Today is National Credit Card Reduction Day! We know that “debt” is a word that no one generally likes, and you’re right. Generally, an American has an average debt of $ 4,293 on 2.5 credit cards for an average interest rate of 16.86%. These interests represent huge amounts that could be used for something else, like your hobbies. However, for that it is important to manage your credit cards as well as your repayments. There are several tips to get there, and we will give them to you.

  1. Do not keep your credit cards on you:

The first and most logical way is to avoid charging your credit card is to leave it at home. Do you impose a restriction on the use of your credit cards, because even if you manage to pay your debts, you will feel like going round if you continue to have them on your person. Get in the habit of using debit cards while you work to clear up your debts.

2. Analyze your expenses and adapt them:

Every month we spend money without really paying attention where it is going and usually it is not necessary. Analyze your budget and limit yourself so you can use the money you save to pay off your debts. Even if they are only a few dollars a month, they will make the difference in the long run. 

3. The snowball method: 

Very simple and very effective, this method consists in concentrating all your efforts on the reimbursement of one card at a time. Start with the map with the biggest overdraft to eliminate it as quickly as possible. Then do the same with the next one. With this way, you will quickly see the difference. 

Keep in mind that whoever pays his debts gets rich. In some cases, the accumulation of debts and therefore interest payable becomes so great that it is sometimes impossible for the person to repay them. Once this happens, the consequences for the person and his family become irrevocable and can lead straight to bankruptcy.