If you have credit card debt, you are not alone. Many other people in New Jersey struggle with this same issue. If you want to get it under control, then you need to create a plan to pay it off. There are many ways you can do this, but there are two methods that are most commonly used. Credit.com explains that people either pay off the highest interest rate cards first or pay off the smaller balances first to get rid of credit card debt.
Paying down the highest interest rate cards makes sense because as times goes on, interest adds up. If you pay down those balances, you are decreasing the amount of interest you are charged. This makes it easier to pay off those cards faster. Plus, you save a lot of money.
Paying off the smaller balances first can be helpful if you are eager to see results. It is much easier to pay off the card with the $500 balance than the one with the $4000 balance. Quickly paying off your smaller balance cards can help you feel like you are reaching your goals much faster and keep you motivated to keep working on getting rid of your debt.
When you start making payments, regardless of which method you use, remember to always pay more than the minimum balance. Also, make sure to make payments on time. You do not want to add to your balances with extra fees and penalty charges. This information is for education and is not legal advice.