How I Paid Off $24,000 in Credit Card Debt — And What I'd Do Differently

Create a debt inventory and commit to either the snowball or avalanche method.

1. 1
   Write down every credit card with balance, APR, and minimum payment — Include store cards, gas cards, and personal loans. Use a spreadsheet or a piece of paper. Sort by balance (snowball) or by APR (avalanche).
2. 2
   Pick your target debt — For snowball, choose the smallest balance. For avalanche, choose the highest APR. Circle it. This is the only debt you'll pay extra on.
3. 3
   Pay minimums on everything except the target — Set up autopay for minimums on all non-target debts. Never miss a minimum — one late payment can trigger a penalty APR of 29.99%.
4. 4
   Throw every extra dollar at the target debt — Extra dollars include: tax refunds, bonuses, side hustle income, gifts, and money saved from cutting expenses. Put it all toward the target.
5. 5
   Celebrate each paid-off debt and roll the payment to the next — When debt #1 is gone, take the full amount you were paying on it and add it to debt #2's payment. This creates a snowball effect.

Identify and eliminate three recurring expenses that don't add real value to your life.

1. 1
   Review last 3 months of bank statements — Highlight every recurring subscription: Netflix, Spotify, gym, meal kits, cloud storage, etc. Also look at variable expenses like takeout and coffee.
2. 2
   Cancel the three most painful subscriptions — Call or go online and cancel. For gym memberships, you may need to visit in person or send certified mail. Take a screenshot of the cancellation confirmation.
3. 3
   Switch to cheaper alternatives — Replace cable with an antenna ($40 one-time). Replace Starbucks with home-brewed coffee ($20/month vs $80). Replace restaurant lunches with meal prep.
4. 4
   Negotiate your internet and phone bills — Call your providers and ask for retention deals. Say 'I'm thinking of switching to [competitor] unless you can lower my bill.' Many will give you $10-20 off for 12 months.
5. 5
   Use the saved money to pay extra on your target debt — Set up an automatic transfer of the exact amount saved to your credit card payment. If you saved $80 on coffee, send $80 extra to the card.

Generate cash flow specifically for debt payoff through gig work or selling unused items.

1. 1
   Sell 5 items you haven't used in a year — Post on Facebook Marketplace, Craigslist, or Poshmark. Clothes, electronics, furniture, books. Aim for $200-500 total. Take clear photos and price 20% below similar listings.
2. 2
   Sign up for a gig app that pays weekly — DoorDash, Uber Eats, Instacart, or TaskRabbit. Choose one that fits your schedule. A Friday night shift can earn $80-120 in most cities.
3. 3
   Commit to a minimum number of hours per week — Start with 5 hours — say, Saturday morning and Tuesday evening. Put 100% of earnings into debt. Don't use it for anything else.
4. 4
   Ask for overtime at your current job — If your employer offers overtime, take every hour you can. One extra shift per week at $25/hour = $1,300 extra per month after taxes.
5. 5
   Redirect all windfalls to debt — Tax refunds, birthday money, work bonuses, stimulus checks — direct deposit them straight to the credit card. Don't let them sit in checking.

Move high-interest debt to a card with 0% APR for 12-21 months, stopping interest from compounding.

1. 1
   Check your credit score for free — Use Credit Karma or your bank's app. You typically need a score of 670+ to qualify for 0% balance transfer offers.
2. 2
   Compare balance transfer cards with 0% intro APR — Look at Citi Simplicity, Chase Slate, and BankAmericard. Compare intro period length (longer is better) and transfer fee (usually 3-5%).
3. 3
   Apply for the best offer — Fill out the application. If approved, you'll get a credit limit. You can transfer up to that limit. Do not use the card for new purchases.
4. 4
   Initiate the balance transfer — Provide your old card's account number and the amount you want to transfer. The new card issuer will send a payment to the old card. Wait 2-3 weeks for it to process.
5. 5
   Set up autopay to pay off the full balance before the intro period ends — Divide the transferred balance by the number of months in the intro period. Example: $6,000 / 15 months = $400/month. Autopay that amount. Mark the end date on your calendar.

Create a system of automatic transfers that pay bills, save for emergencies, and attack debt without you thinking about it.

1. 1
   Open a separate checking account for bills only — Use a no-fee account like Ally or Capital One 360. Have your paycheck direct deposited here. This account will only be used for fixed expenses.
2. 2
   Set up autopay for all minimum debt payments — Schedule minimum payments for every credit card and loan to come out of the bills account on the same day each month (e.g., the 1st).
3. 3
   Automate the extra debt payment — Set a recurring transfer from your bills account to your target credit card for the extra amount. Do this for the day after payday.
4. 4
   Create a separate savings account for emergencies — Open a high-yield savings account (Ally, Marcus, SoFi). Automate a transfer of $25-50 per paycheck. This builds a buffer so you don't use credit cards for emergencies.
5. 5
   Review the system once a month on a fixed date — Every 1st of the month, log in to all accounts. Check that payments went through, update any changed bills, and adjust the extra payment if income changed.