If it seems like you can’t break the cycle of credit card debt, you’re not alone. TransUnion reports that in the second quarter of 2024, the average credit card balance was $6,329. This is a pretty notable increase from the previous year, when the average credit card balance was $5,947.

Of course, the problem with credit card debt is that it can be expensive. This is because credit cards are notorious for charging significant interest.

In fact, let’s say you owe $6,329 on your credit cards and you’re charged 20% interest on those balances. If it takes you 24 months to pay them off, you’re looking at spending $1,402 in interest.

But an extra $1,402 could do your finances a lot of good if you could hold on to that money instead. This could help you supplement your emergency fund or save for a more reliable car, for example. It is therefore important to try to get rid of your credit card debt as quickly as possible.

A good way to get rid of your credit card debt faster is to start a side hustle. If you have credit card debt, chances are it’s because your regular salary at work is barely enough to make your minimum monthly payments. But if you’re able to earn extra money from a second job, you can use it to reduce your credit card balances and reduce them.

But also know that consolidating your credit card debt could help you pay it off faster. And here are two options to consider in this regard.

1. A balance transfer

With a balance transfer, you don’t get rid of your credit card debt immediately. Instead, you transfer your balances to a single credit card, so you only have one monthly payment to make. But that’s not the only advantage.

Many balance transfer credit cards come with an introductory interest rate of 0%. And not having to pay interest on your balance for what could be a year or more could be your ticket to becoming debt free for good.

You’ll now have to watch out for balance transfer fees, which could eat into your savings. But if you read the fine print, you might find a deal that’s right for you. Click here for a list of the best balance transfer credit cards.

2. A personal loan

Unlike a balance transfer, a personal loan will not give you an interest-free period on your debt. Rather, when you sign a personal loan, you agree to a predefined interest rate on the amount you borrow.

The advantage of a personal loan, however, is that you generally benefit from a lower interest rate – and often a a lot lower – on your debt than what a credit card usually charges. Additionally, with a balance transfer offer, you run the risk of accruing interest at a rapid rate once your introductory period is over. But with a personal loan, your interest rate is locked in.

For example, let’s say you find a balance transfer offer with a 0% introductory rate for 12 months. It’s a good deal in theory. But if you don’t pay off your balance in full within 12 months, then you could be hit with a 26% interest rate on the remaining amount you owe.

On the other hand, if you take out a personal loan at 8% and have five years to repay it, you don’t have to worry about your interest rate rising above 8%. So, with a personal loan, you could have more peace of mind. Click here for a list of the best personal lenders.

Whether your credit card balance is higher than the average consumer, lower, or similar, it’s worth trying to get it down to $0 as quickly as possible. And to that end, earning extra money with a side hustle and consolidating your debt through a personal loan or balance transfer could be your way to becoming credit card debt free for good.