2 ways to get out of credit card debt


There are really only 2 ways to get out of your mountain of credit card debt:

1. Earn more money so you can pay off your debts faster

2. Spend less than you earn

The best way is to combine both methods to quickly accelerate how fast you get out of debt.

There are some tactics you can apply such as getting the banks to lower your interest rates or transferring your balances to lower interest cards.  But make sure you watch out for the balance transfer fees.

My Discover card keeps sending me a balance transfer offer of 1.9% for 12 months but it charges a 3% fee with a miniumum charge of $10 and a maximum charge of $99.

It doesn’t hurt to ask if your bank can waive that balance transfer fee.

You could also look into debt consolidation loans.  Do your research first.  Verify all the fees and use free online debt calculators to make sure how much money you are actually going to be saving.

Reduce your spending and apply all that money you’re now saving to pay off your debts.

In a short amount of time, if you combine earning more money and reducing your spending and applying that to debt reduction, you can wipe out big chunks of your debt quickly.

-The Credit Blogger

I have $56,628 in credit card debts!


The average American has about $8,000 worth of credit card debt, I have about 7 times that.  I owe $56,628 to 5 credit card companies.

Here’s a list of my credit card debts:

Discover Card $3296

USAA $9811

ATT Universal Card $10986

Chase $15137

Bank of America $17398

Add that all up and you get over fifty six thousand dollars worth of debt.

And the worst part of it all is that I do not own an Ipod, a big screen TV, a fancy stereo or home theater system.  I do not drive an even remotely new car.  I drive a 1994 Toyota Camry.

So how the hell did I get so much debt in the first place?

Here’s my story…

It all started back in college about 11 years ago.

I was just starting school and if college wasn’t hard enough, I decided to throw in a wife and a set of twins into the mix.

Most people do no make near enough money without a college degree to support a family of 4.  And that’s when my debt habits started to appear.

Charging gas, groceries, gum, just about anything.

I also had an entrepreneurial bug in me too.  I wanted to start my own business and provide for my family in a way that a regular JOB could not.

I bought thousands of dollars worth of ebooks and marketing courses trying to find the one that would lead to financial success.  And yes, I even tried MLM/network marketing.

I had very limited success and my ever increasing credit card debt said the same thing.

My debts kept going up and up and up.

I had one year where I sold magazines online and earned over $10,000 in one month and paid off a big chunk of my credit cards.  I went from $27,000 in credit card debt down to $18,000.  I was starting to see the light at the end of my debt tunnel.

And then BAM!  Divorce.


In between trying to save my marriage and work and running a home business, my debts went spiraling out of control.  I racked up over $20,000 in debt in less than a year.

My debt finally peaked at $62124.  That was back in Feb of this year.

It was at that point in time that I gave myself the talk.

I told myself that if I ever wanted to get out of debt I had to stop charging stuff and spending money.

I told myself I had to use my debit cards instead of my credit cards for my online business.

This is what my debts looked like 4 months ago:

Discover $5992

USAA $9967

ATT Universal Card $11641

Chase $16056

Bank of America $18468

As you can see I’ve paid off almost $6,000 in debt in less than 4 months.

I am currently using the debt snowball method to attack my Discover card and get that sucker paid off ASAP.

I learned about the debt snowball method from reading The Total Money Makeover which I highly recommend.  Basically, you pay off the debt with the lowest balance and then work your way up.  The benefit of using this method instead of paying the highest interest rate is that you see results quicker and they keep you motivated.

That’s my credit card debt story, I’d be interested in hearing yours.  Leave a comment and share with me and with others.  You and I are not alone in wanting to pay off our credit card bills.

-The Credit Blogger

Who’s in control, you or your debt?

Howdy from Texas!

Who’s in control of your life, you or your debts?  Could you travel the world for a month if you wanted to without a care in the world?

Most people would say NO!

If you ask people why, they would say they don’t enough money, they have to work to pay the bills or some other excuse.

So who’s in control of your life?

For most people, it’s credit card debt and the credit card companies that are enjoying record profits at your expense.

They are getting rich while you and I are not.

We barely get by, we live paycheck to paycheck.  And then if our paycheck runs out, we have to borrow more money or get a payday loan and pay even more interest.

Now the question becomes, when do you want to get back control and power over your life?

When do you want to get out of debt?

When do you want to stop worrying about answering the phone because it may be another debt collector calling about those payments you’ve been missing?

When do you want to sleep through the night not worrying about how you are going to pay this month’s bills?

When do you want to stop making the credit card companies rich and start getting yourself a retirement or college fund?

Let me know when you want to get out of debt.

-The Credit Blogger

The dangers of having too much credit card debt


Credit card debt is perhaps the largest reason why so many of us go into the hole every day of the year. We have begun to use our credit cards for everything from gas to food to very expensive toys that all our friends have so we have to have them to whether we can afford them or not.

Why not charge it?

Credit card companies encourage millions of us to spend money that we don’t have. Many people see a $10,000 credit limit as a target, and assume that they have been given an extra $10,000 to go mad in the online gadget shops and blow the money with very little consequences.

But there are consequences.

Very expensive ones.

“Financial analysts state that Americans are in, possibly, the worst financial shape than they have ever been. One of the main factors of that is the overwhelming debt that many families have put themselves in…”

The bad thing about getting out of debt is not easy, while getting into debt is no problem at all.

Heck, give me a credit card with a $10,000 limit and I’m sure I could spend it online in less than an afternoon.  Or give it to my girlfriend and she could blow it all at the Tiffany site in less than an hour.

The process of paying off your debts requires commitment and discipline on your part.

And if you never get out of debt, you will probably never have enough money so you can retire or pay for your kids college.

With a mountain of bills that you never pay off, you will never be financially independent and free to do whatever you want to do.

You will always be under the credit card companies control and you will have to answer to them.

You will never have the power you so desperately want over your life.

Do you want power over your life again?

Make the choice to get out of debt starting today.

-The Credit Blogger