Everybody with a credit card knows the importance it brings in our everyday lives. Everybody with a credit card knows that what they charge, they will have to pay for later in the month. Everybody with a card knows that it is best to charge only what you can afford and be able to pay for in full when the account statement comes. And yet more and more people are paying for debts so large, they can only afford to pay the minimum each month.

Of course, this is a great setup for the credit card company, as the lower the amount you pay each month, the larger the interest, the longer it will take for you to pay off your debts. Avoiding the situation altogether will not change your situation. It will be hard to start the process, but these debts have got to be paid—and soon. So here are some tips to help you regain control of your finances.

• Stop using your credit cards

Cut the bad habit. Forego shopping for unnecessary things, eating out in expensive restaurants or buying a brand new car. Remind yourself that these things are piling up your debt. Store your cards or cut them up to fight the impulse.

• Make a list

Make a table of all your credit cards with their outstanding balance, interest rate, the minimum monthly payment required and other payables. On a separate sheet, list your monthly utilities including the rent, electricity, water, phone, food and other necessary expenses.

• Allocate a budget

Deduct the sum of your monthly utilities and cost of living, from your earnings per month. From the remaining, allocate a budget to make the minimum payment of each of the credit cards on your list. Pay the credit card with the highest outstanding balance from what extra money you have after all the computation.

• Use cash

Store your credit cards and save one with the lowest interest rate for emergency use. Using cash allows you to budget more and easily compute your expenses. It also provides as a ceiling as to how much you can only spend during a day with your budget.

• Avoid borrowing from consolidation loans

Some people are desperately looking for a quick fix without thoroughly researching about the pros and cons. Consolidation loans may look like an easy fix but may end up doubling the debt that you currently have. If you must, turn to friends and family and ask for help. The debt may be paid easily within your reach because there usually is no interest or at least lower than that in the market. Draft a written agreement and payment terms to avoid problems from arising.

• Consider a part-time job

This is a good way to bring in money and make some extra cash. Consider online work or a job in your local community where transportation or food expenditure can be avoided. No matter how little, the little things you do can help in your cause in regaining your financial freedom.