Disclaimer: This content is not provided or commissioned by the credit card issuer. Opinions expressed here are author's alone, not those of the credit card issuer, and have not been reviewed, approved or otherwise endorsed by the credit card issuer. This content was accurate at the time of this post, but card terms and conditions may change at any time. This site may be compensated through the credit card issuer Affiliate Program.

Powerful 2-Step Process To Eliminate Credit Card Debt

What's the best way to pay down a credit card balance as quickly as possible, while paying the least in interest, and without hurting your credit? What follows is a powerful method recommended by the most astute personal finance experts* to achieve exactly those objectives. It's extremely effective, completely legal, and leverages programs created by credit card issuers to your advantage. Follow these steps and start to become credit card debt-free.

Step 1: Use A Powerful Tool To Immediately Stop Paying Interest On Your Balance

Think of someone carrying a credit card balance like a patient who enters an emergency room bleeding badly. The first thing a doctor will do is stop the bleeding. It's no different when attacking a credit card balance; the first thing you do is stop the interest charges.

There's a simple way to do this, and it's brilliance is that it actually uses the banks' marketing offers to your advantage: find a card offering a long "0% intro APR balance transfer" promotional offer, and transfer your balance to it. These are cards which offer new customers a long period of time (often as much as 18 months) during which the card charges no interest on all balances transferred to it. We constantly track all the cards in the marketplace in order to find the ones currently offering the longest 0% intro periods.

If you need more motivation, just think of this: on a $10,000 balance, $150 of a $200 monthly payment would get vacuumed up by interest charges.** That leaves only $50 of your $200 that actually reduces your balance, the rest vanishing into bank pockets. That's just brutal. Use our reviews to find a card which offers the longest possible no-interest period while charging low, or even no fees. Moving your balances to the card you choose will stop the bleeding, allowing you to move on to step two.

Step 2: Power Through Your Balance During The 0% Period

Once you've transferred your balances and put a stop to the interest charges, it's time to capitalize on the interest-free period to really break free of the debt. The best part of this is how simple it is: just keep making the payments you used to make when you had to pay big interest payments. Going back to the $10,000 example above, if you transferred that balance onto a card like the Chase Slate (which offers 15 months of 0% intro APR with no transfer fee) and maintained the same $200 monthly payment, you can see how much faster you'll be reducing your balance in the chart below.
 

As you can see, without using the 0% card, the same $200 monthly payments barely make any headway. It's like swimming upstream, or walking while taking a step back for every two steps forward. That's no way to swim or walk, and attempting to pay off your cards while paying high card interest rates is no way to manage your finances. Move your balances onto one of the cards below, stop getting crushed by interest, and start making real progress toward getting rid of your card debt.

 

How To Find And Choose The Right 0% Card

The chart below compares the top balance transfer cards, including a useful calculation of the total amount of interest you would save if you transferred a $5,000 balance to each card. You can use the chart below to find the card that will deliver you the best combination of savings and cash rewards.

Chase Slate® INTEREST SAVINGS $1,321 (on a 5K balance transfer) More Details >
0% FOR 15 Months
TRANSFER FEE* 0%
PROs - Charges no balance
transfer fee
- Only long 0% card without balance transfer fee. Very valuable. CONs - The Slate doesn't have a cash rewards program.- Really a pure-play balance transfer card
BALANCE TRANSFER RATING           Read Full Review >
Bankamericard® Credit Card INTEREST SAVINGS $1,474 (on a 5K balance transfer) More Details >
0% FOR 18 Billing Cycles (mos.)
TRANSFER FEE 3%
PROs - Offers the longer 0% interest term.   CONs - No cash rewards - Does charge a transfer fee.- Make sure extra months are worth paying fee
BALANCE TRANSFER RATING           Read Full Review >
Chase Freedom UnlimitedSM INTEREST SAVINGS $1,071 (on a 5K balance transfer) More Details >
0% FOR 15 Months
TRANSFER FEE 5%
PROs - 1.5% unlimited cash rewards and cash bonus - Solid 15-month 0% period CONs - Does charge transfer fee- Only recommend if transferring and making new purchases
BALANCE TRANSFER RATING           Read Full Review >
Capital One® Quicksilver® INTEREST SAVINGS $696 (on a 5K balance transfer) More Details >
0% FOR 9 Months
TRANSFER FEE 3%
PROs - Unlimited 1.5% cash back   CONs - Does charge transfer fee- Shorter 0% term
BALANCE TRANSFER RATING           More Details >

* 0% fee on balances transferred in first 60 days, 5% on transfers thereafter.

Disclaimer: This content is not provided or commissioned by the credit card issuer. Opinions expressed here are author's alone, not those of the credit card issuer, and have not been reviewed, approved or otherwise endorsed by the credit card issuer. This content was accurate at the time of this post, but card terms and conditions may change at any time. This site may be compensated through the credit card issuer Affiliate Program. 

* Savings calculation: Credit Card Balance * (1+Average Card Rate/365)^639 days – Balance Transfer Fee - Average Household Credit Card Balance. Balance transfer fee is minimum of 3% or $10