Guest Post: Simple ways to pay off your credit card debt

The total consumer credit card debt in the U.S. today exceeds a whopping $800 billion! Credit card debt can be crippling and lead to a lot of stress. This menace is almost like an epidemic today gripping a large number of people across the globe. Are you also one of the victims? If yes, then read on to know how you can avoid being in credit card debt.

1. Assess your financial situation: First of all, you should stop panicking. Try to get a complete picture of your financial situation. Figure out how much debt you need to deal with. Prepare a list of your debts and prioritize them as paying the wrong debts could be costly. Tackle the balance with the highest interest rate first, when that one is paid off move on to the next highest interest rate.
   
2. Prepare a budget: If you think that budgeting means financial handcuff, then you are wrong. On the contrary, it helps to inculcate a sense of financial discipline in you. When you are fully aware of your financial situation, you are less likely to overspend. Thus you keep yourself away from debt. Create a budget that will help you to stop relying on credit cards.
   
3. Reduce your expenditures: You are in the process of repaying your debts; therefore cutting out on expenses would be a great idea. Look for ways to lower your phone bill, electricity bill, auto insurance and the like. Challenge yourself to restrict your expenditures for bare necessities. You will be surprised at the savings that you make after this. Now apply your savings to pay off your debts.
4. Opt for low interest cards: Transfer your balances from high interest rate cards to the low interest one. Now you can make a single monthly payment towards this card. You are basically consolidating your credit card debts into one affordable payment. This way you are eliminating the need to manage too many payments at one time. While transferring your balance, do not close all your cards at once as this can affect your credit score.
   
5. Increase the monthly payments towards your balances: Now that you have started paying down your new consolidated balances, double the minimum payment you were paying on the old balances. Avail yourself of the low monthly interest and pay more in order to reduce your total debt.

Keep these points in mind to ensure that you stay away from debts forever. Clearing off your debts completely takes time and you should be patient. Determine to take a pro-active approach and then even you can proudly live a debt free life!

About the Author
This guest post was written by "Jack Reed". He writes on various financial topics with a special focus on bankruptcy. If you are interested in writing a guest post, please contact PF Stock at the Email address listed in the sidebar.