Pay off debt without the guesswork

You likely have a list of your debts, including:

• what you owe
• interest rates
• minimum repayments
• how long each debt will take to clear.

Update your list regularly with what’s been paid, what’s left and any new debt that’s crept in.

Progress is progress — even slow progress.

Adjust your method if something isn’t working. Increase payments if you can and simplify where needed. If you need a bigger change, you could:

• Switch repayment styles:
  • Avalanche: pay off the highest interest first.
  • Snowball: pay off the smallest debt first.
  • Consolidation: combine debts to simplify with one lower interest rate.
• Consider a balance transfer on a credit card. Move your debt from another bank's credit or store card and pay reduced interest for a fixed period, helping you put more money towards paying your debt, rather than interest.

The more you adapt the plan to your life, the easier it is to stick with.

If you get a bonus, gift or pay rise, split it: at least half to debt, the rest for you.

When you clear your debts, keep making the payment — send it to savings instead.

You won’t miss money you weren’t relying on, so your budget feels the same, but your progress speeds up.

As your debt shrinks, build more stability so you don’t slip backwards.

Once you’ve reached $1,000, aim for three to six months of expenses.

Keep this fund separate and review what counts as an ‘emergency’, so you don’t raid it unnecessarily.

Your credit report records how you handle money — not just mistakes.

Paying bills on time, making regular repayments and clearing debt all help improve your credit score.

Request a free report from Equifax, Centrix or Experian to check for errors and track your improvements over time.

Direct your ‘treat yourself’ impulses to your debt or savings instead. Same urge, better outcome.

Avoid temptation by blocking your card or adding a gambling block

Once debt is no longer draining your wallet, start planning what comes next.