Credit card first in line for the chop

With the financial hangover of January out of the way, now is an ideal time to get back on an even keel, the Australian insists.

And for those who are planning to sit down and get their finances straight, the paper recommends rubbing out credit card debt as the first course of action.

With credit card interest rates running as high as 20 per cent, it is likely to be one of the most punitive forms of debts and as such it is vital to get it cleared quickly.

“Once this is achieved, you can concentrate on the bigger picture by reviewing your superannuation, your investments and your savings objectives for the short, medium and long term,” says the paper’s money expert Anne-Marie Esler.

And she urges Australians to get on with clearing credit card debts as soon as possibly, as many people are left ruing the decision to overhaul their finances at the end of the financial year.

Elsewhere, money experts have called on Australian lenders to bring out new cheap credit cards that offer rates that reflect the dramatic cuts to the base rate of interest witnessed in the last few months.ADNFCR-1761-ID-19009031-ADNFCR