This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

4 Tips to Tackle Your Midyear Debt

"The summer months are a great time for you to reevaluate your financial resolutions from January and recommit to practicing smart financial habits that can lead to living with less debt," says Julie Springer, a consumer education director at TransUnion. "Giving your credit health a midyear checkup can identify areas to work on -- and also allow you to celebrate the progress you have made during the first half of 2013."

To lower your personal debt levels, here's what TransUnion advises:

Know your score. Start with your current credit score. You can get a free credit report (but only once annually) at

Break out your calculator. TransUnion advises calculating how much you usually spend paying each debt and how much interest that debt collects per month. "If you have available cash after paying all your monthly minimums, determine which debts need to be paid down first," the firm says. "For example, pay down credit card debt and any other high-interest rate loans or high annual fees first."

Plan to negotiate -- then actually negotiate. To further reduce your debt payments, reach out to your creditors and talk up a reduction in interest rates tied to your credit cards and auto loans. Creditors are amenable to that dialogue, especially if you throw in some good-faith, upfront money -- or in the case of credit card debt, threaten to take your business elsewhere.

Look to refinance your larger loans. Interest rates for things such as mortgages and auto loans are rising, so it's a great time to try and lock in a lower rate, especially since most economists expect interest rates to keep rising.

TransUnion also advises drilling down deep into your personal finances and crafting a monthly budget that actually works. "See exactly how much you can afford to pay each month by subtracting your expenses from your monthly income," the firm says. "Divide the remaining amount between the accounts, paying the most to the debts with the shortest terms and highest interest rates. Create a payment calendar with the due dates and the payment amounts you just calculated for each bill. Sign up for automatic bill payment through your bank or register for online payments."
2 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $109.50 0.00%
FB $92.47 0.00%
GOOG $639.16 0.00%
TSLA $226.72 0.00%
YHOO $32.37 0.00%


Chart of I:DJI
DOW 17,050.75 +138.46 0.82%
S&P 500 2,013.43 +15.91 0.80%
NASDAQ 4,810.7880 +19.6360 0.41%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs