How to declutter your credit card debt

Heading towards a New Year – and before the Christmas spending season really takes hold – is a great time to take a deep breath and assess our personal debt situation.

While the good news is that post-GFC, we have been reining in our collective spending, we still owe around $4.7 billion on our credit cards; between credit cards, store cards, and other personal loans, we can get into financial strife before we realise it. So if you’re in the juggling credit card debt category, here is an easy process to do some de-cluttering!


Face up to what you owe.

Grab a piece of paper and a pen and write down the outstanding balance of all personal debt that you currently owe. That includes credit and store cards and any other personal loans. Next to each outstanding balance, jot down the interest rate that you are paying on that debt.

Check out what else is on offer.

When you see it in writing, you could be surprised by how much interest you are paying on some of your loans. So check out what else is on offer. Click here to compare credit cards and here to check out other personal loans.


How many credit cards do you have? How many car or personal loans? The more loans you have, the more difficult it is to keep track of them all, so consider whether any of your loans could be consolidated together – preferably onto a lower interest rate.

Work out your repayment plan.

The most important thing when it comes to personal debt is to have a plan to pay it back at some point! Try our personal loan repayment calculator to put an affordable plan in place.

Be realistic.

Debt usually doesn’t appear overnight; it gradually builds up over time. And likewise, paying it all off happens gradually over time as well. It’s important to reward yourself along the way and to avoid feeling overwhelmed about it all.

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