First 3 Steps to Pay Off Credit Card Debt

Sep 27 • Financial Planning • 425 Views • No Comments on First 3 Steps to Pay Off Credit Card Debt

By Ashley Kopmeyer

I came across a simple but smart article in Forbes about the importance of being debt free if you want to have the disposable income to reach your financial goals.  The author lists two steps: 1.) Stop using credit cards, and 2.) Pay down your credit cards more aggressively than just making the minimum payment.  I believe there is another step to take before eliminating your credit cards altogether: Start an emergency fund.

If you are doing great and paying off that credit card, what happens if you have auto repairs or an unexpected medical bill?  You don’t want to have to use credit for those situations.  Build an emergency savings account (ideally this would be 4 to 6 months’ worth of income) of at least $1,000 so that you don’t sabotage your efforts before you’ve gained some momentum.  Once you’ve paid off your credit cards, it’s time to allocate that money elsewhere – you may find that you need additional insurance, or perhaps save for a major purchase like a car or a house.

At first it may be tough to maintain the disciple of a card-free life, but it’s worth the financial independence in the long run.  For help with your credit card payment schedule, schedule a meeting by clicking below, contact Ashley Kopmeyer  –, or call (913) 345-1881.

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