Wipe the debt slate clean with these tips in the new year

By Jack Dona · · 2 min read
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A smiling millennial couple with a smartphone sit in a sunny park, excited to have paid off their debt

If your New Year’s resolution involves more financial freedom, then paying off your debts is an excellent place to start. After all, we only want to take the lessons we’ve learnt into the new year, not our credit card balances.

Here are a few debt-busting tips you can use to wipe the slate clean in 2025.

Avoid late payments 

Late credit card repayments can result in you being charged extra interest and late fees.

To help yourself avoid late payments (that can damage your credit score), consider setting up a direct debit payment or automatic bank transfer each month. 

Pay back more than the minimum 

In an ideal world, fully repaying your credit card bill is the best way to go about avoiding credit card debt. But, that’s not always possible. 

If you can afford to pay more than the minimum repayment amount on your credit card, you may be able to slow down the build-up of your debt and get one step closer to clearing it.

Reduce your credit limit 

If you’re prone to overspending on your credit card, you can ask your provider to reduce your credit limit. You can do this over the phone, online, or by visiting a branch.

Budget your spending 

Creating a budget that tracks your income and expenses can help you pin-point where your spending habits may be getting you into trouble. 

It can be useful to categorise your expenses into needs (what you can’t do without) and wants (what you can do without, at least temporarily). 

See if you can find ways to reduce the cost of your needs, if possible, and cut out as many wants as necessary. This could free up some cash to pay off more of your credit card debt.  

Consider a balance transfer credit card 

A balance transfer credit card lets you roll over your existing credit card debts to a new card, often with a 0% interest rate (or very low rate) on your balance, for a limited time. After the balance transfer period ends, the interest rate swaps over to a high interest rate on unpaid balances. 

This type of credit card can provide you with an opportunity to bust your debts, but it doesn’t come without risks. So, make sure you understand the pros and cons of balance transfer credit cards.

Check out the latest balance transfer offers on Mozo below!

BALANCE TRANSFER CREDIT CARDS JANUARY 2025

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Last updated 7 January 2025Important disclosures
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  • Citi Rewards - Balance Transfer and Purchases offer

    Enjoy 0% p.a. for 15 months on purchases and balance transfers. Balance transfer reverts to cash advance rate. Earn up to 1 Citi reward Point per $1 on eligible transactions. Apply for a credit limit from $2,000 up to $100,000. Balance transfer fee applies. This product is provided by National Australia Bank Limited, using certain trademarks temporarily under licence from Citigroup Inc.

    Balance transfer rate
    Purchase rate
    Annual fee
    Rewards program
    Estimated savings
    0% p.a. for 15 months and then 22.99% p.a. (2.00% balance transfer fee)
    0% p.a. for 15 months then 22.49% p.a.
    $199
    Citi Rewards Program
    Go to site
    Details
  • Citi Clear Credit Card - Balance Transfer Offer

    0% p.a. for 24 Months on balance transfers. 1.5% balance transfer fee applies. Rate reverts to cash advance rate. $49 annual fee in the first year, reverts to $99 thereafter. Enjoy a low ongoing variable purchase rate of 14.99% p.a. This product is provided by National Australia Bank Limited, using certain trademarks temporarily under licence from Citigroup Inc.

    Balance transfer rate
    Purchase rate
    Annual fee
    Rewards program
    Estimated savings
    0% p.a. for 24 months and then 22.24% p.a. (1.50% balance transfer fee)
    14.99% p.a.
    $99 $49 in the first year
    -
    Go to site
    Details
  • NAB Low Rate Card - Balance Transfer Offer

    Spend with confidence with a low variable purchase rate and 0% p.a. interest on balance transfers for the first 24 months. Unpaid balance transfer reverts to variable cash advance rate. 3% balance transfer fee applies. There’s also up to 55 interest free days on purchases to help you manage your budget when you pay your account in full by the due date. Minimum credit limit $1,000. Low annual fee. T&Cs, fees, charges and eligibility criteria apply.

    Balance transfer rate
    Purchase rate
    Annual fee
    Rewards program
    Estimated savings
    0% p.a. for 24 months and then 21.74% p.a. (3.00% balance transfer fee)
    13.49% p.a.
    $59
    -
    Go to site
    Details
  • Kogan Money Black Card

    Introductory Rate Offer

    Get 0% p.a. on purchases and balance transfers for 9 months with a 1% balance transfer fee. Reverts to cash advance rate. $0 annual fee to pay. Earn 2 rewards points per dollar on your eligible purchases at Kogan.com & 1 rewards point per dollar on your everyday purchases, almost anywhere (T&Cs apply). FREE Kogan First membership valued at $129/year. Add up to 4 additional cardholders at no cost.

    Balance transfer rate
    Purchase rate
    Annual fee
    Rewards program
    Estimated savings
    0% p.a. for 9 months and then 22.74% p.a. (1.00% balance transfer fee)
    0% p.a. for 9 months then 21.99% p.a.
    $0
    Kogan Rewards Points
    Go to site
    Details
  • Citi Premier

    120,000 bonus points when you spend $4,000 within 90 days from card approval. Complimentary features like travel insurance and concierge.

    Balance transfer rate
    Purchase rate
    Annual fee
    Rewards program
    Estimated savings
    0% p.a. for 6 months and then 22.99% p.a.
    22.49% p.a.
    $300
    Citi Rewards Program
    Find out more
    Details

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