In order to eliminate credit card debt as quickly as possible and with minimum cost to you use this tried and tested method which is recommended by many financial experts.
List out all your credit cards include the full balance, the interest rate and the minimum payment required according to your latest statement. The minimum payment is usually listed on the right hand side of your statement. The interest charge is usually on your cardholder agreement or is listed as a percentage of your balance.
On a spreadsheet rearrange the list of all your credit card so that credit card with the highest interest rate is at the top and the lowest interest rate at the bottom.
Find the total sum of the required minimum payments on all cards and add up to make a monthly total.
Decide on a budget you will have available each month in addition to the total minimum payments for each credit card. If at this stage you feel you can't take additional amounts over the minimum payment I would suggest that you look at your finances and try it away to cut your expenses. You be surprised how easy it is to court costs for your everyday life. Make a diary over the course of say a week and list all you expenditure – include everything. At the end of the week review what you have spent and try and reduce some of your costs.
Each month pay the minimum balance off each credit card except the one with the highest rate. The credit card with the highest rate you should pay the minimum balance plus any additional amount you have available.
Continue with this process until the credit card with the highest interest rate is paid off entirely. You can then take this amount you paid to clear the credit card with the highest rate and start to pay off the second credit card. Repeat this process and you'll be amazed how quickly you can clear your credit card debt.
Call your credit card company and request the lowest interest rate in many instances they will agree. Lower interest rates means you can eliminate your credit card debt more quickly without increasing payments
If your credit card company is not willing to reduce the interest rate shop around for a new card with a more favourable rate you can transfer the balance to make sure you do your homework carefully so that you can pay off the balance before the introductory rate offer expires.
