If you have a credit card debt problem, you are not alone. Many Australian’s  struggle with credit card debt payments every day. Dealing with debt can be incredibly worrying and frustrating, especially if you have high levels of credit card debt which attracts a high rate of interest. However, it is possible to find a solution for your credit card debt and get on with your life.
We recommend that you try our five (5) tips below before you consider any formal debt solution.

1.            Make Your Credit Card Repayments on Time

Firstly, it is very important to make your repayments on time. If you constantly pay your repayments late, you will just get yourself into further debt with later payment penalties and additional interest. If you have trouble remembering the due dates, write it down on a calendar. Paying your credit cards late will result in defaults being recorded against your credit file which will impede you from getting more credit in the future.

2.            Budget Your Money

If you want to manage your credit card debt, you have to budget your money. Make a budget (either a weekly, fortnightly or monthly budget to match your payroll cycle) and stick with it. Don’t be afraid to cut out unnecessary or luxury expenses to meet your set budget. For example, you could save money by downgrading your internet package or pay TV package and eat in rather than eating out until you get your credit card debt under control.

3.            Take advantage of  Zero Interest Credit Cards (account transfers)

Credit Card companies often promote a zero interest credit card for three (3) to six (6) months if you transfer your balance. If you can achieve this, you will save lot of money in interest for the promotional period. But remember, do not spend money on the old credit card – cut it up so you avoid the temptation of getting further into more debt!

4.            Replace your Credit Card with a  Debit Card

If you have credit card debt, you should replace it with a debit card.  With a debit card you can only spend money that you transfer onto your card.  That way you are not spending money which you don’t have! Again, if you get a debit card, do not spend money on the old credit card – cut it up so you avoid the temptation of getting further into more debt!

5.            Pay a little extra each week against your credit card

Try and pay a little extra each week or month over and above the required minimum payment.  Did you know that if you only pay the required minimum payment, it will take many years to pay off the credit card?  Credit card statements now show the time period it will take to pay off the debt if you only make the minimum payment.  Check out your statement next time you receive it – you will most likely be shocked!
If you follow these simple tips, you should soon get back in control of your  credit card debt.
If you feel you are not getting your credit card debt under control,  you may wish to consider  professional help. We offer free expert advice  to all Australians.  Call us today if you want to know how you can reduce your credit card debts.  Call now on our toll free line 1800 462 767.