Here’s how to do it:

• Lay all of your credit cards in front of you and add up your total amount of credit card debt. Then, take note of the interest rates on all credit cards. Once you have a total amount, it is time to identify if you possess a credit card with enough credit to accommodate your other debts, as well as a competitive interest rate. If you have a card that fits the bill, contact the creditor and inquire about a balance transfer offer. If the creditor cannot provide you with a good balance transfer offer, it may be time to look elsewhere.
• Head to the Internet and compare the latest balance transfer offers. We like using the Internet to find credit cards with balance transfer offers because many of the websites compare credit cards, side by side, thereby allowing you to better compare their rates and features.
• Pay close attention to the card’s balance transfer offer. Look for the card’s promotional rate, the length of the promotional rate and balance transfer fees. In addition, pay close attention to the interest rate of the credit card once the promotional rate has ended. It is important to note that some balance transfer credit cards offer low promotional rates on balance transfer offers, but don’t extend the rate to purchases. The balance transfer fee is particularly important, as it could add up to hundreds of dollars in fees. For example, if the balance transfer fee is five percent and you transfer $10,000, your balance transfer fee would total $500.
• Look closely at the card’s terms and conditions. Before you accept a credit card offer for a balance transfer, carefully read the card’s fine print. If there’s something you don’t understand, ask! The best way to ensure you are making the best decision regarding a balance transfer is to fully understand the card’s terms and conditions.

Here is what you can expect if you fail to make a credit card payment:

• You miss your due date – You will likely receive a few, polite phone calls to remind you of a missed payment.
• You are 30 days past due – Someone who is 30 days past due on their account will have likely missed the payment before the next billing cycle rolls around. In this case, the creditor will likely use “soft tactics” to receive their payment. You may expect to receive phone calls, emails and letters, although all of these tactics will be decidedly patient and helpful. Once 30 days has passed without a payment, the creditor will likely report you to the credit bureaus as delinquent.

Now is a great time to ask your creditor to help you find solutions to your financial problems. During this stage of the game the creditor will likely negotiate more manageable payment arrangements with you. Don’t, however, avoid the creditor and ignore the problem; it will only make things worse.

• You are 60 days past due – OK, now things are really starting to look bad. You’ve missed two billing cycles and the creditor has almost certainly reported your account as delinquent to the credit reporting bureaus. Plus, they are also likely not so nice anymore. Most creditors will issue a warning telling you that if you don’t pay on your card it could end up in serious delinquency.

It’s not too late to talk to your credit card company about working together to find a solution to your credit card woes.

• You are more than 90 days past due – Many creditors will simply write off the debt as a charge-off if you fail to pay for three or more months, meaning that it will go to a third-party collections agency who will, no doubt, employ more aggressive tactics to get their money.  Your debt with the creditor could ultimately be brought to court, as well, resulting in wage garnishment.

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If you are struggling to keep your head above water and your debts are overwhelming you, it may be time to call in the help of a qualified credit counselor. Here’s what to look for in a credit counselor:

• When searching for a credit counselor, look into national organizations, such as the National Federation for Credit Counseling or the Association of Independent Consumer Credit Counseling. Any company that is affiliated with a national organization such as these will have to adhere to strict guidelines and codes of ethics.
• Contact the Better Business Bureau and/or your state attorney general to see if there have been any claims or disputes against the credit counseling agency. Of course, if you find a long history of complaints against the company, it is probably best to steer clear.
• Learn about the company’s procedures regarding payments to your creditors. Most credit counseling companies will get you into a debt management plan, and they will ask you for payments that will be passed onto your creditors. However, they will also likely charge additional fees to do this. Make sure you fully understand how their system works and how they will pay your creditors.
• Beware of lofty promises. In short, beware of any company that promises to get you out of debt in a short period of time or fix your credit in a matter of months. The truth is that a credit counselor can simply negotiate better terms and lower payments with your creditors; not fix your credit. Timely payments over a period of time are the only thing that will fix your credit.
• Get everything in writing. Don’t take a credit counselor’s verbal promises and run with them. The only type of agreement you should consider is a written one.

After licking your wounds, there are a number of things you can and should do following a credit card rejection:

• Even if you applied online or via phone for a credit card, you will receive a written notice in the mail regarding your rejection. It is important to read this letter so you can gain some insight regarding your reason for rejection. If the letter does not give you the answers you are looking for, you should contact the credit card company directly and ask them for a more detailed explanation. After all, you cannot change or improve things if you don’t know what to change.
• You are entitled to a free copy of your credit report once a year; and again if you are rejected for a credit card offer. It is very important to take them up on a free copy of your credit report, particularly if you don’t understand why you were rejected. After you receive your free credit report, carefully examine it for any unknown charges, errors or discrepancies, and immediately report them to the appropriate credit reporting agency.
• Take the information you gleaned from your credit report to better your credit score. Although it stings to be rejected for a credit card, the best thing you can do is work hard to improve your credit score. Often times, simply by paying your bills on time and curbing your credit card debt for a period of as little as six months, you can raise your credit score high enough to be approved for a credit card.
• If you still want the many conveniences of having a credit card, but your credit is not strong enough to qualify for an unsecured credit card, consider applying for a secured credit card. A secured credit card, because it requires a cash deposit typically equal to your credit limit, allows individuals to be approved for one even if their credit score isn’t great. Plus, a secured credit card can help you begin building a strong credit history and improve your credit score.

Their excuse: they didn’t receive their credit card statement in the mail.

Sorry, but that excuse just won’t cut it in the eyes of your creditor.

Creditors don’t want to hear about lost credit card statements, payments that may have gotten lost in the mail, or nearly any other excuse (real or otherwise) that you may throw their way. You may have some leeway with your creditor the first time this happens, but don’t expect your creditor to be a sympathetic ear to your financial blunders. Take matters into your own hands and make sure the bills get paid.

Because of this, it is important to understand and take care of your monthly debt obligations. Here’s what you can do:

• Make a spreadsheet or other document that clearly marks all debts that require monthly payments, including the mailing address for the creditor, your account number and the due date each month. A spreadsheet will allow you to reference your monthly obligations, thereby ensuring you won’t overlook a payment.
• Set up electronic statements and forgo the paper statement. An electronic statement notification will be delivered, via your email, each month, and your statement will be available online and accessible using a username and password. The email notification may be just what you need to remind you of an upcoming credit card bill.
• Set up automatic payments, if desired. Automatic payments allow you to pay your credit card bill each and every month, at the same time, without a thought from you. If you have trouble remembering to pay your credit card bill (or any other bill, for that matter), automatic payments are definitely the way to go.

If you answered yes to any of the above questions, you may very well be financially in over your head. The great news, however, is that there are ways to steer your finances in the right direction and gain control over your debt. Yes; in fact, there are solutions to your debt and financial problems!

Here are the following steps to take to finally get over your financial problems so you can look forward to a financially positive future:

• You can’t change what you don’t acknowledge – Unless you realize you are in over your head in debt, you can’t begin to change your financial future for the better. Often times, acknowledging your financial woes can mean having that long overdue talk with your spouse or family; other times, it can be finally laying everything on the line and actually opening your credit card statement. Take whatever steps you need to take to get to the place of acknowledgment; otherwise, you can’t expect to move forward and begin righting your financial wrongs.
• Take a deep breath and take a good, hard look at your finances – This is often the hardest part for those individuals in debt; but it’s an important step. Gather every bit of debt and spread it out in front of you. Then, get a calculator and add it all up. You can’t begin to understand where you stand financially until you have a clear understanding of your current debt load.
• Make the necessary phone calls – One of the best ways to begin your financial road to recovery is to call the debtors to which you owe money and talk to them. If you have neglected bills and loans, now is the time to set up payment plans. If you are in over your head, ask for a payoff amount, and negotiate lower payments, if necessary. The creditors may say no, but it’s always worth a shot.

Unfortunately, not all marriages end peacefully and, a result, not all credit scores are kept intact. If you have made it through to the other side of a divorce, but are financially wrecked as a result, you will need to begin making moves to repair your credit so you can move on. Here’s what you need to do:

• Any joint credit cards should be immediately canceled – Although any outstanding credit card debt will still be half of your responsibility, you can cut off any future debt at its knees by removing your name from all joint accounts.
• If you are a woman who relied on your husband’s credit over the years, it is now your time to begin building your own credit history – The best first step is to take out a credit card in your name. If you don’t have enough of a credit history to do this, take out a secured credit card. Secured credit cards are ideal for individuals with no credit or poor credit, and they are a great way to begin building a positive credit history.
• Open a bank account in your own name – A great place to open a personal bank account is through a credit union, as it will allow you to not only begin establishing a credit history, it may also serve as your lender if you need a car loan or credit card. In fact, a credit union is often the best place to go if you need to apply for a credit card.
• If you have a loved one who is willing to help you, ask them to “piggy back” you onto their credit – In other words, you may consider asking a loved one to co-sign for a credit card or loan or allow you to become an authorized user on their credit card. Although this situation is not for everyone, it can be a great way to rebuild your credit and begin your new life.

If you’re like most consumers, you simply don’t know. However, what you don’t know or don’t acknowledge can hurt you, so take the time to get your credit in check so you can start out the New Year with a clean slate.

Here’s how:

• Order free copies of your annual credit reports – Every consumer is entitled to one free copy of their credit report from all three credit reporting agencies, including TransUnion, Experian and Equifax each year, so don’t let this year end without claiming your free copy. It is a great time to review your credit card activity from 2010 so you can clear up any discrepancies before the New Year rolls in. This is especially important in the upcoming year, as many individuals are now heading back into the home market, vehicle market and credit market after a rough last couple of years. It only makes sense to take care of any credit report problems before you apply for credit. Now is the time to take care of your financial housekeeping!
• Take an inventory of your current credit cards – Now may be a good time to close those credit cards that simply aren’t working for you. Is it worth lowering your credit score to cancel credit cards? It is if the rates are simply too high or the terms and conditions are not in line with your spending and budget, it may very well be worth it. If you opened up one too many retail credit cards during the holiday season, take them out of your wallet and resist spending on them until you have paid down your current balance.
• Make a financial game plan – Gather all your credit card bills (especially those that resulted from your holiday shopping) and line them up in order, from the highest interest rate to the lowest. Then, develop a game plan to pay them off in a reasonable amount of time. It just doesn’t make sense to carry high credit card balances into the New Year and beyond, so make it your New Year’s resolution to pay them down and kiss those high balances good-bye.

Many individuals choose to consolidate their credit card debt in an effort to lower their interest payments and to ease the burden of paying multiple bills each month. For those reasons, it is often quite advantageous for individuals to use the services of credit card consolidation.

However, unless consumers make a game plan once their consolidation takes place, they may be doing little more than freeing up their credit cards to begin spending once again.

One of the main problems with credit card consolidation and balance transfer loans is that, once consumers pay off their debt, they begin, once again, spending on the credit cards that they recently paid off.

With that said, it is usually a good idea to have a game plan in place so that you can better deal with your credit card consolidation in a responsible fashion:

• If you know that you will likely begin spending on those credit cards once the consolidation has taken place, cancel the cards. Some credit card analysts tell individuals to not cancel any accounts because it will affect their credit score, but the truth is that a small hit on one’s credit score is better than mounting credit card debt. In other words, canceling cards is always the lesser of two evils if you have trouble controlling your spending.
• Set up a repayment plan and stick to it. You can begin making a considerable dent in your consolidation loan or balance transfer if you calculate how much you can afford to pay each month and then stick to your plan. There is no better satisfaction than watching your credit card balance dwindle, month after month.
• Set up a reasonable household budget and take the time to find out why you overspent on your credit cards so you begin to see where your money is going every month and how you can avoid going back to that situation.

A credit score of less than 600 generally means that your chances of obtaining any type of loan or credit are slim to none. However, if you are looking for ways to build your credit back up and begin the process of repairing your credit score, you do have options when it comes to securing credit.

• Look at cards that marketed to people with “fair” or “poor” credit. Although there is a chance that you may not be approved for one of these credit cards, it is a good place to start. However, don’t keep applying if you get turned down, as too many credit checks on your credit report will further lower your score.
• Look at secured credit cards. Secured credit cards are specifically designed for individuals with either no credit or poor credit. A secured credit card works like a debit card, of sorts, as you can only spend as much as you have in a special savings account. The money that you supply to the credit card company acts as their insurance in case you fail to pay your card. In other words, if you supply the credit card company with $500, you will have a credit limit of $500. Make frequent charges on your credit card and pay it off in full each month to begin building a strong credit history. Remember: secured credit card companies report to the major credit reporting agencies in much the same way as traditional credit card companies.
• Ask a spouse or family member to co-sign a credit card for you. If you have experienced a blow to your credit because of unforeseen or unavoidable circumstances, you may very well have a sympathetic family member who is willing to help rebuild your credit by co-signing a credit card for you.