Paying off credit card debt first is a key to being financially smart in 2024.

According to the Federal Reserve, 2023 was the first time that Americans surpassed over one trillion dollars in credit card debt, with an average interest rate of 20.68%. Credit card debt in the United States continues to rise at an alarming rate according to experts, but making paying off any credit card debt first as a top priority can set up success financially in 2024. With credit card debt usually containing the highest interest rate of all debts, Assistant Vice President of Retail Banking at Leighton State Bank Denise Becker says it is important to pay more than just the minimum payments. 

“My recommendation every month is to pay off your credit cards, which I know for some people that isn’t feasible. Credit cards are usually the highest percentage of your debt so you should plan a goal, see how much you owe, and pay more than just the minimum amount.”

Hear more about ways to be financially smart in 2024 from Denise Becker on today’s Let’s Talk Knoxville.