The COVID 19 pandemic was difficult for most Americans. Many had their incomes negatively impacted through lost jobs, or hours cut. The disruption caused by the pandemic was devastating for millions of people who became unemployed, under employed, or contracted COVID and needed healthcare. This often led to the overuse of credit cards as a lifeline in meeting basic needs.

If you racked up credit card debt during the pandemic, you are not alone. According to creditcards.com, more than half, approximately 51 million Americans, increased their credit card debt during COVID. Credit cards are an easy way to make purchases, however; they are also one of the most expensive methods for borrowing money due to there often high interest rates.

The good news is the economy is largely open again with the arrival of COVID vaccinations. Many industries are experiencing an economic boom and Help Wanted signs can be seen everywhere. With the economy strengthening, and incomes on the mend, now can be a great time to consider ways to reduce or eliminate credit card debt.

One thing you can do is try to reduce the interest rate on your credit card balance. Call your credit card company and ask them if they would be willing to reduce your interest rate due to hardships experienced during COVID. When you make your request, you may want to make a payment on your account as your credit card company could be more accommodating with a good faith payment.

If you are behind in making payments you could ask your credit card company to establish a credit card payment plan, also known as a hardship plan. This plan typically features a fixed payment schedule, smaller minimum payments, and lower interest rates and fees, which could potentially save you money, while reducing your monthly financial stress.

You could also seek a loan that has a low interest rate to pay off higher interest rate credit card debt. Credit unions can be a great avenue as they are not-for-profit and will often have lower interest rates on loans and they tend to offer favorable terms for members. To join a credit union you need to be part of the credit unions field membership. This could be a group, military organization, employer, etc. Most will require a driver’s license or picture I.D. and Social Security card.