Avoid paying credit card interest – From $260 a month to $0 in just 4 weeks

Are you paying too much interest on your credit card debts? Learn how I went from paying $260 a month in credit card interest charges to $0 a month in just 4 weeks! Now I avoid paying credit card interest altogether!


Avoid paying credit card interest and save money! Find out how I went from paying $260 a month to $0 in just 4 weeks with no savings!Enough was enough

One thing hubby and I were experts on was clocking up bad debt on our credit cards.  For various reasons and over the years we had accumulated three credit cards.  Yes – three!  And not with tiny balances either!

Due to a couple of things, one being an investment, and the other a major mechanical breakdown, our credit card balances had reached their limits. Our family budget got so tight I knew something had to change.  This was crazy!  The monthly interest charges were a little under half of our monthly payments!  We were getting nowhere fast and drowning in our own debt.  Our finances were spiralling out of control and something had to give!

Taking charge – Avoid paying credit card interest now!

The day I decided to take charge I sat down and looked at all sorts of ways of reducing costs and reducing debt.

More on the reducing costs later, but I sat down and analysed the credit card debts and their interest rates and two things were clear:

One: I need to reduce those interest charges

Two: I need to get rid of one of those credit cards!


How I went from paying $260 a month in credit card interest charges to just $0 in just 4 weeks!

I looked for ways to reduce the interest charges.

First, I worked out the balances owing on each debt and what interest charges they were being charged at. I worked out what amount was cash advances and I paid off all cash advance balances first, as these were the debts with the highest interest rate.  By paying off cash advance balances first reduced those interest charges to 0%. See my post on Which debt should I pay off first! 


Then, I looked at what offers other banks had on at the time and found a bank that was offering 0% interest rate for 12 months on credit card balance transfers.  So I chose the credit card debt we had with the highest rate and transferred that balance to this new bank.  And as a bonus, they were also offering no account fees for the next two years!

As soon as we got the new credit card we cut them up (I was fine with that – I still had two others!).  This was no longer a credit card to me.  It was an interest-free loan that is to be paid off within 12 months.

The third credit card actually had a six-month interest-free period for purchases over a certain amount. So I paid off the balance that was accruing interest leaving the remaining balance that was still within the six-month interest-free period.

This left us with one credit card, which was the lowest rate.  I probably could have transferred that one to the new bank also, but this is the one that I wanted to keep as my one and only so I set myself a wee challenge!


The “Four week pay it off!” challenge

To pay off the remaining $5000 balance from selling stuff around the house and finding money! This was the only credit card debt accruing interest (on purchases only). Check out my next blog How I paid off one credit card in just 10 days!

Scrutinize your credit card debt now

If this inspires you to scrutinize your credit card debts, let me know!  It’s easier than you think.  Remember all you need to gain back the control is focus and determination. Leave a comment in the Comments box below and share your story to help inspire others!


Avoid paying credit card interest and start saving money! Find out exactly what I did to reduce my credit card interest from $260 a month to $0 in just 4 weeks - with no savings! That is an instant savings of $260 a week to pay off my remaining debt faster! And you can too! Click through now to find out how!

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