Credit cards are literally vital for everyday life. They offer a convenient way of paying for goods and services, plus they are safer compared to carrying cash, not to mention the many rewards they offer users.

Unfortunately, overspending with credit cards is only too common, and the reason why most Americans are in deep debt. According to CNBC, 55% of all Americans with credit cards have debts, and the interest and fees alone can bury you for years.


If you have bad credit already, do not worry, this can be rectified. We have come up with a few solutions that will help you to stop using credit cards so you can be able to get out of debt as quickly as possible. The only key point is to be consistent with these points.

Tips to Stop Using Credit Cards to Get Out of Debt
Image Source: Daveramsey

Tips to Stop Using Credit Cards to Get Out of Debt

Here are some tips that can help you in this area.

Start by Critically Examining Your Spending

For most people who are living beyond their means, their credit cards are usually maxed out. The recommended spending on credit cards is usually, 30% of the value each month. This means that if you have a credit limit of around $1,000, you should only spend $300 each month to maintain the right utilization rate.


So, start by taking a step back and having a look at how you are spending your money, and most specifically what you are spending your money on. This will help you come up with a budget and even eliminate unnecessary spending’s that only make you keep reaching your credit card.

You Need a Budget

Once you have critically analyzed your spending and what you are paying for using your credit card, it is now time to sit down and come up with a workable budget

Have two columns one that shows your spending and the other that shows your income. Include another page that should tell you what you should actually be spending your money on.

What you should be spending your money on should be the necessities, the things that you cannot do without. Eating out every day could be extremely expensive for you, and you might want to switch to cooking at home instead. 

There are many other ways you can stop using your credit card if you just look at what you have been paying for using your credit card.

Have an Emergency Fund

This might be a step that will take time, especially if you have been in the habit of overspending your money, rather than saving it. 

You could find places where you can stash back even as little as $10 each week, and over time you shall have built a pad of savings that you did not even know you could. This you should call your emergency fund.

Building an emergency fund is essential for you to become financially independent, but it can be a moot point if you do not stop incurring credit card costs. If you are used to using the credit cards for all minor emergencies, then you are probably relying too much on them.

If you have some money in savings, then you will be able to stop your overreliance on credit cards and save more rather than spending. This will eventually help you stop using your credit cards altogether.

Destroy Your Credit Cards and Be Left with Just 1 or 2

Have you seen how people usually cut up their credit cards in the movies when they realize they are in too much debt?  Yes? Then do that. Remove all the cards in your wallet, and cut up those that only rack up the costs and are not useful at all.

By doing this, you would be eliminating the temptation and the urge to pay for purchases using these specific credit cards. Only remain with the low-interest cards that do not have too many costs and also have some great perks.

Tips to Stop Using Credit Cards to Get Out of Debt
Image Source: Thebalance


Credit card debt can seriously be avoided by following our simple and actionable plans that will also see you reduce your spending by more than 50%.

 You really do not need 5 – 10 credit cards that must be paid for at the end of each month! All the best as you try to get out of debt using our tips.