FIVE STEPS TO CLEAR DEBT FAST
Written on the 8 April 2015
HOUSEHOLD debt is at a 25-year high, with Australians collectively owing approximately $1.8 trillion according to SocietyOne.
The peer-to-peer lender says the data equates to $79,000 for each person living in Australia.
SocietyOne CEO Matt Symons says it's no wonder Australians are looking to reduce high-interest debts like credit cards.
"For many Australians, clearing credit card debt feels like an unachievable goal," Symons says.
"According to the RBA, standard credit card rates are around 19.75 per cent per annum.
"Paying the minimum monthly amount on a $5,000 credit card debt means it could take up to 45 years to pay off. That's longer than most mortgages.
"It takes so long because of the high interest rates and additional costs, which is how banks make such huge profits."