What's Happening
7 minutes ago

Did China's DeepSeek Just Crash and Burn President Trump's $500 Billion AI Stargate Project?

foolfool.com
8 minutes ago

US Stocks Set For A Cautious Start Ahead Of Inflation Data: Expert Says 'Strong Bull Markets Tend To Roar Back To Life After Corrections'

benzingabenzinga.com
12 minutes ago

Got $3,000? 3 Artificial Intelligence (AI) Stocks to Buy and Hold for the Long Term

foolfool.com
17 minutes ago

2 Stocks Down 47% and 82% to Buy Right Now

foolfool.com
19 minutes ago

What's a Fair Price to Buy Johnson & Johnson Stock?

foolfool.com
22 minutes ago

Is Archer Aviation Stock Worth the Hype?

foolfool.com
22 minutes ago

Is Berkshire Hathaway Stock a Buy Now?

foolfool.com
26 minutes ago

'Racism Has No Place in Missouri': State Attorney General Sues Starbucks Over Hiring Policies

benzingabenzinga.com
28 minutes ago

Geopolitics And Resource Nationalism Are Choking The Commodity Supply

benzingabenzinga.com
28 minutes ago

Should You Buy Affirm While It's Below $85?

foolfool.com
37 minutes ago

Should You Buy Bank of America While It's Below $50?

foolfool.com
37 minutes ago

'Investors Seem To Remain Poised For A Good Year In The Markets' Even As Valuation Remains Elevated, Says Fidelity's Macro Chief

benzingabenzinga.com
40 minutes ago

Have $100,000? Here Are 4 Ways to Grow That Money Into $1 Million for Retirement Savings

foolfool.com
40 minutes ago

Have $100,000? Here Are 4 Ways to Grow That Money Into $1 Million for Retirement Savings

retireretire.ly
40 minutes ago

SMCI Stock Jumps Nearly 7% In Wednesday Pre-Market After Company Says It Will Meet SEC Filing Deadline

benzingabenzinga.com
47 minutes ago

TRADEPULSE POWER INFLOW ALERT: BROADCOM (AVGO), RISES 2.1% AFTER ALERT FROM TRADEPULSE

benzingabenzinga.com
47 minutes ago

Is Chipotle Mexican Grill Stock in Trouble?

foolfool.com
52 minutes ago

Warren Buffett Sells Apple Stock and Buys an Industry-Leading Stock Up 3,400% Since Its IPO

foolfool.com
53 minutes ago

What's Going on With Amazon Stock?

foolfool.com
59 minutes ago

NASA Alters Timelines To Expedite Return Of Astronauts Sunita Williams, Butch Wilmore Stranded At Space Station For Over 8 Months

benzingabenzinga.com

Have $10K in Credit Card Debt? Here’s How to Pay It Off

Person with laptop, bills, paperwork

Image source: Getty Images

Having any credit card debt can be stressful, but $10,000 in credit card debt is a different level of stress. The average credit card interest rate is over 20%, so interest charges alone will take up a large chunk of your payments. On $10,000 in balances, you could end up paying over $2,000 per year in interest.

It can feel disheartening, especially when you’re not sure what you can do to make real progress. But there are several great tools and strategies you can use to take control of your credit card debt. If you’re in this situation, here’s a step-by-step guide on what to do.

Make it your No. 1 financial priority

The biggest factor in getting out of credit card debt is how much you pay toward it every month. This is one of the reasons why some people stay in debt much longer than others. They don’t change their spending habits much, or they only make minimum payments on their credit cards.

When you have $10,000 in credit card debt, the best thing you can do is put all your disposable income toward it. Cut costs wherever you can. If you’ve been going out for dinner or drinks every weekend, switch to low- or no-cost activities, such as a movie night at home. If you’re not sure where to spend less, check out budgeting apps, as these can help you find places to cut back.

Put a pause on your savings and investments, as well. These are good financial habits, but your credit card debt should be your focus until it’s paid off.

Get your credit card interest rate down to 0%

Interest charges are one of the main reasons it’s so hard to pay off credit card debt. That’s why balance transfer cards are such a helpful tool for getting debt free.

This type of credit card has a 0% intro APR on balance transfers. After you open one, you can transfer over your credit card balances. All you pay is a small balance transfer fee — normally 3% of the amount transferred. You’ll then have your card’s entire intro period to pay down what you owe without any interest charges.

On large amounts of debt, a balance transfer could save you thousands. Let’s say you have $10,000 in credit card debt, and you pay $500 per month toward it. It has a 23% APR, which is about average based on Federal Reserve data. You could transfer it to a card with a 0% intro APR for 21 months and a 3% balance transfer fee. Here’s how much you’d save:

  • Original 23% APR: You pay $2,732 in interest and be out of debt in 25 months.
  • 0% intro APR: You pay $300 in balance transfer fees, $0 in interest, and be out of debt in 21 months.
  • Result: You save $2,432 total and get out of debt four months earlier.

A balance transfer can be a game changer for dealing with debt. Check out our list of the best balance transfer cards here with 0% intro APRs lasting as long as 21 months.

Decide on a payment plan

Your payment plan starts with your monthly payment amount. Figure out an amount you can afford to pay every month, and remember that the higher it is, the faster you’ll be out of debt. For example, you could commit to $300 per month, $500 per month, or more, depending on your disposable income.

If you opened a balance transfer card, then you’ll likely only have one payment to make. But if you have credit card debt spread out across multiple cards, then you’ll also need to decide which cards to prioritize. There are two popular debt repayment methods:

  • Debt avalanche: Pay back debt with the highest interest rate first. Make minimum payments on all your cards, and put all your leftover money on the card with the highest APR. This saves you the most money on interest.
  • Debt snowball: Pay back debt with the lowest balance first. Make minimum payments on all your cards, and put all your leftover money on the card with the lowest balance. This method gets you the first “win” of paying off a credit card as quickly as possible.

The debt avalanche is better from a financial standpoint. But the debt snowball often helps people stay motivated. Both work, it’s just a matter of which one works for you.

Keep your eyes on the prize

If you follow those steps, you’re going to see your credit card balances get lower and lower. Resist the temptation to relax once you get your debt down to $5,000 or $3,000. It’s fine if you want to celebrate these milestones, but keep following your payment plan. Otherwise, it’s easy to get off track.

A $10,000 credit card may seem daunting, but if you work hard at it, you could pay it off sooner than you think. Once you do, make it a point to pay off your credit cards in full every month. When you do this, you can take advantage of the perks the best credit cards offer without getting charged any interest.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

Related Posts

So you have $100,000 and you want to build it into $1 million by retirement. That’s great! Even if you have less — perhaps a

Okay, folks. It’s time to get serious about Social Security. I don’t like to be the person who sounds alarms and causes unnecessary panic. But

Image source: Getty Images The best credit cards have a lot of perks — cash back, travel rewards, purchase protection, and more. But what happens

Social Security benefits for spouses are a common source of confusion. MassMutual reports that 25% of surveyed adults near retirement age were unaware that spouses