make your proposal, the company can offer a counter proposal and before accepting think carefully and evaluate if the agreement suggests your needs, so that you will not be defaulted again for not being able to sustain the conditions offered.
Is it worth it or not worth borrowing to take out the card?
Yes, but attention: only if the rate is lower than the one of the card. Taking out loans in financials that accept clients with names in SPC or Serasa usually means higher interest rates. In that case, do not do it, the problem will only increase.
If you have saved money to fulfill a dream and are reluctant to divert that amount to pay off your debt, the best thing to do is to take some of that amount for that purpose, so you can ask the creditor for a rebate which will pay for the view and the long-term financial loss will be much lower.
If you can not negotiate, ask for help
If you are not able to negotiate, you can ask for help from some specialized associations such as the Consumer Protection and Protection Foundation and the National Institute for Defense of Consumers of the Financial System. They will be able to help you and guide you the deal.