Do you know the best ways for how to get out of credit card debt? Reddit knows.

Credit card debt can be a significant burden, causing stress and financial strain. There are also a lot of unfortunate extra burdens that come along with that. You’re not alone if you’re struggling with how to get out of credit card debt. Reddit has been the answer for many seeking real advice. Redditors regularly share their experiences on what has and hasn’t worked.

Reddit can provide some unexpected yet practical advice on how to get out of credit card debt. We’ve collected some of the best tips shared. They offer potential solutions to overcome your debt and regain financial freedom.

Image credit: Mikhail Nilov

Redditors have some often blunt but practical and real-world advice:

“Bite the bullet, hunker down, pay it off now, and you’ll be happy in a year. Otherwise, you won’t get out of it. Credit card minimum payments are designed so that you’ll never get out. And don’t get back into the hole. Use it only for what you need and pay it off in full at the end of the month.”

– OnlyDaBull on Reddit

Users also suggest various strategies in case you aren’t willing, or can’t, bite that bullet quite yet:

Create a budget and track your expenses

One recurring theme on how to get out of credit card debt on Reddit is creating a budget and tracking expenses. Start by listing all your income sources and fixed costs like rent, utilities, and loan payments.

Image credit: Karolina Gabowska

Then, examine your discretionary spending and identify areas to cut back. By tracking your expenses meticulously, you’ll better understand where your money is going. From there, you can allocate more toward paying off your credit card debt.

“You need a budget that will help you actually pay off your debts, and then you need to hold yourself accountable to it. Out of grocery money for the month? Fine: it looks like you’re using up what’s in the cupboards or reducing what you spend on something else that month. Seriously, get on a budget and stop spending money you don’t have, and your problem will melt away faster and faster as you actually make headway on your high-interest debt.”

– Former Redditor

Increase your income and decrease expenses

In addition to managing your budget, Redditors stress the importance of finding ways to increase your income and decrease expenses. Consider taking up a side gig or freelancing to earn extra money. You can use that extra income to pay off your credit card debt more quickly.

“You might consider committing yourself to a second job for a little while. Just 3 months allowed me to ‘get ahead’ and then make progress more easily after I was back to just 1 job.”

– Cathartic_Caper on Reddit

Additionally, look for opportunities to cut down on unnecessary expenses, such as eating out less frequently. This can go a long way in working on how to get out of credit card debt. Reddit users note you can also cancel subscriptions you don’t use and negotiate better deals on your bills.

Image credit: Pixabay

Don’t forget to look at your bigger reoccurring expenses, such as rent, too!

“Any particular reason your rent is so high? If you are single, that seems like it would be an incredibly easy expense to save hundreds on, even in the most expensive cities, unless there is some specific reason for it.”

– LittleFireFly on Reddit

Prioritize and strategize your payments

Redditors often emphasize the significance of prioritizing your credit card payments. Making the minimum payment on all your cards is essential to avoid penalties. However, focusing on paying off the card with the highest interest rate is also advisable.

This approach allows you to save on interest charges over time. Once you’ve paid off the highest interest card, direct the freed-up funds towards the card with the next highest interest rate, and so on.

“Take all the money you have and put it on the one with the highest APR. Repeat until your debt is paid off. Or you can pay off the smallest debt first for the psychological effect and get some momentum rolling and go from there.

But by no means spread out your payments across multiple cards.”

– Yassssssplease on Reddit

Negotiate, negotiate, negotiate!

One valuable piece of advice shared on Reddit is to proactively call your credit card companies and communicate your financial difficulties. By reaching out to them and expressing your desire to avoid defaulting on your payments, you can open up opportunities for negotiation and assistance.

“Call the card companies. Tell them you are having a difficult time making payments but do not want to default. They will work with you. They would rather negotiate with you than have a collections agency buy their debt for pennies on the dollar.”

– KungFu1 on Reddit

Be wise about balance transfers and debt consolidation

People often explore balance transfer options or debt consolidation as strategies to tackle credit card debt. A balance transfer involves moving your existing credit card balance to a new card with a lower or 0% introductory interest rate. This can help you save on interest charges and pay off your debt faster (if you have a plan in place for paying the balance down and if the interest rate remains low after the initial period).

Image credit: Ahsanjayah

Debt consolidation involves combining multiple debts into a single loan with a lower interest rate, making it easier to manage and potentially reducing your monthly payments. One Redditor suggested a way to do it without getting a ding on your credit for using a debt consolidation service:

“Go to a credit union and ask for a personal loan with a low interest. Lower than what your credit card is charging you in interest. Then pay off the card entirely with the check from the bank. Then pay off the loan. Make sure you are allowed to make extra paymentS, and you won’t be fined for early payoff.”

– SweaterWeatherNE via Reddit

However, Redditors also point out that there are pitfalls in the strategy.

“The only reason a personal loan is better than a credit card is because it has a lower interest rate. If you take out more $5k in a personal loan to pay off $3k in credit card debt, congrats, you have just increased the amount of debt that you are in.”

– Former Redditor

How to get out of credit card debt, Reddit style!

By creating a budget, prioritizing payments, exploring balance transfers or debt consolidation, and increasing your income, you can take concrete steps toward becoming debt-free. Remember, each person’s financial situation is unique, so it’s important to evaluate these suggestions in the context of your circumstances. With determination and a well-thought-out plan, you can conquer your credit card debt and regain control of your financial future.

Most importantly, don’t give up!

“Realize it is temporary, and there is a light at the end of the tunnel. Treat it like college, where you just have to knuckle down and live in semi-poverty for a while to get to a better place.”

– Kouhoutek on Reddit

Image credit: Matthais Groeneveld