3 steps to fast track your way out of credit card debt

3 steps to fast track your way out of credit card debt
When credit card debt is weighing you down, these three strategies will throw you a lifeline - and change your life.

If you’re up to your eyeballs in credit card debt, you aren’t the only one with a buy now, pay later approach to finance. In fact, you're in excellent company - Australians owe a shocking $32 billion in credit card debit. This debt averages out at $4,300 per card holder paying $700 (up to 20%) in interest every year.

When the cost of living in Australia is soaring and the average salary is stagnant, it’s easy to find yourself spending fast and saving slow. But even when your credit card debt seems too big to beat, there are ways to do it - starting right now.

1. Stop Spending On Your Card. 

The fastest way to reduce your credit card debt is to simply stop using it. 

Track your daily spending for a week, from your flat white in the morning to your movie rental at night. You’ll be shocked by how much you spend on things you don’t need. Eliminate them from your expenses and start saving instantly. 

2. Pay Off More Than The Minimum Each Month. 

When you pay off the minimum every month, you accrue interest and give hundreds of your dollars to the bank - dollars that could go into your savings. Even $50 extra per month will make all the long term difference. 

Set up a direct debit that pays a fixed amount, above the minimum, every month. This will ensure you don’t default on your payment and save you money on interest. 

3. Consolidate your credit card debt into one manageable loan. 

If you have more than one credit card, it’s hard to keep on top of all the payments. Consolidate your credit cards into one loan with single repayment every month that’s easy to control. A SocietyOne personal loan uses your credit score to provide a tailored, low, fixed interest rate loan based on your unique credit history to help you wipe your balance faster and save you money. 

Start right now! 

The first step towards consolidating your credit card debt is to find out your credit score, which can be done fast and free with getcreditscore.com.au. Find out your credit score and you’re already on your way to a brighter, lighter financial future. Good luck!

Find out your credit score at getcreditscore.com.au