In fact, the priority of my 2010 new year resolutions is saving money. It’s followed by making money and paying down personal debts and AKPK debt repayments.

In year 2009, my main focus was on paying down credit card debt. Saving money was next and making money came last.

It would not have been possible for me to change the priority had it not been AKPK debt management programme. Being in AKPK DMP means that there is no need to worry whether banks will simply charge or increase late payment fees, annual fees, cash advance fees, retail interest charges and other surprises.

Just keep on paying the agreeable monthly repayments of RM320 for mine and RM360 for hubby’s to AKPK’s collection account, AKPK will take care of the late payment fess and whatever fees that banks accidentally, incidentally or purposely impose on.

My saving still stands at RM1,500 because hubby and I decided to pay back RM1,000 to his sister. I would have had RM2,500 if we had not paid RM1,000 to my sister in law.

Anyway, I feel good after depositing RM1,000 into my sister-in-law’s account. Being able to pay back money to others makes me feel that I am ABLE or I can AFFORD to.

After depositing the amount of RM1,000, I thought of paying her another RM500 the end of this month. But I think I have to change the plan now.

The amount of RM500 has to be used to pay the deposit of a flat nearby hubby’s school. It’s a 3-room flat which is a stone’s throw away from the school.

Living nearby the school means that hubby doesn’t have to wake up at 5.30 a.m., drive to school and drive home at 5 or 6 o’clock. Very long school hours, I must say.

In other words, hubby can wake up at 6.30 a.m., walk to school, come home to have lunch, take a shower and take a nap in the afternoon, walk back to school again and stay back until the evening. Still long school hours, but hubby can at least take a shower and rest for a while to recharge himself.

I am relieved that the monthly rental is only RM270 for a 3-room flat. There is no need for hubby and me to fork out extra RM270 every month to pay the rental.

We may just need to fork out extra RM50 for the flat rental because the rest of the amount comes from the savings of electricity and petrol costs.

You see, we are currently paying between RM100 and RM150 for the electricity bill because of the use of air-conditioner. As the flat is located on the first floor and on the hill slope, it’s kind of cool. Without the air-cond usage, the electricity bill will be as low as RM50.

As for the petrol cost, hubby estimates that it will save up to RM150 every month.

I have God to thank for all the blessings: hubby’s full time teaching job, my steady online income, AKPK debt management program, and good health. And now, the 3-room flat.

If you are really thinking that bankruptcy is your only debt relief option, you may/might be wrong.

As a woman who was once loaded with RM63,809 credit card debt in 2007 and later reduced the debt amount to RM40,000 in 2008, I had also thought of going bankruptcy.

The thought of filing bankruptcy rose when balance transfers, non-performing loans, short term loans and personal loans didn’t work to bring down the interest rates and outstanding amount much.

On the contrary, there were late payment fees, cash advance fees, retail charges, over-the-limit fees and other miscellaneous charges that kept adding new debt to the credit card debt.

I know how it feels to be under so much pressure from debt that you can’t even think straight. But believe me when I tell you that bankruptcy should be your last resort option.

I’m talking about no hope of ever getting out of debt after trying out balance transfers, non-performing loans, short term loans, personal loans, debt consolidation loans, debt management programs, and debt settlement plans.

One of the reasons that I didn’t opt for bankruptcy was because of the fact that I could pay off my credit card debt through a debt management programme offered by AKPK.

If you are a Malaysian and loaded with credit card debt, you may have known about AKPK by now.

Enrolling in AKPK’s debt management plan is another debt relief option that many Malaysians with credit card debt are seeking now. It’s a free debt management program that charges NO counseling fee, enrolment fee or monthly fee.

I am currently in AKPK debt management plan. In fact, I have been in the program for a year now.

Read my bumpy journey when applying for AKPK’s debt management program in 2008 if you think you need help from credit counseling and debt management program to help you pay off credit card debt.

As for me, my credit card debt (hubby and mine) was caused by excess spending and insufficient income. There was always not enough income (from both of us) to pay the credit card payments, daily expenses, car and home loan instalments.

Whenever there was insufficient money to pay the minimum credit card payments, withdrawing cash advance from credit cards was always the solution to settle the payments.

As a result, more credit card debt incurred due to cash advances, cash advance fees, late payment charges and other miscellaneous fees imposed by banks.

Just as I thought filing for bankruptcy was the only way out to get rid of staggering credit card debt and harassing phone calls and warning letters from the creditors and credit card companies, AKPK saved me (and hubby) from declaring bankruptcy.

Regardless of why you are in debt, you need to know that there is a way out without resorting to bankruptcy. You can get out of your situation through AKPK’s debt management plan if you are a Malaysian.

The AKPK’s debt management program is individually designed to provide you with a unique solution for your financial situation; it keeps you from having to take out a debt consolidation loan or file for bankruptcy.

If you think that a debt management program is right for you, it is important to make sure that you know perfectly well the pros and cons of enrolling in a DMP.

AKPK’s debt management plan is a way out to get rid of credit card debt without filing for bankruptcy for me, but it does not necessarily suit you.

You yourself have to attend the credit counseling briefing to know the ins and outs or the pros and cons of the debt management programme before making a decision.

There were a few reasons why I signed up a debt management plan and not any debt consolidation or debt settlement.

First off, the debt repayment plan I enrolled in is FREE. There is no initial fee or monthly service fee charged by the credit counseling and debt management agency.

Yes, it’s a free debt management program that is only available in my country. It’s not available to people in the US, UK, Canada and other countries.

As it’s a free debt relief program and I had come to a point that I couldn’t go on paying the huge amount of minimum payments, I decided to enroll in the debt management program.

But why didn’t I DIY debt management to pay off the credit card debt?

Oh, I did. In April 2007, I started self-help debt reduction to pay down some of my credit card debt before I joined the DMP. Between April 2007 and August 2008, I managed to bring down my credit card debt from RM63,809 ($18,000 in USD) to RM40,334.

Just as I thought my effort of tackling my credit card debt would pay off if I kept on budgeting and curbing my spending habits, bad things kept popping up.

First of all, the expenses always surpassed the income. Due to economy downturn, hubby and I were not making sufficient money to pay all the credit card minimum payments, car and home loan installments, utility bills and daily expenses.

When we failed to make payments on time, you know what will come next, right? Yup, banks and creditors started charging late payment fees, over the limit charges, cash advance fees, retail interest charges into my credit card accounts.

One day in August 2008, I told hubby that I had had enough of my credit card debt, non-stop phone calls from banks and warning notices issued by creditors. I wanted to get rid of them.

So, I am now in the free debt management program.

Had it not been the option of enrolling in a free debt management program, I would have filed for bankruptcy in 2008.

If you are a new credit card holder, you need to keep in mind that the real cause of your financial mess is you. Make sure you don’t put your blame on the credit cards and the credit card companies when your credit card debt is out of control.

One shopping spree does not usually cause high debt. It is usually a pattern that consists of gradually increasing purchases that add up to a large debt.

It’s fortunate that you are at the stage where your credit card debt is still under control. To make sure that you do not get into deep debt trouble is to start spending less than you make.

Spend Less Than You Make. It sounds simple, right? Well, it can be very difficult if you have a problem with willpower. It is important to stick with spending less than you make or you will find yourself in exactly the same place as I was before and had to resort to debt relief help option like debt management plan to get out of debt.

If you can summon enough willpower and strength towards your finances and spending, then you will find yourself the winner in the game of debt without the need of a debt management program.

As someone who has been there and done that, my advice is – If you don’t have the money to spend, then don’t spend it!

As long as I am still in the program, banks and credit card companies dare not won’t approve any credit cards or loans for me. This is good to me who is easily enticed by loan or credit card offers.

Before enrolling in the debt management plan, I used to have 7 credit cards and a personal loan. From one credit card to 7 credit cards in 2 years’ time, thanks to my weak resistance to credit card offers.

I did try hard not to give in to the temptation the credit cards offered, but material cravings were more powerful than the will of my mind at that time. The moment a credit card issuer approved me a new card, I could hardly wait to use it to pay for items and services I fancied.

If you don’t want to end up signing up with a debt management program like I did, it’s wise to prevent yourself from accepting another new credit card offer to add new debt to your existing amount of debt.

Credit card offers, no matter how enticing and convenient they might seem, may be the most expensive loans made by banks, department stores, and gasoline companies for you.

But how to avoid the temptation of credit card offers?

If you seem to have problems saying “no” to credit card offers, the most effective way to prevent yourself in accepting another credit card is a little bit of truth serum – How Much Credit Card Issuers Get from Every Transaction of Your Credit Cards.

Besides high interest rates, there are also annual fee, late fees, retail interest fees, cash advance fees, over-the-limit fees, and other miscellaneous charges that add to your credit card debt.

I decided to enroll in a debt management plan not because of the total amount of my credit card debt I owed. NO. It’s because I couldn’t bear with the high interest charges, late payment fees, over the limit fees and all sorts of ridiculous charges that added to my credit card debt exponentially.

All the fees and charges made paying down my credit card debt a waste of all my hard-earned money. I was only paying the fees and charges, not the principal amount of my credit card debt!

If you are really a person who cannot say “no” to numerous credit card offers, you must learn to pay bills punctually so the interest rates and charges are as low as possible. It also pays to read monthly statements while keeping the copies of sales receipts so you would compare the charges.

It’s better for you to learn how to deal with credit card offers now when your credit card debt is still under control, isn’t it?

I had to resort to joining a free debt management program after failing to see much decrease in my credit card debt. Month after month I threw in chunks of my hard-earned money into making the minimum payments, yet the total credit card debt didn’t seem to drop much.

Was it because I kept adding new credit card debt to my outstanding balance? Noop. It’s because of late payment fees, over-limit charges, cash advance fees, retail interest charges, and miscellaneous fee charges that kept being added into my total debt.

Scary, right? To avoid letting these horrendous fees imposed by banks and credit card companies drags you into a deep debt hole, you need debt management tips to help you get out of debt fast.

1. Credit Counseling. Seek help from a certified credit counselor who can help you navigate through your debt dilemma.

You can either opt for a non-profit credit counseling agency or a for-profit credit counseling company when it comes to credit counseling. The difference is that the former provides free counseling and charges a nominal monthly fee if you decide to enroll in a debt relief program while the latter charges quite exorbitant fees.

2. Debt Consolidation Loan. You should only consider a debt consolidation loan if you are not able to replace your high interest credit cards with one, low interest rate credit card. This is because you may have to pay for an application fee for a debt consolidation loan, whereas with a credit card you would not.

3. Home Refinancing. Refinancing your mortgage allows you to save hundreds of dollars per month on mortgage payments. With lower mortgage payments, the money saved could be used to pay off your credit card debt.

4. Home Equity Loan. Alternately to home refinancing, you may have enough equity in your home to cash out and pay off your debt. Most importantly, credit card debt is not tax deductible, but a home equity loan is. This means you can reduce your debt as well as reduce your tax obligation by cashing out.

See, you have some viable solutions to help you get out of debt fast without resorting to any debt management program, debt settlement plan or bankruptcy that damages your credit score.

I have NO MORE CREDIT CARDS. I am now a credit card debt woman who doesn’t even have a credit card. Of course, my debt is still here.

I feel good. Feel good that there are no chasing calls from banks, creditors and third party agencies. Feel relieved that there are no more exorbitant late payment charges, 18% finance charges, and ridiculous retail or cash advance fees.

Because of being placed under the debt management programme, I have a bit cash left in hand or saved as emergency funds now.

Like most credit card users, I am so sick of paying late payment fees, cash advance fees, balance transfer fees, and other hidden fees charged by credit card issuers.

I am sure most credit card users are like you and I only know there are annual fees and balance transfer fees. You only get to know there are not so obvious fees when your credit card bills arrive at the end of the month.

Do you actually spend your time reading the tiny prints of terms and conditions for your credit cards to check out other fees? I don’t and I bet most credit card users don’t do so.

As you don’t careful pay attention to the terms and conditions thoroughly, you have to pay through your nose for any hidden and miscellaneous fees imposed by credit card companies.

Before you apply for any new credit card in the future, check if there are not so obvious fees charged by the credit card issuer.

1. Late Payment Fee. You know late payment fee, but do you know how this fee is structured? For you knowledge, most late payment fees charged by major credit card companies are based on a tier-based structure.

As an example, you know there will be a $20 in late payment fee if your balance is less than $250 and there will be more fee if your balance is over $250. But how much you will be charged if your balance is more than $250? You have to read the terms and conditions thoroughly to for this information.

2. Cash Advance Fee. Do you always assume that there are no cash advance fees attached to your credit cards? You are wrong. As a matter of fact, most credit card companies charge a percentage fee, usually 3%, for cash advance fees. The percentage fee can be less than or more than 3%, depending on your credit card issuers.

3. Over-Limit Fee. Never ever go over your credit limit. Going over your credit limit brings you more fees at the end of the month. Usually the over-limit fees charged by credit card companies are based on a tiered structure and on your ending balance.

4. Returned Payment Fee. Do you know that if you don’t have enough funds in your bank account or you enter the wrong account information for online payment that causes your bank to return the payment to your credit card, you have to pay a cost for it? Your bank will charge a $20-50 fee on your credit card bill at the end of the month.

5. Balance Transfer Cancellation Fee. Credit card companies are trying their best to squeeze as much money as possible from you that they will penalize you if you think of canceling the balance transfer deal in the middle of the process. If you do cancel a balance transfer transaction in the middle of the process, you will surely be charged.

6. Foreign Transaction Fee. There is a 3-5% foreign transaction fee if you use your credit card to conduct a foreign transaction in a foreign country. You enjoy the convenience of using your credit card anywhere in the world, but there is a charge.

In brief, you have to read the terms and conditions of imposed by every credit card issuer before you submit any new credit card application thoroughly to find out about the hidden fees.

Don’t get me wrong. I am not saying that the plastic cards tempt you to overspend or the credit cards are the root cause of your credit card debts. Indeed, You are the one who should be responsible for the use of credit cards and credit card debts.

Ask yourself if you read thoroughly enough on financial tips and advice that helps you get more from a credit card and avoid falling into money trap.

Here are 7 ways to help you get more from a credit card:

1. Compare Interest Rates. Instead of applying for a low promotional interest rate credit card that only lasts for a very limited duration, search for a credit card that offers life time low interest rate. A life time or permanent low interest rate credit card helps to keep your monthly card payment low, especially on bigger purchases.

2. Apply for Credit Cards During Promotions. Promotion times are the best times where annual fee waivers, balance transfers, contests and free gifts are lavishly showered upon new credit card applicants by credit card companies to attract new credit card users.

You are also able to find the best balance transfer offered among various balance transfers that are being offered if you are paying too much for your existing outstanding credit card balance.

3. Keep Track of Your Reward Points. Always keep track of your accumulated points and browse through your credit card rewards catalog to see if you can redeem any usable product. Taking advantage of your credit card reward points by redeeming a home appliance at a discounted price or a cordless phone free of charge helps you save money in the long run.

4. Choose Cash Back Credit Cards. You may go for a cash back credit card if you always make full payment every month. You stand a chance to get most from a cashback credit deal.

5. Pick Credit Cards That Suit Your Lifestyle. Let’s say if you are an avid football team supporter, then use a football credit card that not only supports your club but also helps the new talents of the future.

6. Compare All Charges on Your Credit Cards. Besides comparing interest fees, it’s important for you to know the types of other fees such as annual fees, late payment fees, cash advance fees, over-limit fees, and some not so obvious fees imposed by credit card companies.

7. Use Your Credit Card Right After Your Statement Date. By using your credit card right after the statement date, you get to enjoy an interest-free period of up to 50 days. However, if you carry over an unpaid balance, send your payment as soon as possible to save on interest charges.

Now that you know the ways to get more from a credit card, make sure you use it as a check list each time you want to apply for a credit card.