How do you get rid of credit card debt?
Our family followed Dave Ramsey's Financial Peace University plan to eliminate all debt except our mortgage (which we are now working on), in less than two years. We cancelled all our credit cards, and now use cash, check or debit cards. He says to take the smallest credit card debt and eliminate it as fast as you can first. Then take the same amount of monthly payments (or more), and eliminate your next smallest debt, and so on. This is called the debt snowball. While it may seen counter-intuitive not to work on the debt with the highest rate of interest first, this method provides a huge psychological boost and helps you make progress fast. And to maximize the size of your payments, it's absolutely necessary to have a written budget so you know where your money is going. To learn more about this program, go to www.daveramsey.com. No, I do not work for his company nor am I affiliated with it in any way. But this is the program that worked for us. Yes, you can live without credit cards, and you can live very well if you eliminate debt from your life.