The Domino System | Credit Card Debt Relief Secrets

The Credit Card Debt Relief "Domino System"

Most people find the ladder system a workable system. But others who have a somewhat different world view will favor a different system. It all depends on your personal tastes. While the ladder system is technically the fastest system for getting out of debt, many have found the domino system more interesting.

Some people find it more motivating to tackle the card with the lowest balance first. That gives you the victory of having killed off a card much quicker. Whichever system works for you is the one you should choose.

While the ladder system reduced your debt faster than any other approach, the domino system can also motivate you by retiring some of your cards more quickly. The truly important thing is - that you make a decision to act, get started and stay with it

I can’t tell you the thrill you’ll get when you pay off that first balance! It will certainly boost your morale and fill you with excitement. Then after the first card is dead and gone, you’ll immediately notice that you’re getting one less bill each month. That’s yet another sign of progress.

The system works in this way: You make a list of all your cards with your smallest balance at the top and the largest at the bottom. Make minimum payments to all the cards except the one at the top. That card gets the largest sum you can come up with.

When you pay off that first card, add together your old payment for the dead card and add it to the payment for the next card down the list.

The credit counselors we spoke to all agreed that this plan is the best because it provides us with a critical element the ladder system doesn’t – it gives you the psychological satisfaction and feeling of accomplishment that only a paid off card can create.