3 maxed out credit cards. What is the best method to paying off these cards?
I (24 F) had some minor charges on my accounts already, probably barely even 20% utilization on two of my cards and my credit was at 750. Then life happened and after a medical emergency I ended up having to max out all 3 of my credit cards. I owe about $22k in total.
My partner and I agreed to go through with the medical procedure together on the terms that we both put in equal payments towards the credit cards every month. That didn’t happen. For a little over a year it was just me paying off the minimum for each card because that is all I could afford with the other bills I take care of. I would throw in any extra money I had after paying off my bills as well. As time passed, the interest started accumulating and payments started feeling like they were going nowhere and not making any sort of impact.
I switched tactics months ago to try the snowball method in hopes I can knock out my lowest balance credit card however I still feel like I haven’t been making any type of progress. It’s been 2 years already and I feel stuck and hopeless. I was looking into maybe taking out a loan to consolidate but my credit has plummeted to around 590 where it wouldn’t even be worth it as I wouldn’t get approved with a decent interest anyways.
Some info on my debt:
My minimum payments are $180, $240, and $278
Total interest a month adds up to about $400
My annual salary comes up to probably a little over $50k (before taxes)
After bills and other financial responsibilities, I really only have about $900 to work with every month, which is basically all my minimum payments and like $200 to throw in.
Current tactic has been paying the minimum on my highest balances and paying the minimum + $200 on my lowest balance
I’m not sure how to make it easier for me, I’ve already cut unnecessary expenses as well as not using my credit cards anymore. I’ve spoken to a lot of people who have just told me to file bankruptcy but for me that would be a last resort as I really don’t want that on record for myself.
Does anyone have any advice on what the best way to tackle this debt would be or how I should be approaching the way I’m paying it off?