How to Eliminate Credit Card Debt Fast
When you are getting out of debt, you really need a plan to attack your credit cards. Most people I talk to ask where they should start. I recommend starting with the one with the smallest balance and biggest payment.
Why do I recommend this strategy? You want to start with the small balances because it allows you to eliminate the debts faster, and you can see progress quickly. But you could have more than one card with balances that are about the same. And in that case you want to attack the one that takes the most of your money each month.
The card with the smallest balance and biggest payment may not necessarily be the one with the highest interest rate. Pay the minimum payments on all the other cards, and use everything else you can to pay off the first card with the smallest balance and biggest payment. This will create momentum and a snowball effect as you pay off the first card and then apply the strategy to the next card, as you move up the list. This plan will help you eliminate your credit card debt fast.
For more info on how to get out of debt and stay out of debt, get my book Defeating Debt.
- Chris's blog
- Login or register to post comments