Are you feeling weighed down by the burden of credit card debt? Don't worry, we've all been there! But fear not, because we've compiled a list of 10 ways to pay down that debt faster and get your finances back on track. And because we know how dull financial advice can be, we've thrown in some jokes to make it a little more bearable. So without further ado, let's dive in!
8 ways to pay down debt faster plus a bonus
Make a budget: The first step to paying down credit card debt is to understand where all your money is going. You might be surprised to find out that you're spending more on coffee and avocado toast than you thought (hey, we all have our weaknesses). By creating a budget, you'll be able to see exactly where you can cut back and redirect that money towards paying off your debt.
Stop using your credit cards: If you're trying to pay down credit card debt, the last thing you want to do is keep adding to it. So put those cards on ice (preferably in a cocktail, because we could all use a drink right about now). Instead, try using cash or a debit card for your daily expenses. It might feel a little old-school, but it'll help you get out of debt faster.
Make more than the minimum payment: The minimum payment on your credit card is kind of like a giant "screw you" from the bank. They want to keep you in debt for as long as possible, so they set the minimum payment super low. But you're smarter than that! By paying more than the minimum each month, you'll be able to pay down your debt faster and give the bank a big ol' "screw you" right back.
Consider a balance transfer: If you have credit card debt on multiple cards with high interest rates, it might be time to consolidate. And what better way to do that than with a balance transfer? By transferring your balances to a card with a lower interest rate, you'll save money on interest and be able to pay down your debt faster. Just make sure to read the fine print and watch out for any transfer fees.
Negotiate a lower interest rate: If you have a good payment history with your credit card company, you might be able to negotiate a lower interest rate on your card. It never hurts to ask, and it could save you a ton of money in the long run. Just make sure to practice your best "please" and "thank you" before you call.
Consider a debt management plan: If you're having trouble making your monthly credit card payments, a debt management plan might be a good option. This is essentially a repayment plan where you make one monthly payment to a credit counseling agency, and they take care of paying your creditors. Debt management plans can also help you negotiate lower interest rates on your credit cards. Just be aware that these plans can have fees, so make sure to do your research before signing up.
Consider a debt consolidation loan: If you have high-interest credit card debt, you might be able to save money by consolidating it into a personal loan with a lower interest rate. This can help you pay down your debt faster, but make sure to shop around for the best rates and terms. And whatever you do, don't take out a loan from that shady guy down the street who's always hanging out in his windowless van. Trust us on this one.
Seek help from a credit counseling agency: If you're feeling overwhelmed by credit card debt and don't know where to turn, a credit counseling agency might be able to help. These organizations offer free or low-cost
Bonus: Get a money coach
It's hard to take on debt by yourself, but the good news is, you don't have to! Signing up with a Bolder Money coach can be a god-send! They'll help you get organised, figure out the best strategies to tackle debt, and find you money you can use towards paying down your debt.
So, what are you waiting for, let's crush debt this year!