Commonwealth Bank Debt.Do not pay them back until you’ve read this

Using a credit card for your spending can have many benefits, these benefits may include added legal protection, travel insurance, cashback or collecting loyalty points at your favorite shops. However if you don’t pay your credit card bills off regularly in full each month this debt can get quickly out of control. Here’s how to stop that happening.

Delete and Dispute any Defaults on your Credit File with this Free trick!

One unfortunate factor with being in debt, is that they will put a default on your credit file, which will stop you being able to get any credit. So one tactic I would suggest, is to access for free your credit file and have a look for any defaults (tactic can be used for any defaults you have) and if there is, then click dispute next to all of them. I have found many times, companies put defaults on your file much earlier than they legally should, so you can clear your file/improve your credit score today. The free one I used was this one

Are they calling you 100 times a day at all hours?

When your debt was sold, your details automatically went onto their database. This is used by a team of telesales agents, paid commission to chase you. Also the Auto-responders that churn out the annoying emails/letters etc Getting removed form this list, halts the hassle.


If you are struggling to pay off your credit card bill, the first thing you should do is

  • contact your credit card provider to discuss your problem as soon as you realise you have got a problem with paying the bill. They may well agree to let you pay a reduced amount for a while.
  • Also make sure that you ask for any interest they are charging on your outstanding balance is frozen so that the credit card debt does not go up even though you are paying money to pay it off.
  • Generally speaking it is not a good idea to increase the limit on your credit card when it has outstanding credit debt that you are struggling to repay, as this is highly likely to get you into even more debt with your credit card company.


Commonwealth Bank Debt.Do not pay them back until you’ve read this

Credit card debt can be very expensive. Currently bank base interest rates are the lowest rate they have ever been at 0.5%, despite this the average interest rate charged on a credit card is 18% APR (annual percentage rate) though this can be as much as 50% APR depending on the card. Transferring your balance to another credit card that pays a lower interest rate may help reduce your monthly payments.


One of the option for borrowers with existing credit card debt is to move it to a balance transfer credit card. These cards offer a period in which no interest will be charged on that debt, meaning that every penny of your repayments goes directly towards reducing the size of your original debt. You will need to pay a fee to transfer your debt over, usually around 3% of the balance transferred (subject to a minimum fee level), so if your outstanding balance is $1,000 it will cost you $30 to switch. These balance transfer credit cards are usually only available to people with a good credit rating so you may have to shop around for a good deal depending on your credit rating. If you have debt on more than one credit card, you will need to work out which one to pay off first.


As a priority you should focus on the card with the most expensive credit card debt first. If, for example, you owe $1,000 on a card charging 19% annual interest and another $1,000 on one charging 34% annual interest, concentrate on the card charging 34% interest first and pay as much as you can. Once the you have cleared the debt from the expensive card you can then look at paying off the credit card which charges 19%. Make sure you continue paying at least the minimum payment on the cheaper card(s) throughout. Otherwise missed payments will damage your credit rating and you will probably have to pay extra fees.

Do not stop or reduce payments on any loan or credit commitment secured against your house or on rent and utility bills as these must take priority over credit card debts.

You may well find it easier if you are able to set up a Direct Debit for your credit card payments so that will ensure you never forget to pay at least the minimum. In this way you will not be charged a late payment fee, or have any interest-free period on your card removed if you have an interest-free card.

Set up a Direct Debit now, preferably to pay the full amount every month automatically. If you can’t afford this, you can set up an automated payment for more than the minimum, but make sure you always pay the minimum at least.

Use this loophole to protect your income

There are several situations that legally warrant a debt collection company taking your money. However, there are some loopholes that enable yourself to protect your money form these companies. The quickest and easiest strategy, is to sign up for some income protection. Debt collectors won’t be able to touch it and it also supplies you an income, if out of work/injured etc all situations debt collecting agencies care nothing about and would normally chase you for regardless. The one I used was this one

Commonwealth Bank Debt.Do not pay them back until you’ve read this

It can be daunting when you can’t pay your credit card bills, and making payments can sometimes seem like throwing good money after bad. However it doesn’t have to be like that and there is help out there.