Stop adding new charges, list every balance and rate, pick a payoff strategy (snowball or avalanche), and apply every extra dollar consistently. Most people also benefit from calling issuers to negotiate a lower rate or requesting a hardship plan.
Credit card debt is expensive primarily because of compounding interest — every month you carry a balance, interest accrues on interest. The path out is straightforward in structure, though it requires sustained effort: stop accumulating new debt, attack existing balances systematically, and reduce the interest rate wherever possible.
No payoff plan works if the balance keeps growing. Temporarily moving to a cash or debit budget — or at least tracking every card charge — breaks the cycle. This doesn't mean cutting up cards forever; it means stabilizing the balance so your extra payments actually reduce it.
Write down every card: balance, interest rate (APR), and minimum payment. Your credit card statement must show your APR and how long it would take to pay off the balance making only minimums — federal law requires this disclosure on every statement. Use that number as motivation.
The two main frameworks are the debt snowball (smallest balance first, for motivation) and the debt avalanche (highest rate first, to minimize total interest paid). Apply all extra cash to your target card while paying minimums everywhere else. The CFPB's debt repayment tool can model both for your specific balances.
A lower rate means more of every payment goes toward principal. Three options: (1) Call your issuer — simply asking for a rate reduction works more often than people expect; (2) Balance transfer — moving a high-rate balance to a card with a 0% promotional APR buys time, though transfer fees (typically 3–5%) apply; (3) Nonprofit credit counseling — a counselor can negotiate a Debt Management Plan (DMP) that often lowers rates. The FTC explains how to find a legitimate credit counselor.