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How to repay your credit card debt sooner

Credit card debt can be difficult to control. Learn about your options and ways to repay your credit card debt in this guide.

Credit card debt can be a real worry for many people, and clearing your credit card balance isn't always easy. Having a plan to repay your debt and methods to reduce interest charges will allow you to manage your current expenses whilst clearing your debt. Here are 7 practical steps you can follow to repay your credit card debt.

9 ways to repay your credit card debt sooner

  1. Consolidate your debt with a balance transfer

    Use a balance transfer card to repay your debt with a lower rate of interest, consolidate your debts in one place and help you save money on interest charges.

  2. Pay more than the minimum payments

    Only making the minimum payment will not significantly reduce your credit card debt. It is important to set up a plan to repay a portion of your existing debt every month, so you can clear your debt sooner.

  3. Pay off the highest rate of interest first

    Prioritise repaying your debts from the highest rate of interest and allocate repayments to them first. You can close each credit card account after you have repaid the balance in full to avoid any further charges.

  4. Reduce your credit limit

    Lowering your credit limit will prevent you from spending more, allowing you to make larger repayments to your debt.

  5. Budget

    If you can't afford to make more than the minimum payment every month you may need to reconsider your budget. By cutting back on unnecessary expenditures, you can reallocate these funds to your credit card payments and start clearing your debt.

  6. Negotiate with your provider

    If you're having real difficulties and are experiencing temporary hardship in repaying your outstanding balance, then contact your provider to renegotiate your payment plan.

  7. Get help from a financial counsellor

    Financial counsellors often provide free, confidential and independent services if you are having trouble repaying your credit card debt. Financial counsellors can provide suggestions on improving your current financial situation, assess eligibility for government assistance, assist in managing your finances and explore your options in debt recovery.

    The following list of contacts can assist in providing financial counsel:

    Financial CounselContact Number
    National debt hotline1800 007 007
    Financial Rights Legal Centre1800 007 007
    Tasmania - Consumer Credit Helpline (Hobart Community Legal Service)1800 232 500
    Victoria - MoneyHelp 1800 007 007 and Consumer Action Law Centre03 9629 6300
    South Australia - Consumer Credit Law Centre08 8342 1800
    Western Australia - Consumer Credit Legal Service08 9221 7066
  8. Stop using credit cards

    If you want to clear your credit card debt then avoiding spending on credit cards may help you manage your budget. Cancelling or pausing your credit cards can be a great idea to control the temptation of purchasing on credit.

  9. Use any savings and investments you have

    Using your savings to repay debt can help eliminate your credit card debt sooner and reduce the amount of interest you have to pay.

Compare Balance Transfer Credit Cards

Rates last updated July 21st, 2017
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Balance transfer rate (p.a.) Purchase rate (p.a.) Annual fee Interest Saved
Virgin Australia Velocity Flyer Card - Exclusive Offer
Apply by 31 July 2017 to earn bonus Velocity Points for the first three months and a $129 Virgin Australia Gift Voucher each year.
0% p.a. for 18 months 20.74% p.a. $64 p.a. annual fee for the first year ($129 p.a. thereafter) Go to site More info
St.George Vertigo Platinum
Offers complimentary travel insurance, complimentary purchase insurance and access to a 24/7 personal concierge service.
0% p.a. for 20 months 12.74% p.a. $99 p.a. Go to site More info
Citi Rewards Platinum Credit Card
Offers a long-term balance transfer. Earn extra points on eligible international spend, plus complimentary travel insurance.
0% p.a. for 24 months with 1.5% balance transfer fee 20.99% p.a. $49 p.a. annual fee for the first year ($149 p.a. thereafter) Go to site More info
St.George Vertigo Visa
Receive up to 55 days interest-free on purchases and the ability to make contactless payments with Visa payWave technology.
0% p.a. for 14 months 13.24% p.a. $0 p.a. annual fee for the first year ($55 p.a. thereafter) Go to site More info
ANZ Platinum Credit Card - Exclusive Offer
Receive a low introductory offer of 0% p.a. on purchases for 3 months and 0% p.a. on balance transfers for 12 months.
0% p.a. for 12 months 0% p.a. for 3 months (reverts to 19.74% p.a.) $0 p.a. annual fee for the first year ($87 p.a. thereafter) Go to site More info
HSBC Platinum Credit Card
Earn 1 Reward Point per $1 of eligible spend and receive complimentary travel and purchase protection insurances.
0% p.a. for 22 months with 2% balance transfer fee 19.99% p.a. $99 p.a. Go to site More info
Bank of Melbourne Vertigo Platinum
Get a range of complimentary insurance covers, access to a 24/7 concierge and up to 55 days interest-free on purchases.
0% p.a. for 20 months 12.74% p.a. $99 p.a. Go to site More info
BankSA Vertigo Visa
Get up to 55 days interest-free on purchases and be protected by 24/7 Falcon® Fraud service.
0% p.a. for 18 months 13.24% p.a. $0 p.a. annual fee for the first year ($55 p.a. thereafter) Go to site More info
NAB Low Fee Card
Receive complimentary purchase protection insurance, special offers from Visa Entertainment and up to 44 days interest-free on purchases.
0% p.a. for 16 months with 2% balance transfer fee 19.74% p.a. $30 p.a. Go to site More info
HSBC Low Rate Credit Card
Receive up to 55 days interest-free on purchases. Also enjoy exclusive offers with the home&Away Privilege Program.
0% p.a. for 15 months with 2% balance transfer fee 13.25% p.a. $55 p.a. Go to site More info
Virgin Money Low Rate Credit Card
Receive up to 44 days interest-free on purchases and the optional insurance coverage of CreditShield Edge.
0% p.a. for 12 months 11.99% p.a. $99 p.a. Go to site More info
Westpac Low Rate Card - Online Only Balance Transfer Offer
Take advantage of 0% p.a. for 24 months on balance transfers with a 2% BT fee. Plus, the convenience of the Westpac mobile banking app.
0% p.a. for 24 months with 2% balance transfer fee 13.49% p.a. $59 p.a. Go to site More info
NAB Low Rate Platinum Card
Enjoy the protection of 7 complimentary insurances including overseas travel and purchase protection insurance.
0% p.a. for 16 months with 2% balance transfer fee 13.99% p.a. $100 p.a. Go to site More info
ANZ Low Rate Platinum
Enjoy platinum benefits with exclusive discounts, complimentary travel and purchase insurances and a 24/7 personal concierge.
0% p.a. for 16 months with 2% balance transfer fee 11.49% p.a. $99 p.a. Go to site More info
American Express Essential®  Credit Card
Get Smartphone Screen Insurance of up to $500 when you pay for your phone or contract with your Essential Credit Card.
0% p.a. for 12 months with 1% balance transfer fee 14.99% p.a. $0 p.a. Go to site More info
Woolworths Everyday Platinum Credit Card
Receive a $100 eGift Card when you apply by 30 September 2017 and make an eligible purchase by 31 October 2017.
0% p.a. for 14 months 19.99% p.a. $0 p.a. annual fee for the first year ($49 p.a. thereafter) Go to site More info
American Express Explorer® Credit Card
Receive a $400 Travel Credit every year and up to two entries per year to the American Express Lounge at Sydney International Airport.
0% p.a. for 12 months with 1% balance transfer fee 20.74% p.a. $395 p.a. Go to site More info
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