Credit cards can be a great financial tool when used wisely but can quickly become a burden if you fall behind in payments. Even under the newly enacted consumer protection legislation the credit card companies can still raise the interest rate they charge you on your outstanding balance to the default rate if you miss a payment or two. This default rate is likely to be several times higher than the interest you are currently paying and can compound the problem of making your payments on time.

Because of this, many consumers are looking for ways to obtain some help with their credit card bills and luckily there are a few ways to approach this problem. While most of these options are available to anyone hoping to reduce their credit card payments, you should always try to find a solution to your credit card debt that enables you to avoid damaging your credit score. By protecting your credit score you can be sure you’ll always be able to get the credit you need in the future at the lowest possible rates.

One of the easiest ways to find some relief from high bills is to contact each of the credit card companies you deal with and ask for a lower rate adjustment. With the horrible economy in recent years many lenders have access to funds at a lower rate and may actually lower your interest rate as a result. You can simply call them each month and see if they can lower your rate based on your current credit. In some cases they can even do this on the phone while you’re calling. Other times they may offer another credit card that has a lower initial rate that they can switch you over to automatically. Even though these types of programs have been available for years, many consumers never think to call their credit card companies and ask.

Another approach to finding some debt relief is to locate a new card that offers a low introductory rate. Credit cards are a very competitive business and companies are always offering promotions in the hopes of stealing customers away from their competition. In many cases they will offer new customers a card at 0% interest for a year or more on any balance you carry. This can be a great way to pay down your debt quickly by transferring an older balance to these lower rate cards. If you still make the same payment on your new card as you did on the old card it will help you reduce your outstanding balance quickly since more of it will be applied to the principle.

After you have exhausted these two options you might consider a loan from your bank or credit union to pay off your cards. Most times these loans are at a far lower rate than the cards provide and paying them off in one lump sum will also help to raise your credit score. Consolidating your debt into one monthly payment will make it easier for you to pay your loan on time and avoid keeping track of multiple credit card payments. If you secure a home equity loan to use for paying off your cards you may also have the added benefit of being able to deduct the interest you pay on the loan at tax time.

If none of these options work for you, there are credit consultants that can negotiate with your company on your behalf. They will have you bring in all of your recent statements as part of your initial consultation and work with you to build a plan to pay down your debt. This may also involve working with the individual company to lower the interest rate they are charging you. In some cases these companies may actually loan you the money to pay off the cards and allow you to pay them back over time. While this may seem like a perfect solution, many credit card companies will report you as a bad credit risk as part of this adjustment. You need to understand very clearly what the consequences and risks are before choosing to engage a credit counseling service. In some cases the temporary dip your credit score may take from this type of negotiation will be worth it if it allows you to finally pay off your debt.

This type of debt relief is normally a last resort for most people and should only be considered after all other options have been exhausted. You also need to understand the fees involved with this type of activity as many of the companies that offer this service can be fairly expensive. In most cases you can do the negotiations yourself but may not be able to accomplish the reductions these experienced companies can provide. This makes the cost of having a professional handle the delicate negations on your behalf well worth the cost.