Ask Jill: Credit Card Debt - Can Calling Help?

(MoneyWatch)  I asked you to talk to me about your money and you delivered! I'll work through questions through the Financial Decoder blog, so be patient. Remember, you can send me your questions be sending me a comment on my blog, here or by sending an e-mail to [e-mail].

We start with a great questions from George P., who wonders, "is there ANY advantage in calling the credit card company to settle my debt?" George is 28 years old, owes $5,500 on one card and outside of his car loan, which he will pay off in three years, he is squeaky-clean. He wrote: "After hearing your advice on the [The 404] podcast, I was shocked at the average credit card debt for each household. What advice can you provide me regarding me settling my debt with my credit card company?"

George is actually in good shape--he has a job, keeps his expenses low and even plans to purchase a condo/home soon. My advice to George is simple: start kicking butt on the credit card debt! Sure, he can call the credit card company and attempt to get a lower interest rate on the outstanding $5,500, but the reality is, the best way to get back at these credit card companies is to pay down your debt, George!

There is a bit of a caveat, though. Because George plans to buy something in the next few years, he needs to keep tabs on his credit rating. Don't go to the singing pirates for this information--George should go to annualcreditreport.com and make sure that over the next three years, he removes all of the blemishes on his record.

I have a sense that George knows all of this, but it's always good to have a reminder. Now keep those questions coming!