Are you having a sort of showdown between you and your credit card debts? Who do you think will emerge as the winner? You can--if you play your cards right!

Fight Fire with Fire

If credit card debts are your nemesis, you can beat them at their own game with one of their own. We're talking about the nicest thing credit card companies have done in ages--offered credit cards with a 0% introductory rate to get people's business. A lot of people transfer the balances from their other credit cards to one of these cards and try to pay them off during the introductory period. And it's truly a good way, if not the best way for you to eliminate credit card debts. The problem is, it can be difficult to pay off all this credit card debt during the introductory period. Most introductory periods last anywhere from six months to a year. And credit card companies know people are trying to pay off their credit card debts this way, but then they close the account or transfer it to another card with a 0% introductory rate. Needless to say, it's making them a little angry. Therefore, many of them are now charging balance transfer fees.

If you want to pay off your credit card debts in this manner, we suggest that you:

• Look for a card that offers a long 0% introductory period. It shouldn't be too hard to find one that is a year.
• Make sure the card doesn't have an annual fee.
• Make sure the card doesn't have any balance transfer fees.

Another thing you have to be careful of when you do this is your credit report. If your credit report shows that your actions triggered six or more inquiries in a two-month period (by opening credit cards, getting a car, etc.) then you are eight times more likely to go bankrupt. (And you can't just pass "Go" and earn $200 to get out, either.) But if your 0% introductory rate lasts for a year, this would only trigger an inquiry once a year, unless you can manage to pay it all off sooner. And if you can do that, you will have eradicated your credit card debts in a year! Go for it!

All material COPYRIGHT © 2008 Debt Showdown. All rights reserved.

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