What to Do When You Can’t Make Your Credit Card Payments

If you can’t make at least the minimum monthly payment on your credit cards, you could end up paying late fees and surcharges, and may even go over your credit limit as a result. Many people who are carrying too much debt end up maxing out their credit cards and just can’t seem to meet their monthly financial obligations. If this sounds a familiar situation, there are some ways to clean up your finances and make at least your minimum credit card payments.

Whether you’re having trouble making a single credit card payment or several payments, use these budget tips to make ends meet:

1. Scale back on some fixed expenses. Are there any smaller, random expenses you could cut out temporarily so that you have more cash available to make a credit card payment? Be creative and think of ways you can cut back on certain expenditures for a few weeks. Take a close look at what you are buying over any given week, and really think about whether you need the item, or if it’s a “luxury” at the moment. Becoming more conscientious about your spending can make it much easier to make those credit card payments each month.

2. Find ways to increase your income. An increase in cash flow can definitely make it easier to make your credit card payments, so think of ways you could earn extra money or take on some extra work for a few weeks and months. When you do get that income increase, make sure you are using the money to pay off your credit cards as quickly as possible. Remember it’s always a good idea to pay more than the monthly payment, because the calculated monthly payment only covers a portion of the principal.

3. Talk to the creditor. If you can’t seem to meet the due date of that credit card bill each month, call the credit card company and request a date adjustment. Most credit card companies are very flexible in this respect and will be able to adjust the due date based on your preferences. If you get paid at the end of each month, request to have the due date pushed back to the beginning of the month so that you always have funds available to pay at least the minimum payment.

4. Dip into your savings account. Even though you need to keep your savings account separate from your monthly spending activities, you may need to use some of your savings to make the monthly credit card payment on time. Just keep track of how much you are “borrowing” from this account and find ways to make a deposit or transfer as quickly as possible.

5. Live a more “green” lifestyle. Reducing electricity usage and cutting back on certain activities in the home could help you save some extra cash each month. Be smart about energy usage and monitor your energy bill closely each month.  Whenever your bill goes lower than expected or the average you have been paying, put the saved amount directly towards a credit card payment fund.