Dealing with credit card debt? Here are some tips on how to pay it off

RAPID CITY, S.D. (KOTA) - Swiping a credit card is simple, but the bill can quickly add up.

”If we’re looking at really reducing your credit card debt most of the time, you don’t have to get a second job. You have to just live within the means that you have, and that’s making sure you take care of your needs and cut down on your wants,” says a financial advisor for BMS Financial Advisor, Jarrett Apa.

If you do have credit card debt, but don’t know where to start when it comes to paying it off a simple thing you can do is create a budget.

“Then put a little money in savings. That way, if an emergency comes up, you do have that. And then start attacking that debt. Putting as much towards it as possible. And if you have multiple credit cards a good way for a mental uplift, motivation is to start with the lowest balance,” says Apa.

Credit cards have pros and cons, and Apa says many of them offer cashback bonuses, flight mileage, or discounts.

"Now, if you're using that credit card for those purposes and paying it off each month now, it's a weapon of opportunity," says Apa.

But if you constantly have a revolving balance.

“Now, it’s becoming a weapon of mass destruction because the interest you’re paying on that balance on average is about 16%,” says Apa.

Apa says he doesn't recommend closing the credit card account for those trying to get out of debt.

"Closing your credit card can actually affect your credit negatively. Closing the account. And you'll see if you start paying off that balance your credit increases. You will see your credit score start to increase. Which also has added benefits to it. Higher credit score allows you to get loans, car loans, home loans at lower interest rates," says Apa.

If you’re struggling to make the recommended payment for your credit card bill, Apa says it’s a good idea to call the company to figure out a plan.

Here are a few different resources:

BMS Financial Advisors

Consumer Credit Counseling

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