If you have ever been told that paying off credit card debts is easy, let me tell you that it’s a lie. Paying off credit card debts is difficult, especially if you are a working mom loaded with more than $20,000 and your income is unstable and less than $1,000 per month.

When I first realized that I was loaded with $20,321 credit card debts last April, I was as shocked as you are. How could it be? How could my credit card debts be more than $20,321? I myself couldn’t believe my credit card debts had snowballed to more than $20,321.

It took me almost a week to finally accept the fact. I had to accept the hard fact after having a check if I was already in deep debt trouble:

1. Paying off your balance in three months when it used to take one month.

2. Not knowing how much you owe until your bill arrives.

3. Maxing out your credit cards regularly.

4. Paying bills with card cash advances.

5. Paying off one credit card bill with another credit card.

I was truly in deep debt trouble as all the signs mentioned above applied to me.

Without much consideration, I sat down one evening, took out all my credit card statements and added up the outstanding balances. What a staggering amount — $20,321! This amount didn’t even include my bank overdrafts, home mortgage and car loan.

Having made up my mind to pay off my credit card debts, I cut up more than 5 credit cards and kept only 2 credit cards with lower interest rate. Destroying credit cards is the very first step to credit card debt elimination. This is to ensure that I am not adding anymore extra debts.

Next, reduce how much money I spend. I stop buying certain unnecessary things and plan the purchases before I shop. Make a list of things I need and stick to it!

I managed to negotiate with the credit card companies and told them that I was unable to pay the outstanding balances, and if they wanted their money back they would have to lower the interest rates. Some reduced the interest rates by half while some dropped my interest rates from 18% to 12%. Every credit card company will sacrifice something to get their outstanding back, and nine times out of ten they will plan a good repayment deal for you.

Paying more than the minimum credit card debts is important. To get rid of credit card debts and achieve my credit card debt elimination goal faster, I try to pay more than the minimum amount due. By paying more than the minimum payments, the interest amount will keep coming down and I will be able to repay the outstanding amount in a phased manner.

It’s a long journey to becoming debt free …

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