Gastos Much? Here’s How You Deal With Credit Card Debt This 2015


Christmas and New year passed by so fast and now, we all need to constantly remind ourselves that it’s already 2015. New challenges. New perspective. And new mindset about how we deal with our finances. 

I give you a pat in the back if you survived 2014’s holiday feast. While some of us enjoyed giving and receiving gifts from friends and loved ones, most filipinos welcomed the new year on default. By that I mean, going zero. Nada. Waley. 

I know we’ve all been overwhelmed by the whole christmas spirit, and that we ended up in debt entering the new year. Particularly (almost) exceeding with our credit card use. As old people would put it, better not start the year with lots of financial obligation or you’ll end up suffering making ends meet the entire year.

If you are in that same situation, you don’t need a Bagua and suck out the swerte off it! Here are some ways on how to properly deal with your credit card debt:


Freeze The Damn Thing

If it requires you to literally put it in a freezer and let it be covered with thick ice, then by all means, do it!

Look, there’s no point blaming your “good-hearted” self from overspending during the holiday season. Matter of fact, it isn’t just you who has experienced it, as the feast and famine situation is typical to most Filipino households. Riding on the trend of concentrating all of your feelings into one hashtag, I’d like to use #Relate, and this goes out to everyone who’ve carelessly swiped their cards all in the name of love last christmas.

What I’m actually trying to say is this: Stay away from your credit card, and instead use cash when purchasing an item. If you don’t have cash, then you don’t have any right to purchase anything, especially by impulse!


Trim Your Budget

Talking about using cash, this is also the perfect time to work on your budget. Gone are the days of lavish noche buena and festive media noche. It’s 2015 and you need to pay off those debts!

To help you get through, you can bring baon at work instead of buying food at the office cafeteria. Or if you’re used to driving a car or taking a cab to work, why not try hopping in on the bus, or take the MRT instead. It may not be a convenient option as our public transport isn’t in its perfect system at the moment, but adjusting your lifestyle with your current financial status will ultimately help you clear your credit card debts in no time.  


Get an SSS Salary Loan to Pay Off Your Balance

If you are currently a paying SSS member, (employed, self- employed, or voluntary) and has six posted monthly contributions for the last 12 months, you can make use of the salary loan to pay off your credit card debt.

Depending on your monthly contributions, the maximum amount you can take for a personal loan is at ₱24,000, payable within 2 years in 24 equal monthly instalments.

You may click on this link to find out the details on how you can proceed with SSS personal loan.


De-Clutter Your Room and Sell Items You No Longer Use

You’ll never know what you have until its gone. It is true that when you declare a “cool off” with your credit card, it’ll stop you from buying unnecessary things that only mess your room, and clog your closet. In the absence of your credit card, you’ll see things you forgot even existed.

And when you realise the value of those stalled items, you can turn it into actual cash by selling it online. Just like yourself, there are many impulsive buyers out there who might find better use of your branded jeans, slightly used shoes, or even gifts from past christmas that you’ve never laid your hands on.

If you are the type who doesn’t have sepanx, or Separation Anxiety issues then this is a perfect way to earn cash  to pay off your credit card debt.


How did you deal with your holiday expenses? Share us your thoughts by leaving a comment below. 






Michael Mutia

Former tv writer and radio DJ, now the resident ball of sunshine for MoneySmart. I like things cute and fun. When idle, I turn to Christina and Mariah for some music therapy. I write about interesting money-related articles too for our blog. So if you got any good story ideas to share, or know where to find cheap stuff, send me a shoutout at [email protected]

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