Guide to clearing credit card debt

As thousands of people face into mounting credit card bills, an online guide has been developed to advise people on how best to clear the rising debt.

“Ditch your credit card debt” has been developed by the National Consumer Agency in light of the latest statistics from the Central Bank which show average credit card debt is €1,274.

The online tool contains a ready reckoner into which users can enter the amount of debt owed. The APR will be taken into account and the user will be told how long it will take to clear the debt at the current rate of repayment.

The reckoner can tell how much quicker the debt will be wiped out if the repayments are increased, and also shows how consumers can pay off their debt faster by switching to a card with a lower interest rate or a balance transfer offer.

Ann Fitzgerald, NCA chief executive, said recent figures showed levels of credit card debt remain “stubbornly high”.

“Those who have more flexibility in their budgets should try to clear credit card debt as quickly as possible and avoid making just the minimum repayment.”

*www. nca.ie