Like other Oregonians, you may have several credit cards that you use to make purchases. On average, American households that carry credit card debt owe $5,700, according to Our team at The Law Office of Kim Covington knows that having such debt may affect your financial freedom and future. Therefore, we will discuss how to deal with credit card debt so that you can regain control of your finances.

When you make the decision to tackle your credit card debt, it is advisable for you to categorize your debts. Select a credit card to pay off first. You may choose the one with the highest balance or interest rate. Then, make the biggest payments on that card. It is important, however, to continue making the minimum payments on you other cards. This may help you avoid late fees or collection efforts.

Once you have started addressing your credit card debt, it is important that you do not add new debts. Therefore, you should avoid using your credit cards as much as possible while you are paying them off. Instead, try to use cash for your daily purchases whenever possible. This may help ensure that you are able to make progress, rather than continue the cycle.

Under some circumstances, paying down your credit cards one at a time may not be a viable option for you. As such, you may consider other debt relief options. Through consolidation, for example, you may be able to pay your cards off faster without significantly increasing your payment amount. Alternatively, you may be eligible to have some or all of your debt discharged by filing for chapter 7 bankruptcy. Chapter 13 bankruptcy, on the other hand, allows you to reduce your debt by making manageable payments.

For more information about dealing with unsecured debt, please visit our Credit Card Debt page.