3 Simple Steps to Manage Your Credit Card Balance

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21 May 2023

3 Simple Steps to Manage Your Credit Card Balance

 Simple Steps to Manage Your Credit Card Balance

Are you feeling beat up by your credit card balance? The swipe-and-sign (or click-and-spend) feels nonstop and unavoidable. Daily spending quickly spirals into unmanageable debt in a world with rapid inflation.

Fortunately, there are ways to manage your credit card balance and get a handle on debt before it spirals too far out of control. Here are three simple steps to help you stay on top of your finances:

Create a budget

A budget is the foundation of your finances. A straightforward overview of your monthly income and expenses tells you exactly where your dollars go and how much cash is available to pay off debt. With a budget, you can set realistic goals and allocate money to different categories like food, entertainment, travel, etc. A reasonable budget also makes it easier to recognize wasteful spending or areas where you can save more money.

Creating a budget doesn't have to be painful. Check out our free budgeting tools!

Speed up your debt payoff

Now that you've got your budget and know what you're working with, it's time to get to the actual debt payoff.

First, you'll need to create an intentional strategy with your situation and goals in mind. You can do this yourself with an approach like a debt snowball or debt avalanche method. Or, you can connect with a credit counselor or debt relief company for assistance.

No matter the approach, the more you put toward your debt payoff, the faster you'll get out of debt. Debt payment techniques like the debt snowball and avalanche depend on putting as much money as possible toward repayment. Just like with those methods, paying extra during a debt settlement program or a debt management plan will have a compound effect and help you get out of debt faster than expected. The more energy (i.e., money) you put toward paying down your debt, the quicker you'll reach your goals.

Learn more about different types of Debt Relief that are available and which is most suitable for you.

Pay in Cash

If you're staring down a heavy credit card balance, you are probably in the habit of using your credit card for purchases. But, if you're committed to living in debt payoff mode, you'll be spinning your wheels if you continue relying on your credit cards.

  1. Cancel automatic transactions on your credit cards.

  2. Switch those you must keep to your debit card.

  3. Begin paying for items with cash.

Overcoming debt is essential for your financial freedom. So take the first steps today by creating a budget, accelerating your payments, and stopping additional credit card purchases.

Help is always available, and the International Association of Professional Debt Arbitrators (IAPDA) is here to assist you. Search the cert' and use our free tool to find an IAPDA-certified debt resolution agent today!