What is the best way to reduce my debt?
There is no “right way” to eliminate debt. One way to jumpstart your debt reduction plan is to pay minimum payments and focus on eliminating one debt at a time. There are different approaches to this process: * Pay off the debt with the highest interest rate: this makes sense if you carry similar balances on all (or most) of your accounts and the interest rates vary. * Pay off the debt with the smallest balance: paying the little debts off first gives you quick feedback, and you are more likely to stay with the plan. One of the most important steps in debt repayment is to pay all of your debts on time. If you can’t make the minimum payments, call your creditor to make arrangements.
