Making your minimum payments keeps you looking decent on paper. You avoid late fees, aren’t reported to the credit bureaus as delinquent, and therefore don’t have to worry about hurting your credit score. However, be very cautious of the interest that is accruing. You pay a heavy price for making only your minimum payments.
Minimum payments are how credit card companies make money from you. When you make only the minimum payment, a significant portion of your payment goes towards your interest or finance charges.
If you are struggling to make ends meet and only paying the minimum on your accounts, it may feel like your balances never come down. Fees and interest accumulate quickly and you may even end up paying way more than you originally owed. Not to mention, it could literally take you decades to pay off. If you’re struggling with debt, it may be time to seek help.
There are online tools and resources that can help you calculate how much you’d need to pay each month to save on interest and pay off the debt by a certain date. But if you are already struggling to pay the minimum on your accounts, these strategies may not be successful for you.
Instead, debt resolution may be a better option. The way the Aleevly Debt Relief program is structured, your monthly program deposits could be lower than your current minimum payments. That means you could be working to resolve your debt while actually saving money each month.
To see if you qualify, call a Certified Debt Consultant at Aleevly Debt Relief now at 877-506-5355.
- Optimized payments
- No required costs
- No credit impact
- Requires strict budgeting
- Interest rates don’t change
- No reduction on principal