Ways to Reduce Credit Card Debt


  • Get on an attack plan to get rid of credit card debt.
  • Review the many different debt solutions available.
  • Start by establishing a budget.
  • Commit to stop spending on your credit cards.
(8 Votes)

5 Step Plan to Reducing Your Credit Card Debt

Congratulations! You found the complete credit card debt help attack plan. With this plan you can finally tackle your credit card debt and become debt free.

Materials You Need

If you are truly looking for credit card debt help, these are the materials you'll need to fight your battle with debt:


Yes, you have to cut up those credit cards, but only if you have multiple cards. It is good to have one on hand in case of dire emergencies (and 25% off the latest plasma screen TV doesn't count as a "dire" emergency).

Household Budget

This is the core of your plan. You want to establish a household budget so you can determine what your income is and what real expenses you have. To learn more about establishing a budget, check out the Bills.com household budget guide

Debt Consolidation Loan (optional)

Not all credit card debt situations call for a debt consolidation loan, but some definitely do. We'll discuss ways to determine what tools you need to use for your specific debt problem later.


This is a must. If you really want credit card debt help, you need to be determined. You're going to have to make sacrifices and it's not going to be easy. Determination is the key to success.

Time To Prepare For Battle!

Step 1: Analyze Your Situation

As was mentioned before, each debt situation is different, especially when it comes to credit cards. Some people have thousands of dollars on one card. Others have five different credit cards each with their own increasing balance. Others have retail business cards (i.e., Sears, Nordstrom, and so on) that are tied directly to a specific retailer. In any case, what you want to do is identify exactly how much debt each card is carrying and then add it all up. This will give you an idea of exactly how much you owe.

Step 2: Remind Yourself About Your Debt — Constantly!

After you've analyzed your credit card debt and know the exact total, you need to always remember that number. Write it on a piece of paper and tape it to the refrigerator door. Put it in your purse or your wallet. Keep it in your car on your dashboard. You need to constantly remind yourself that you have a lot of debt. This will help you stay motivated. As you start paying it down, change the number. The goal is to one day be able to throw away all paper reminders because there is no number to write down (because you're debt free!).

Step 3: Start Cutting Cards

If you have multiple cards with multiple credit card debt, cut all of them except for the one with the lowest interest rate. The best way to avoid using your credit cards is to make them useless. You should have at least one credit card on hand for dire emergencies but go ahead and cut the others. Cutting the credit cards won't make your debt disappear, but it will lessen the likelihood of you spending more on them.

Step 4: Create And Stick To Your Budget

Now it's time to show those credit cards who's boss. What you want to do is establish your household budget. The goal is to identify your income, your "must pay" items, and areas you can cut back (i.e., trips to the movies or restaurants). Once you're budget is established, stick to it! This will be difficult at first because in many cases it requires changing old habits and lifestyle behaviors. However, if you want to get debt free, you need to make sacrifices. No pain, no gain.

Step 5: Start Paying Off Your Credit Cards Or Get A Debt Consolidation Loan

The final step is to start paying off your credit cards. Based on your budget, figure out how much you can afford to pay each month. It has to be more than the minimum payment if you want to seriously tackle your debt. Stick to this schedule until your debt is done! It might take years to accomplish, but it's better than letting your debt fester for years to come.

Multiple Credit Card Debt Option — A Debt Consolidation Loan

If you have multiple credit cards all with enormous interest rates, call each company and see if they'll lower your interest rates for you. If they won't, consolidate your credit card debt with a loan. This type of loan allows you to payoff your credit card debt and rolls it over into a loan payment with a better interest rate. Find a debt consolidation loan today.

But What If My Debt Has Gone Into Collections?

If your credit card debt has already gone into collections, you need to act fast. A debt consolidation loan is one option, but you do have a few more. Check out quick debt solutions that you can take advantage of today.

(8 Votes)

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Recent Best
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  • SM
    Feb, 2011
    Beverly Hills, CA
    I am currently in debt because of a Missouri health insurance claim that was never taken care of that I've been paying off with credit cards. Is there anyway I can get my insurance company to pay off my CC debt?
    0 Votes

    • BA
      Feb, 2011
      I am not aware of any way to get your insurance company to pay off your credit card debt. If you feel that your health insurance claim was not taken care of properly, then you may want to speak with an attorney or with the office in your state that regulates insurance providers.
      0 Votes