Legally Eliminate Credit Card Debt

I don’t know exactly where you stand with credit card debt today, but I know for a lot of people, credit card debt is their biggest, most immediate worry.

Many people have lost jobs recently and although there are signs of the economy turning around, the job market has yet to recover, or even show signs of stabilizing.

Unfortunately, some of us didn’t save enough to weather this long financial downturn, and have turned to credit cards to make up the difference.

But when credit cards get maxed out and/or we can no longer afford to make the minimum payment, thoughts quickly turn to ways that credit card debt can be eliminated for good.

There are several different methods that can be applied to eliminate credit card debt: debt settlement, bankruptcy, debt consolidation, credit counseling services, etc.

Today I’m going to ask you to skip all of those methods and first see if you can do some of the following to help you legally eliminate your credit card debt.

Can You Reduce Your Credit Cards Interest Rates?

If you don’t mind staying on hold on the phone for a while, call up your credit card company and talk to them about lowering the interest rate on your card. It doesn’t hurt to ask. If they resist, tell them you are likely going to switch to using a different card and just pay this one off.

Have a competing card in mind when negotiating. Even threaten to close the account. This will likely get your rate lowered. Lower rates mean less money you will owe on unpaid balances. Here’s more about lowering interest rates.

Can You Eliminate Other Expenses?

If you’re saying your not able to make your credit card payments but you haven’t yet gone hardcore frugal, then I have no mercy for you.

Determine the minimum level of expense you need to give your family food and shelter, and eliminate all other expenses.With this new found money can you eliminate your credit card debts?

Can You Bring In Extra Income?

Once you have your expenses to a minimum, search out ways to bring in extra income. I recently completed a series of interviews with real people who’ve learned to bring in extra income for their families.

I encourage you to take a look at those money making interviews and also exhaust every other resource you have for coming up with other income ideas. Take these extra earnings and use them to pay off those old debt.

Can You Transfer the Balance to Another Card?

While this doesn’t eliminate your credit card debt. It does help you pay it down with less interest paid. This isn’t a method that should be used by the undisciplined, but it’s a wise move. You can move the debt that is on a card charging high interest to another credit card that will actually not charge you interest for a certain period.

I did this myself back in 2002 when I was paying off my own credit card debt. Visit how to transfer credit card balances and view some of the best 0% balance transfer credit cards available today.

Know Who to Trust

Now I know some of you are probably getting upset with me right now because you’ve done all of the above and you’re still struggling to pay off your credit card debts, and find that you simply can’t go on. If you are in this position then I encourage you to turn to the right people for help.

The credit counseling industry is full of scammers and fraudulent people. Avoid these types by going to the National Foundation for Credit Counseling and seek out one of their members, a Consumer Credit Counseling Service.

The Pay Off Debt App

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Click here to get Pay Off Debt.

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Last Edited: May 22, 2017 @ 1:49 pmThe content of is for general information purposes only and does not constitute professional advice. Visitors to should not act upon the content or information without first seeking appropriate professional advice. In accordance with the latest FTC guidelines, we declare that we have a financial relationship with every company mentioned on this site.
About Philip Taylor

Philip Taylor, aka "PT", is a CPA, financial writer, podcaster, FinCon Founder, husband, and father of three. He created PT Money back in 2007 to share his thoughts on money and to meet others passionate about managing their finances. All the content on this blog is original, and created or edited by PT. Read more about Philip Taylor, and be sure to connect with him on Twitter, Facebook, or Google+. Listen to the new podcast, Masters of Money!


  1. I was cringing and getting sick to my stomach reading this article, it was as though I was reliving my own stress and constant worrying all over again.

    I was in the same situation and I researched so much and I can tell you that with debt consolidation and planning, being financial organized, staying focused with a plan to pay of your balance much sooner by accelerating your pay down and not just paying your minimum amount you can definitely pay of your debt quickly and years sooner and save your sanity.

    I am now finally debt free because of going here and now, the only debt I owe, is a debt of gratitude. Manage your debt and pay it off instead of being hassled by collection agencies and legal action.

  2. A credit card debt consolidation is just the perfect to solution to manage large amounts of debts. It is indeed wise to consult someone who is more knowledgeable in dealing serious debt settlements. One would never want to end up being broke because of mismanagement.

  3. One of the most common ways many individuals do when trying to eliminate credit card debts is borrow money from their family or friends – which is not really the smartest move. It’s understandable though, how some people feel that it’s the only solution left.

    But borrowing money from people you know is hardly the solution that can accomplish the purpose of eliminating debt. Remember that the longer your credit card debt remains unpaid, the worse your situation gets. The accumulated interest and the rate will continue to increase and compound your debt many times over.

    So what do you do? How do you achieve legal debt elimination? Simple. Find a reputable debt reduction program with a proven record to help you find your debt relief solution. Get help today. Your problem won’t go away by itself. We all need a helping hand at one time or another. So find that debt reduction program now and get out of the sticky situation you’re in before you are forced into bankruptcy.

  4. Yea, I am with you on getting rates lowered, even with the CC companies losing so much money these days, some are still offering deals. We actually just closed a credit card account yesterday and we were offered a much better rate to keep our business…

  5. yeah, I’m sure the act will have a huge impact. the rules will be changing for sure. who knows what they’ll be more flexible with in the future.

    one thing is for sure, like any good business owner, they will find a way to make up any loses that the act will cause.

  6. Zach @College for 10k says:

    Very good points there.

    Do you think that the credit card act that took affect today will change credit card companies willingness to lower APR’s?

    My initial thought is that it would as they are losing millions of dollars due to this act…