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I'll let you in on a not-so-secret secret: Credit cards aren't supposed to be easy to pay off. They have high interest rates by design, making it all too easy for spending to spiral into a balance that becomes debt. If you don't have enough money to pay for something, you might use a credit card. But if you can't pay off that credit card, you can get slapped with interest that only makes it that much harder to repay.
According to data from the Federal Reserve, collective household credit card balances totaled $1.23 trillion nationally in the third quarter of 2025 (up from $1.18 trillion in the first quarter). In 2026, that number is only expected to increase, but your debt doesn't have to.
If you have credit card debt you need to pay off but don't have the money to do it, you have options. While there's really no way to get out of credit card debt without paying, you can make more strategic repayments or potentially even negotiate your debt. Here are steps you can take today to try to have a little less debt tomorrow.
Strategies to start paying off credit card debt
Stop using your credit cards if you can
Credit cards are convenient, sure, but they make it too easy to spend money you don't have. Instead of reaching for your card, try:
- Using physical cash to stay within budget and keep new interest charges to a minimum.
- Disabling one-click online purchases to make yourself less likely to spend.
- Using a debit card instead of a credit card (but being careful not to overdraft your bank account and incur fees for doing so).
Having a card and debt in itself isn't a bad thing. It's just important to know when you have too much credit card debt.
Reduce your spending
Spending less money you don't strictly need to spend should be one of your highest priorities when you're dealing with credit card debt.
While that's easier said than done, you might be able to uncover some overspending that's not obvious by checking out your spending history. Canceling a few unused subscriptions can lead to instant savings, and there are even free money apps out there that can help you do just that. Going without streaming for a while is well worth the long-term benefit of paying off debt.
Here are other cost-cutting strategies to try:
- Buy secondhand
- Eat at home
- Track your spending
- Look for deals at the store and use coupon sites
- Carpool to work or school
- Reduce energy use in your home (heat, electricity, etc.)
The government also has some programs that help qualifying individuals save money, such as food stamps and government-sponsored health insurance. It's good to check your options and see which programs can provide some financial support. These programs are administered at the state level, so you will have to reach out to programs in your area.
You can also request help from organizations to cover your bills, such as the following.
- 211.org
- LIHEAP and WAP for energy bills
- The Salvation Army
- Mercy Housing
- Modest Needs
- Volunteers of America
- Healthwell Foundation
Understand your overall debt
Getting out of any type of debt requires that you know how much you owe and how much you have to pay each month. You can list your credit card debt, mortgage, and any other type of debt to get a good snapshot of your finances. When listing out these obligations, make sure you list the remaining balance, minimum payment, interest rate, and due date.
Keeping this information in a spreadsheet helps with making changes as your balances change. You'll know how much you have to pay each month and which debt to prioritize with your leftover cash. It's a good idea to regularly update this list and stay on top of it until you are debt free.
Try the debt snowball method
The debt snowball method is a popular strategy for people who want to pay off debt while staying committed. It involves stringing together a series of small wins. This repayment method prioritizes debt with the smallest balances without regard to the interest rate.
If you have a $500 balance on one credit card and a $1,000 balance on another card, the debt snowball method involves paying off the $500 card balance first. You still have to make minimum payments for each financial obligation, but paying off the $500 balance gives you a small win which can generate momentum.
These are the pros and cons of the debt snowball method.
- You build off the small wins of paying off smaller debt.
- Fewer debt balances make it easier to manage your remaining obligations.
- Getting started with a small debt can make it feel more manageable.
- High-interest debt may not be prioritized if the balance is higher.
- Only making the minimum monthly payment on other obligations can keep you in debt for longer.
- You may not have as much cash to build an emergency fund.
Try the debt avalanche method
The debt avalanche is another popular strategy for covering debt. This method prioritizes high-interest debt, regardless of the balance. While a $3,000 credit card balance is more daunting than a $500 credit card balance, the interest on a $3,000 credit card at 29.99% APR is worse than a $500 credit card with a 19.99% APR.
However, if the rates were reversed, a debt avalanche advocate would prioritize the $500 credit card balance at 29.99% APR.
These are the pros and cons of the debt avalanche method.
- Interest accumulates at a slower pace since you get rid of high APR debt first.
- You save money in the long run.
- You can build your emergency savings sooner.
- It may be harder to build momentum.
- You may have more debt to manage.
- You have more minimum monthly payments.
Consider moving your debt
It's not often a good idea to incur additional debt while you are trying to get out of debt. However, some strategies can work out in your favor, such as debt consolidation and balance transfer cards. These financial products can help you save money in the long run if you use them optimally.
Debt consolidation
Debt consolidation involves taking out a big loan to pay off your existing debt. You might get a lower APR with a debt consolidation loan than what your credit card provides. You can also opt for a lengthy loan term to make your monthly payments more manageable.
These are the pros and cons of using debt consolidation for credit card debt.
- You can opt for a longer loan to reduce your monthly payments.
- You don't have to log into multiple accounts to make sure you make the minimum monthly payment each time.
- A debt consolidation loan can have a lower interest rate than your credit card balance.
- You may stay in debt longer.
- Your lender will likely charge origination fees and other costs.
- Applying for a debt consolidation loan may result in a hard credit check.
Balance transfer credit cards
Balance transfer credit cards allow you to move your entire balance from one credit card to another. This balance transfer typically results in a small fee, but interest will not accumulate on your new card during the intro period.
Some of the best balance transfer credit cards have an intro 0% APR for the first 21 months.
These are the pros and cons to consider.
- Interest will not accumulate on a balance transfer credit card's balance during the intro period.
- You can transfer multiple balances to a single credit card.
- Applying will result in a hard credit check.
- Many credit cards have a 3% to 5% balance transfer fee.
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Other ways to get rid of credit card debt
While the strategies mentioned above can help you cover ground with your credit card repayments, you have other options to consider. Debt management programs and debt settlements can help, and cardholders can also consider bankruptcy as a last resort.
Debt management program
A debt management program allows you to negotiate a payment plan for certain debt obligations. You can reach out to your credit card issuer to create a payment plan instead of having to default on a credit card or declare bankruptcy.
A credit counseling agency can negotiate on your behalf. They contact creditors and try to work out a new payment plan. Most agencies charge a low monthly fee for their services, but debt management fees cannot exceed $79/mo. Some states have lower limits in place.
- Debt becomes more manageable.
- It's possible to avoid defaulting on your debt or declaring bankruptcy.
- You can receive professional support throughout the process.
- Interest will accumulate during the negotiation process.
- You can end up in debt for a longer amount of time while having less access to capital.
- The credit counseling agency represents an additional expense.
Debt settlement
Debt settlement occurs when a cardholder and an issuer agree to a smaller debt amount that gets paid as a lump sum. For instance, a borrower who has $10,000 in credit card debt may agree to pay $7,000 right away to get rid of the debt obligation. Some issuers will agree to this arrangement, preferring to collect some of the amount owed to them instead of nothing at all.
However, debt settlement is a complex process. Not everyone has time to negotiate with creditors while working on side hustles and other tasks. You can work with an attorney or debt settlement firm to assist with the process, but it's good to conduct your due diligence before working with a third party.
- You can pay less than the amount you owe.
- This path can help you avoid bankruptcy.
- Debt collectors won't be able to call you anymore.
- Additional fees may apply.
- Your credit score can take a hit.
- Not every creditor will be open to negotiating.
Increase your income
Spending less money will give you more space in your budget, but there's a limit to how much money you can save with this approach. Simultaneously increasing your income will give you more options, and a higher income is the best path out of debt.
Selling unused belongings around the house can give you a quick boost, but working overtime and picking up a side hustle will generate more money in the long run. Developing skills that are relevant for high-income careers can give you better job prospects in the future. You can also put some of those skills to work as a freelancer.
It's important to avoid "lifestyle creep" as you make more money. A higher income isn't a license to spend more money. Instead, you can use the extra savings to pay off your credit card debt.
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Bankruptcy
Bankruptcy is the worst-case scenario as your credit score will take a significant hit that takes multiple years to recover from. However, this route could absolve you of your financial obligations and give you a fresh start.
- You start fresh with zero debt.
- Manageable payment plans can be agreed to in some cases.
- Future wages cannot be garnished.
- Your credit score will be significantly impacted.
- It will be hard to qualify for any loans or credit cards for a few years.
- You can lose many of your assets.
FAQs
How much does it cost to pay off credit card debt?
The cost of paying off credit card debt depends on the balance remaining on your card. Some people incur additional costs when paying off credit card debt, such as origination fees for debt consolidation loans.
Can I pay off credit card debt faster?
It's possible to pay off your credit card debt faster. For example, making more than the minimum monthly payment will get you closer to becoming debt free.
Can I pay off debt if I have a low income?
It's possible to pay off your debt if you have a low income. Trimming your expenses and raising your income with a side hustle and overtime can get you out of debt sooner.
Bottom line
Getting out of credit card debt requires patience. It can take multiple years of gradual payments to finally reach the milestone. However, once you get there, you'll have greater financial flexibility and no money going to interest.
Every step you take to pay off your credit card debt gets you closer to becoming debt free. Tracking your expenses, looking for ways to make more income, and staying on top of your finances will help you reach your financial goals. Check out our list of the best budgeting apps for a range of tools that can help you manage your spending and get out ahead of debt.
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- No upfront fees1 <p>Clients who complete the program and settle all debts typically save around 45% before fees or 20% including fees over 24–48 months, based on enrolled debts. “Debt-free” applies only to enrolled credit cards, personal loans, and medical bills. Not mortgages, car loans, or other debts. Average program completion time is 24–48 months; not all debts are eligible, and results vary as not all clients complete the program due to factors like insufficient savings. We do not guarantee specific debt reductions or timelines, nor do we assume debt, make payments to creditors, or offer legal, tax, bankruptcy, or credit repair services. Consult a tax professional or attorney as needed. Services are not available in all states. Participation may adversely affect your credit rating or score. Nonpayment of debt may result in increased finance and other charges, collection efforts, or litigation. Read all program materials before enrolling. National Debt Relief’s fees are based on a percentage of enrolled debt. All communications may be recorded or monitored for quality assurance. In certain states, additional disclosures and licensing apply. ©️ 2009–2025 National Debt Relief LLC. National Debt Relief (NMLS #1250950, CA CFL Lic. No. 60DBO-70443) is located at 180 Maiden Lane, 28th Floor, New York, NY 10038. All rights reserved. <b><a href="https://www.nationaldebtrelief.com/licenses/">Click here</a></b> for additional state-specific disclosures and licensing information.</p>
- One-on-one evaluation with a Certified Debt Specialist
- For people with $30,000 in unsecured debts and up
