The festive season can be a time of joy and celebration, but it can also be a financial strain. With Christmas shopping, festive meals, and holiday travel, it’s easy to rack up credit card debt that can last well into the new year.
If you’re facing credit card debt after Christmas, you’re not alone. According to a recent study by The Money Charity, the average UK household has £2,409 of credit card debt.
But don’t worry, there are steps you can take to manage your credit card debt and get back on track financially.
1. Take stock of your debt
The first step to managing your credit card debt is to know how much you owe. Gather all of your credit card statements and add up the balance on each card. This will give you a clear picture of your overall debt.
2. Create a budget
Once you know how much you owe, you need to create a budget to track your income and expenses. This will help you identify areas where you can cut back on spending and free up more money to put towards your debt repayment.
3. Consider debt consolidation
If you have multiple credit cards with high interest rates, you may want to consider debt consolidation. This involves combining your debts into a single loan with a lower interest rate. This can save you money on interest and simplify your repayment process.
4. Boost your income
If possible, try to increase your income to help you pay off your debt faster. This could mean taking on a side hustle, working overtime, or negotiating a raise with your employer.
5. Avoid new debt
It’s important to avoid taking on any new debt while you’re trying to pay off your existing debt. This will only make it more difficult to get out of debt.
6. Seek professional help
If you’re struggling to manage your debt on your own, don’t hesitate to seek professional help. There are many debt counsellors and credit unions that can offer free or low-cost debt advice and support.
Money Moxie Mentor: A UK-based personal financial coach for individuals who want to regain financial control
At Money Moxie Mentor, we are passionate about helping individuals in the UK regain their financial control and achieve their financial goals. We offer a range of personal financial coaching services, including:
- Debt management plans: We can help you create a realistic debt management plan that will help you get out of debt as quickly as possible.
- Budgeting support: We can help you create a budget that works for your unique needs and helps you reach your financial goals.
- Investment advice: We can help you develop a sound investment strategy that aligns with your risk tolerance and financial objectives.
Contact us today to schedule a free initial consultation
If you’re ready to take control of your finances and get out of debt, we’re here to help. Contact us today to schedule a free initial consultation.
