8 Fastest Ways To Pay Off Credit Card Debt

A recent report found Americans owe $1.14 trillion in credit card debt, with over 82% of us having at least one credit card. In 23 states, the average amount owed is over $7000.
It’s a huge problem. There are some ways to combat it, though, and that’s what we’re here to share with you. Here are eight methods for paying off credit card debt:
1. A budget can help you optimize your payments
As simple as it sounds, consider creating a budget. It can be a tough truth to face, but knowing exactly how much money is coming in and going out, along with setting limits to the spending, can sometimes be the one change someone needs in order to get on top of their credit cards.
Insider tip: Mint is a great, free budget app you can use to get things on track.

2. Minimum credit card payments are a trap
Consider paying more than the minimum payment each month. This attacks the card’s interest head on, minimizing how much interest you’ll pay over time. Some credit cards, like the Apple Card, actually give you alerts each month to tell you how much an extra payment could impact the interest you’ll be charged. If you don’t know what your interest rate is, you should check. Cards can have interest rates upward of 25%, meaning what you owe will grow by a quarter every month.
Bonus tip: A free credit card balance calculator can help you out.
3. The avalanche method for debt payoff
If you have multiple credit cards, consider the avalanche method. It focuses on paying off your card with the highest interest rate first. Make the minimum payment on your other cards in the meantime, then shift to a higher payment on those when the first card is paid off.

4. Paying off debt with the snowball method
The other method people love is the snowball method, which is more of an emotional approach than a logical one: it’s all about motivation. The snowball method has you pay off your credit card with the smallest balance first, giving you the quick reward and potential motivation to go kick butt on the next card. It’s not the fastest way out of debt, but it’s great for those who want to feel quick progress.
5. Zero-interest balance transfer cards
Be careful with this, but you can also consider a balance transfer to a 0% interest card. To do this, you’ll need an existing card which allows balance transfers, and good enough credit open a new credit card with no interest rate and that also allows balance transfers. You can see this often as an introductory offer for the first year you have a new card. If you can be responsible and not pile on more spending, this gets you a year without interest on your balance.

6. Debt consolidation loans
If you’re having trouble keeping track of all the places you have debt (numerous credit cards, bills, tax debt, etc.), it can be helpful to consider a debt consolidation loan. These loans typically offer you a lower interest rate than your credit cards, and give you one place to make a payment instead of spreading those payments across many cards, banks, or other places you may owe money.

7. Find hidden money in your stuff
One other option, and this is our favorite, is to consider unlocking cash for your stuff through BuckUp. You can get instant cash today for things you already own, and you don’t even have to ship it for 30 days. It’s a great way to bridge the gap if you’re between paychecks and need cash fast, or if you’re sitting on a phone, computer, tablet, or smartwatch you’re not using, and do so without taking on debt.
8. Negotiate lower interest rates
Tip number eight takes a little bit of legwork. Did you know you can often contact your credit card company and negotiate a lower interest rate? If you have a good payment history, companies are often flexible and open to decreasing rates, making it easier for you to carry balances as you continue to pay off your cards.