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In the U.S., the average household carries $101,915 in debt, including mortgages, car loans, student debt, credit card debt, medical bills, and personal loans. If you can relate and feel that your budget is being pulled in too many directions, don’t worry. We are here to empower you with the 8 best ways to pay off $30,000 in credit card debt so you can regain control of your finances.

1. Debt Resolution

How it helps: Debt resolution, also known as debt settlement, is a strategy where a debt specialist negotiates with your creditors to reduce the total amount you owe. This reduction can be substantial. The strategy can stop interest from inflating your balance once new terms are locked in, save you money, and help you get out of debt faster.

The process: Typically, you’ll stop making payments directly to your creditors. Instead, you’ll make monthly deposits into a separate account set up for this purpose. Once you’ve saved enough in this account, the debt resolution company will approach your creditors and negotiate a settlement on your behalf.

Who it’s for: Debt resolution is best suited for individuals with a substantial amount of unsecured debt (e.g., credit cards, medical bills) who are struggling to make minimum payments and facing the prospect of bankruptcy. If you’re committed to escaping the debt trap and can handle a temporary hit to your credit score, this can be a great option for you.


  • Significant reduction in the amount owed
  • One consolidated monthly payment
  • Alternative to Bankruptcy
  • No credit score requirements like a debt consolidation loan


  • Can temporarily impact your credit score
  • Potential tax implications on forgiven debt

Take Note: It’s crucial to work with a reputable debt resolution company. Look for companies that are accredited and have an A+ rating with the BBB. Sometimes, people make the mistake of thinking they could negotiate settlements on their own and avoid paying for a debt resolution service. While this is technically true, we don’t recommend it. Negotiating and resolving debt is a full-time job, and most people simply don’t have the time or expertise to do this work on their own.

2. Budgeting

How it helps: A budget is your financial roadmap. It gives you control over your money, helps you stay focused on your money goals, and enables you to make informed decisions about your spending. By tracking where every dollar goes, you can identify areas to cut back and allocate more toward paying off your debt.

The process: Start by listing all your income sources and expenses. Income includes your salary, any side hustles, and other earnings. Expenses include rent/mortgage, utilities, food, transportation, entertainment, and debt payments. Once you’ve listed everything, subtract your expenses from your income. If you’re left with a positive number, that’s great! You can allocate this towards your debt. If it’s negative, you’ll need to find ways to increase your income or decrease your expenses. Use our free budgeting spreadsheet to get started. 


  • Gives you control over your money
  • Helps identify areas of unnecessary spending
  • Enables you to track progress towards your financial goals


  • Requires discipline and consistency
  • May require lifestyle adjustments
  • There is a limit to how much you can cut your spending

Who it’s for: Budgeting is for everyone, especially those ready to take control of their finances. It’s perfect for individuals willing to make necessary lifestyle adjustments and are serious about paying off their debts.

Take note: If you are struggling with debt, cutting back on spending is a great approach. Not only do you want to put more money toward paying your debt, you don’t want to accumulate any more. However, there is a limit to how much you can frugal down. If you have already cut back on spending and are still struggling with minimum payments, you’ll need to increase your income or consider other options like debt resolution. 

3. Debt Avalanche Method

How it helps: The Debt Avalanche method advises you to tackle the debts with the highest interest rates first. This approach minimizes the amount of interest you’ll pay over time and can accelerate your debt payoff journey while you make minimum payments

The process: List all your debts from the highest interest rate to the lowest. Continue making minimum payments on all your debts, but allocate any extra money to the debt with the highest interest rate. Once that debt is paid off, move to the next one on your list.


  • Saves you money in interest over time
  • Gets rid of high-interest debt faster
  • Won’t affect your credit score


  • May take longer to see initial results
  • Requires discipline and perseverance
  • Doesn’t lower your interest rate like a debt consolidation could
  • You’ll pay back more than you would with debt resolution
  • Doesn’t reduce what you owe like debt resolution could

Who it’s for: The Debt Avalanche method is best for individuals who have multiple debts with varying interest rates and can afford to pay minimum payments while sticking to a long-term payment plan.

4. Debt Snowball Method

How it helps: The Debt Snowball method focuses on scoring small victories that help you build momentum. Paying off your smallest debts first, you get the satisfaction and motivation to keep going.

The process: List all your debts from the smallest balance to the largest. Keep making minimum payments on all your debts, but throw any extra money at the smallest debt until it’s gone. Then, move on to paying the next smallest balance.


  • Quick wins boost motivation
  • Simplifies debt repayment over time
  • Won’t affect your credit score


  • You might end up paying more in interest over time
  • Not as cost-effective as the avalanche method
  • Doesn’t lower your interest rate like a debt consolidation could
  • Doesn’t reduce what you owe like debt resolution could

Who it’s for: The Debt Snowball method is ideal for individuals who need quick wins to stay motivated and can afford to make their minimum payments and also make extra payments on a regular basis. If seeing immediate progress gives you the boost to keep going, this method is for you.

5. Debt Consolidation Loans

How it helps: Debt consolidation simplifies your financial life by merging all your debts into a single loan, often with a lower interest rate. This simplifies your repayment process and could save you money in the long run.

The process: You take out a new loan at a lower interest rate and use this loan to pay off your other debts. Now, instead of multiple monthly credit card or loan payments, you only have to worry about one.


  • Simplifies monthly payments
  • Could save you money if you secure a lower interest rate


  • Requires good credit to get a favorable interest rate
  • Not everyone qualifies for a new loan
  • You may be tempted to use the cards you just paid off, leading to more debt
  • Interest will still grow your debt over time, especially if you only make minimum payments
  • Doesn’t reduce what you owe like debt resolution could

Who it’s for: Debt consolidation is an excellent option for individuals juggling multiple high-interest debts and looking for a simpler, more manageable repayment plan. It is also best for people with good credit, who can easily afford to pay minimum monthly payments or more on their debt. 

6. Side Hustles

How it helps: A side hustle can provide additional income, which can be used to pay off debt faster. In today’s gig economy, there are endless opportunities to earn extra cash outside of your 9-5 job.

The process: Identify a skill or passion you have that people are willing to pay for. This could be anything from freelance writing, graphic design, tutoring, dog walking, or selling handmade crafts online. Dedicate a few hours each week to this hustle and use all the income you earn from it to pay down your debt.


  • Accelerates debt repayment
  • Make money doing something you enjoy


  • Can be time-consuming and stressful
  • May take time to build up a client base or start earning significant income

Who it’s for: Anyone with a bit of spare time and a skill or passion that can be monetized can benefit from starting a side hustle.

7. Selling Unwanted Items

How it helps: We all have items lying around our homes that we no longer use. Selling unwanted items can generate a one-time cash boost, which can be used to reduce your debt.

The process: Identify items in your home that you no longer need or use. This could be anything from clothes, furniture, electronics, or collectibles. To sell these items, use online marketplaces like Facebook Marketplace, or have a garage sale. 


  • Generates a one-time cash boost
  • Helps declutter your home


  • May be time-consuming
  • Not a consistent source of income

Who it’s for: If you have items of value gathering dust, this is a quick and relatively easy way to generate extra cash.

8. Credit Card Balance Transfers

How it helps: A balance transfer allows you to move your debt onto a credit card with a lower interest rate, often saving you money. Many credit cards offer introductory periods with 0% interest, giving you time to pay down your debt without accumulating additional interest.

The process: Apply for a balance transfer credit card with a low or 0% introductory interest rate. Transfer your high-interest debts onto this card and focus on paying it off during the introductory period.


  • Saves you money on interest charges
  • Consolidates payments into one


  • Often comes with balance transfer fees
  • Requires good credit to qualify
  • You may be tempted to use the card to take on new debt
  • Doesn’t reduce what you owe like debt resolution could

Who it’s for: Balance transfers are ideal for individuals with good credit who have $30,000 in credit card debt with high-interest rates and have the discipline necessary not to take on new debt while they pay off their balance. 

The Pitfalls of Credit Card Interest Rates and Making Minimum Payments

Credit card interest rates can be a significant roadblock on your path to becoming debt-free. Making only minimum payments can allow interest to accumulate and lead to years of payments without significantly reducing your principal balance. Understanding how these factors impact your debt payoff journey is crucial when choosing your debt payoff strategy.

Making The Right Choice

Remember, overcoming debt is a journey – not a race. Patience, persistence, and informed decision-making are your allies. Before making any decisions, consider talking to a consolidation specialist at Accredited Debt Relief. They can provide personalized advice and guidance tailored to your unique situation.

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