Why Won’t Johnson Funding Get You Out Of Credit Card Debt?
Should you respond to Johnson Funding or Credit 9 and trust them that this is the best way to get out of credit card debt? If you have been thinking about it and you just received a “too good to be true” loan offer in the mail from Johnson Funding, Taft Financial, Georgetown Funding, Memphis Associates, Saxton Associates, Hornet Partners, Piper Funding, Polk Partners, Ladder Advisors, Apply Credit9, Cambridge National Lending, Greenlink Financial, Americor Funding, or Titan Consulting Group – listen to your gut instinct. Do you really think you qualify for a 3.09% interest rate? Do you really think that reservation code is especially for you? Check Best 2020 Debt Reviews and find out the truth.
More Americans are falling into debt than ever before. The total credit card debt in the country is in excess of $1 trillion and shows no signs of slowing down.
This number may be high, but it is still smaller than the total amount from student loans, auto loans, or mortgages. However, credit card debt is considered to be the most pressing issue from the point of view of lenders in America.
Johnson Funding – Why Is It So Hard To Get Out Of Credit Card Debt?
It can be difficult to get out of credit card debt due to high interest rates and revolving debt. Compare this to student loans that get easier to pay off over time thanks to income increases down the line.
It’s better for debtors to consolidate debt as soon as possible. Unpaid credit card debts during the holidays could get out of hand and become more difficult to manage in the future. Here are some tips to get out of credit card debt.
1. Debt consolidation
A popular method for getting out of credit card debt is to use a consolidation loan. Many Americans own multiple credit cards. As a result, they often have to pay multiple credit card bills per month.
Paying off multiple bills takes up time, and the interest paid on these cards tends to add up in the long-run. Some credit cards have high interest rates, so debtors should try to pay their credit card bills as soon as possible.
People often use consolidation loans to combine multiple high-interest debts into a single debt to lower your interest rate. This single debt is much easier to manage, and the lower interest rate can ease the burden on the debtor.
This is usually the go-to method to get out of credit card debt. However, debtors should ensure that their consolidation loan’s term isn’t too long, or they may end up paying more interest in the long-run.
2. Take up a side hustle
Some Americans have a secondary job that provides them with extra income. This secondary job is known as a “side hustle” and is typically a flexible part-time occupation that they can perform whenever they have time to spare.
For example, owners of pick-up trucks often offer delivery services to people that need them. These individuals can work when they want to, and they charge however much they please. The earnings from side hustles aren’t usually much compared to their primary jobs, but the money earned from these side hustles could be spent towards paying off your credit card bills. If you want to get out of credit card debt, it may be worth taking up a secondary occupation that fits your schedule.
3. Pay a higher amount
People with large credit card debts often pay only the minimum required amount each month. This practice should be avoided as it leads to greater interest charges. Debtors should instead pay an amount that is higher than their monthly minimum.
By paying more than your minimum, you can cut down on interest charges and get out of credit card debt faster.
This method could also help your credit score, as credit agencies view debtors who pay above the minimum amount more positively. However, this method is sometimes passed over in favor of debt snowballing.
In debt snowballing, debtors typically pay off their higher APR credit card as soon as possible while making minimum payments on their other credit cards. Once this card has been paid off, debtors can concentrate on paying off their card with the second-highest APR.