How much of your cash flow is going towards your debts? Chances are your home loan repayments feel like enough of a financial drain without taking into account any personal loans, car repayments and credit card debt. At least home loan repayments can be considered a good type of debt, as your home is likely to increase in value. Personal loans, car repayments and credit cards, on the other hand, accumulate interest on items that depreciate in value.

Credit card interest charges can mean you can end up paying thousands of dollars more than what your original purchase cost. Banks and lenders, such as Westpac, thrive on credit card debt as it brings in big profits in the form of interest charges and fees. If your debt is getting out of hand, there are simple steps you can take to eliminate your credit card debt.

If youre a Westpac customer, the first thing you can do is stop using your credit cards. Convenience and habit are contributing factors to why so many people choose to pay on credit. If your westpac credit cards are easily accessible, start by removing temptation from your wallet or purse. Cut them up, hide them away or simply stop taking your credit cards when you go shopping. This way you can only spend money that you already have.

When your credit card bill arrives, always pay more than the minimum amount required by Westpac. This can help you to clear your debt sooner and use your money towards appreciating assets and investments.

Westpac have a range of credit cards which can be used alongside cards from other lenders. When working to eliminate your credit card debt, find out the interest rates of each one. You can reduce the amount of interest you are being charged by working on paying off the credit card with the highest interest rate first.

These are just some of the simple strategies you can use to clear your credit card debt. Just making a few small changes to your spending and repayment habits can save you thousands of dollars in interest charges, which is money that can be invested or used to clear your other debts sooner.