Enormous credit card balances can be mentally and physically draining. Still, millions of people are drowning in debt. Acquiring debt is simple; finding a way out of debt is tricky. While many persons recognize the cause of excessive debt - spending habits, illness, loss of employment - few know of ways to quickly remedy the problem and gain control of their finances.

Bankruptcy may seem like an easy fix, but the effects are lasting. For the next ten years, every potential lender will know of your bankruptcy discharge. There are ways to eliminate credit card debt without a bankruptcy. First, you must acknowledge the problem.

If able to pay the minimum payment, some people are inclined to deny a credit card problem. However, paying only the minimum will not reduce the balance. On the contrary, the balance could slowly increase. When minimum monthly payments barely pay the finance charges, consumers stay trapped.

Warning signs of credit card problems include:

As a rule, your monthly consumer debt should not exceed 20% of your income. This includes all debt payments such as auto loans, student loans, credit cards, etc. Making simple lifestyle changes can lower your monthly debt expense, and put more money in your pocket.

Getting out of debt is not easy. In fact, it can take several months or years to completely pay off high balance credit cards. However, sticking to a realistic debt elimination plan, and re-thinking every credit card purchase can make a huge difference.

Due to embarrassment or shame, some individuals don't address their debt or they hide the problem. Before you can deal with credit card debt, it is imperative to know an actual debt amount. Gather credit card statements, list of all your debts, and calculate the total debt.

The list should include the name of the creditors, balances due, monthly payments, and interest rates. Next, calculate all monthly expenses (housing, transportation, insurance, utilities, etc.), excluding credit card debt payments. Subtract this total from your monthly income. Cut miscellaneous expenditures. In its place, surplus funds should be applied to debt reduction.

Credit cards are useful for emergencies. However, many consumers have difficulty distinguishing an urgent situation from a non-emergency. If your car or home needs an immediate repair, and you don't have cash funds, a credit card comes in handy. Wanting a new designer jacket or weekend getaway is not an emergency.

Stop spending money you don't have, and you can quickly stop the vicious debt cycle. Even if your credit card company grants a high credit limit, establish your own personal limit. Balances should be kept 25% below the credit limit. Therefore, if your credit limit is $2000, resolve to spend no more than $500.

Keeping the lines of communication open will safeguard your credit score. Skipping a credit card payment and dodging creditor telephone calls makes the situation worse. If you can't afford a monthly payment, contact your creditor and schedule a payment arrangement. The credit card company may readjust your payment due date, temporarily suspend required payments, or make other provisions.

High interest rates contribute to the inability to pay off debts. Consider transferring the balance to a new credit card with a low or 0% introductory rate. Paying little or no interest for the first 6 - 12 months will result in a noticeable debt reduction. While paying off the balance transfer, avoid new charges and late payments. Reminder: a single late payment cancels the introductory rate.

Contact a debt consolidation or credit counseling agency for credit card relief. These agencies communicate with your creditors and negotiate better rates. Lower finance fees results in quicker debt repayment. You can become debt free in a reasonable time period. Choose a non-profit agency and get free help. A representative will evaluate your credit situation and create a realistic repayment plan.

Do you own a home? If so, explore your refinancing options. A mortgage refinancing can act as a debt consolidation, and offers a quick and immediate solution to credit card debt. Borrow funds from your equity, and use the money to eliminate credit card debts.