Exceed minimum monthly payment to pay off credit card debt

With Reserve Bank figures showing that average credit card balances had declined by over 2% in the year to November 2012 and balances accruing interest had dropped even faster by over 4% it would suggest that more consumers are switching cards to take advantage of the 0% interest balance transfer offers.

ANZ’s head of consumer credit cards James Hutton says that the secret to paying off credit card debt is to always make regular payments on time and to always pay more than the minimum payment due, adding that of course, paying off the balance in full will avoid paying interest all together.

Hutton says that if you have multiple cards it may be wise to think about consolidating debts onto a 0% or low interest rate credit card to allow you to get ahead with repayments while there is no interest being charged that way you are making a real dent in your debt and it gives you the opportunity to get credit back in your control.

Source:
http://www.which4u.com.au/credit-cards/news/12826-exceed-minimum-payment-to-improve-credit-card-bills

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