M any strategies for debt reduction are ineffective in today's environment, in which short-term interest rates have gone up and stringent bankruptcy laws allow credit card companies greater leverage against cash-strapped customers. Here are my "guerilla" strategies to get out of debt and turn your financial life around...

1. CUT CREDIT CARD INTEREST

When you're having financial difficulties and your credit is poor, you might not be able to transfer balances to lower-rate cards. But you can win concessions from card companies. You can ask for a lower rate -- often it will be reduced by five or more percentage points.

My suggestion: In a worst-case scenario, ask about a "hardship program" -- your interest rate could be reduced to 0%, provided that you repay your debt with an automatic payment plan.

Downside: It will be reflected on your credit report. Ask that your participation not be reported to the credit bureaus. Read all documentation carefully before signing anything.

Credit card companies don't publicize these programs. Be persistent. If the customer service rep can't help you, keep asking for supervisors.

2. PAY OFF CARDS WITH THE SMALLEST BALANCES FIRST

Why not pay off the cards with higher interest rates first? Most people stick to debt-reduction plans for a few months, then become frustrated at their slow progress and give up. You need a series of tangible victories along the way. The sense of accomplishment you get from paying off one of your credit cards -- even one with a small balance -- can motivate you to pay off other cards in the future.

3. STOP LIVING OFF YOUR HOME EQUITY

If you have a mortgage -- especially an adjustable-rate mortgage -- and have been taking advantage of soaring home prices in your area by pulling cash out of your home, it's time to stop. Interest rates are creeping up, and home prices are weakening in many areas.

My suggestions: Before rates go higher, take steps to reduce the amount you owe on an adjustable-rate mortgage and other variable-rate loans, such as home-equity lines of credit, by converting to fixed-rate loans.

Also: Pay down your mortgage early by requesting a biweekly payment plan. This can reduce a 30-year mortgage to 23 years or less. On a $300,000 mortgage at 7%, a borrower would save more than $103,000 in interest.

4. IF INCOME DROPS, REDUCE SPENDING, TOO

I've seen many families get into financial trouble because they don't alter their spending habits when one spouse stops working.

My suggestions: If your household goes from having two incomes to one -- say, your spouse wants to go back to school -- practice living on one income for six months to see if you can. Also, to prepare for layoffs and other losses of income, build up an emergency fund. Otherwise, a minor financial crisis will force you to use credit cards to make ends meet, plunging you into high interest rate debt.

5. BECOME A FEE FIGHTER

If you're like most Americans, you pay hundreds of dollars a year in late fees and other annual charges.

My suggestions: Call and negotiate. A credit card company often will waive or reduce fees if you threaten to close your account.

Negotiate a waiver of your annual fee. Unless your card is affiliated with frequent-flier programs or rebate offers, you should not be paying an annual fee. If you are, ask that the fee be credited back to your account.

If you know you'll miss the due date on a credit card payment, ask the card issuer to add an extra few days to the grace period for that month.

Helpful: Take advantage of new programs that help you save. For example, Bank of America's Keep the Change program (800-900-9000, www.bankofamerica.com, click on "Keep the Change") rounds up to the nearest dollar every purchase a customer makes on a Bank of America debit card, then transfers the difference to the customer’s savings account. The bank matches 100% of your Keep the Change savings for the first three months and 5% of your savings each year, up to $250 a year.