How to Reduce Excessive Credit Card Debt

When you're sitting in front of a mountain of bills, it may seem like you'll never repay your excessive credit card debt. Whether your bills are high from out-of-control spending or a major unexpected expense, you'll need to rein in your finances if you want to pay them off. It can take a lot of time to pay off all your debt, but once you get the ball started, it becomes easier to live within your means.

Instructions

1

Reduce the interest rates on your credit cards. High interest rates mean that it will take longer to pay off your debt and you'll pay more in interest charges. Many credit card companies will reduce your interest rate if you simply ask. If that doesn't work, you might be able to get a consolidation loan or another credit card with a 0 percent interest rate on balance transfers. Watch out for high fees on these options.

2

Freeze your credit card in a block of ice or simply leave it at home. The idea is to stop using your credit card as you try to pay it off, according to The Motley Fool.

3

Lower your housing costs. If you're like most people, your hosing costs make up a large percentage of your monthly spending. If you could move to a cheaper area or take on a roommate, you can decrease these costs and apply the difference to pay down your credit card. This large chunk of money can help you pay down debt more quickly.

4

Look through your attic and basement for unused items to sell. This can raise quick money that you can use toward your debt. In particular, antiques or collectible items can earn you a lot of money, but other items can quickly add up. If you haven't used it within the past year, it's ripe for the "to-sell" pile.

5

Prepare meals from your pantry. Food is a big expense for many families. If you use up the foods that you have in your pantry and refrigerator, you may be able to significantly reduce your costs for a week or more. When you do grocery shop, purchase only the basics and shop for items on sale to reduce your costs.

6

Apply all your savings and extra money toward the debt. As you reduce your costs, you'll have extra money in your monthly budget. Resist the urge to spend it on unnecessary items, focusing everything you've got on paying off the debt.

7

Stay frugal until you've paid off all of your debt. It might take several years to pay off all of your debt. Stick with it to be successful.