There's a sentence I start hearing around the middle of October.
"I'll deal with it after the holidays..."
Sure, it sounds responsible. It sounds like a plan.
It's really just another excuse.
Because what people really mean is "I'm going to keep not looking at my credit cards for another three months, keep paying the minimum, add Christmas on top of it, and then panic in January."
Cool story.
And then January shows up.
It's cold.
It's dark.
It's 5 p.m.
Why 5 p.m.? Because it's my story.
And when your statement arrives, the balance is WAY bigger than it was in October, because of course it is.
So you say, "I'll deal with it after tax season."
Then, "After summer."
Then it's October again.
Do you see what I'm getting at?
On Financial Audit, I see the result of this type of behavior every day.
Here's what avoidance actually costs you.
Interest doesn't take the holidays off. If you're carrying a balance at 24%, that debt is growing every single day. And the longer you wait, the fewer options you have left.
So let's deal with it now. Before the holidays. Today.
1. Open everything.
Every statement.
Every app.
Every envelope in that drawer you think no one knows about.
(We all know Stephen.)
Yes, it's going to feel awful. So feel awful for twenty minutes, because it's better than feeling vaguely awful for the next three years.
2. Make a list.
Every debt, the balance, the interest rate, the minimum payment. Now put it on one page.
Most people have never seen their whole debt picture in one place, and that's exactly why it feels so scary. It's a monster you've only ever seen in the shadows.
So turn on the lights, dummy.
3. Call your creditors.
This is the step everyone skips, and it's the one that can save you the most.
If you're struggling, call and ask about hardship options.
Some creditors may lower your rate, pause payments, or set up a plan.
Not all of them will.
But they definitely won't offer if you're sending them to voicemail.
4. Stop digging.
You can't pay off a credit card you're still swiping.
If the holidays are coming and you're already underwater, that card goes in a drawer. The same drawer the statements were in.
That's poetic AF.
5. Pick a payoff method and commit.
Highest interest rate first, or smallest balance first.
I don't care which one you choose, I just care that you choose one and stick to it for more than eleven days.
Highest rate first saves you the most money. Smallest balance first gives you a quick win, and quick wins keep people going.
Pay the minimums on everything else and throw every extra dollar at your target until it's dead. T
hen roll that payment into the next one.
Now, for some of you, the list is going to be big.
Like, "the minimum payments are more than I make" big.
Now. What if your "I'll deal with it later" started the second you graduated with a liberal arts degree to make coffee?
