Debt can feel heavy. But there are solutions, plans and people to talk to. Whether it’s cards, loans or a mix of both, there are simple steps you can follow to take back control.
Here they are, starting with the basics.
How do I get out of debt I can’t afford?
If you’re struggling with debt repayments, the most important thing to do is act fast. If you’ve been burying your head for a while, don’t worry, but let’s change that now. There are ways to manage it, even if things feel tight.
Start by getting clear on what you owe, who to, and how much you’re paying each month.
Step 1: Know your numbers
Write down all your debts. The total amount, the interest rate, and the minimum repayment. Include credit cards, loans, store cards – anything that needs paying back.
Then, add up your monthly income and essential costs like rent, bills and food. What’s left is what you can realistically put towards your debts.
Write that number on your phone notes, in your journal, stick it on the fridge. Whatever you need to remember that’s the number you’re aiming to pay off each month.
Step 2: Pick a debt repayment strategy
There are a few tried-and-tested ways to pay off personal debt:
- Snowball method: pay off the smallest debt first, then move to the next. It’s great for motivation.
- Avalanche method: focus on the debt with the highest interest. This usually saves you more in the long run.
- Debt consolidation: combine multiple debts into one with a single monthly repayment. This only works if the new rate is lower.
- Balance transfer: move high-interest credit card debt to a 0% deal (check fees and make sure you pay it off before the promo ends).
Step 3: Budget like a pro
Create a budget that works for your real life, not just on paper. Track your spending, spot where you can cut back and stick to it.
Even small changes, like cancelling sneaky subscriptions or batch-cooking meals can make a difference over time.
Step 4: Prioritise your debts
Focus on debts that could have serious consequences if unpaid, like rent or priority bills. These need to be tackled head-on. Then you can pick one of the methods above that works best for you.
Step 5: Speak to your creditors
If you’re finding it hard to keep up, don’t wait. Many lenders are open to setting up payment plans or pausing interest. Being upfront shows you’re trying. That can go a long way, despite how scary the big dog banks seem.
Step 6: Ask for help
There’s no shame in seeking support. Organisations like StepChange or National Debtline offer free, confidential advice and can help you come up with a plan.
How Zilch can help
Credit card interest can stack up fast. Luckily, we’ve got an alternative.
- Pay over 6 weeks: spread out purchases into four interest-free payments instead of relying on high-interest credit cards. Fees may apply.
- Pay over 3 months: just like 6 weeks, but 3 months. Feel the hit even less with more time. Fees may apply.
Quick note: both Pay over 6 weeks and Pay over 3 months are credit offerings – if you don’t repay them right (on time, or at all) then you could negatively impact your credit file.
- Pay now, earn up to 5% back in Zilch Rewards: a simple way to make your money go further when budgeting.
- Stay in control: see your repayments clearly and get reminders to keep you on track.
Used mindfully, Zilch can help you avoid high-interest debt and stick to your financial goals.