According to Zoe Lamont founder of the 10thousandgirl campaign setting a goal and sticking to it is the best way to work your way out of credit card debt.
Ms Lamont says the starting point is to manage your budget and get tough with yourself when it comes to spending habits. She says that it’s important not get overwhelmed by taking small steps to reduce your debt as this builds confidence.
Taking small steps and consistent actions to tackle debt worked for Alex Wilson, the founder of savingsguide.com.au who says that when he began paying off his $25,000 credit card debt although conventional wisdom dictates that you should tackle the debt with the highest interest rate first Wilson choseinstead to build his confidence by achieving quick scores by paying off his smallest debt first.
As with any financial goal it’s easy to be discouraged when you face setbacks says Ms Lamont; the key is to identify two actions that you can take that will bring you back on track and rebuild momentum.