How Did You Pay Off Your Credit Card Debt?

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When I was working to pay down my credit card debt, I opted to earn more instead of cutting back drastically on my expenses. Part of that equation was where I lived: an exy CBD. I couldn’t just pick up and spend money to move to a less expensive place, so I decided the way out was to make as much money as I could.

And while I did that, I didn’t stop getting haircuts for $40 a pop. I didn’t quit coffee cold turkey. If I was going to be working a ton, I figured, I may as well have some modern conveniences to keep me motivated.

What debt payoff methods have worked for you?

But for every person who followed steps like mine to pay off debt, there’s someone who put together a completely different set of variables. Maybe you took in a roommate even though you also had a newborn baby. Maybe you joined a carpool even though talking to humans before the stroke of 9am makes you want to tuck and roll onto the highway at full speed. (We do desperate things when we want to unload a financial burden.)

So tell us: what strategies have you tried to pay down credit card debt? Did you spend less, earn more, play the balance-transfer game, or do all three? Tell us in the comments. No tactic is too big, small or wacky.


Comments

    Either hit the card with the lowest balance or hit the one with the highest interest rate first. Quitting alcohol during the week also helps a little (with finances and mental acuity but not stress relief).

    pocketbook is a great app that is free. It links up with your bank and does a pretty good job of automatically categorizing your transactions. It really helps create awareness of where you are spending your money.

    Another method i used was putting reoccurring transactions i.e. netflix, spotify, haircut etc in a spreadsheet which shoes how much it costs me weekly, fortnightly, monthly and yearly to show an overview of where I could save. I now pay for yearly memberships to get a cheaper rate and switched barbers for cheaper options as well as spaced out days between cuts.

    It's the little things that add up I guess. Hope it helps

    Last edited 09/07/19 1:20 pm

    Review your spending and catorgorise it without judgement. What gets measured improves.

    How Did You Pay Off Your Credit Card Debt?Slowly, eventually and with zero assistance from the bank when I told them I was struggling. So I'm no longer with that bank.

    I ended up getting a weekend job, hard work with two jobs 7 days a week but made sure my pay went in to a totally different bank account. It was never part of the weekly budget and was transferred directly onto the credit card.

    Took a while and was hard work but worth it to see a clear credit card which was immediately reduced to a low limit.

    If you're struggling with credit card debt, especially if you have multiple cards, or debt with multiple high interest providers (store cards, payday loans etc) talk to the bank. It can be possible to get a debt consolidation loan. Basically you take out a single loan for the total value of all your debts. The loan pays out your other debts and you kill off all the cards so you can't get into trouble with them again.

    Often the interest rate on the loan is cheaper (some store cards are close to 30% interest) but more importantly it's a single payment to manage rather than multiple. If you still need a card (for example to pay monthly internet bills or similar) you can instead get a visa debit (or similar) which shops view as a credit card, but you need to put money in it first. So it's using *your* money rather than borrowing money from a bank/credit provider.

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