Archive · 30 Aug 2026
Why Credit Card Debt Persists and Strategies for Repayment
Credit card debt can grow when someone pays only the smallest required amount each month.
Interest keeps being added to the unpaid balance.
This means the debt may take many years to disappear.
A survey found that many cardholders make only minimum payments.
People can try paying more than the minimum when they have savings.
They can also ask their bank about monthly installments or use a lower-interest personal loan.
Automatic payments can help prevent missed deadlines and penalties.
Paying off the smallest balance first or the highest-interest balance first are two possible plans.
Tracking spending and creating a realistic budget can also help reduce debt.
A LendingTree survey found 41% of United States cardholders pay only the minimum on at least one card, rising to 58% among Gen Z.
The minimum-payment rate falls to 19% among Baby Boomers, according to the survey.
A United States cardholder with credit card debt carries an average balance of $7,756.
At an average APR of 20.94%, repaying that balance could take nearly 27 years and cost nearly $13,000 in interest.
Suggested strategies include paying extra, consolidating debt, automating payments, using snowball or avalanche methods, and limiting expenses.
- Who
- Credit cardholders, particularly those carrying balances in the United States.
- What
- The article explains why credit card debt can persist and presents repayment strategies.
- When
- Debt accumulates when balances are carried from month to month and minimum payments are made.
- Where
- The survey data and debt estimates concern the United States.
- Why
- Minimum payments leave balances unpaid while interest continues to accumulate, extending repayment and increasing costs.
- Minimum-payment rate
- 41% of United States credit cardholders pay only the minimum on at least one card.
- Gen Z rate
- 58% of Gen Z cardholders reportedly pay only the minimum on at least one card.
- Baby Boomer rate
- 19% of Baby Boomer cardholders reportedly pay only the minimum on at least one card.
- Average balance
- A cardholder with debt carries an average balance of $7,756.
- Average APR
- The article cites an average current credit card APR of 20.94%.
- Estimated repayment
- At that balance and APR, repayment could take nearly 27 years and involve nearly $13,000 in interest.
- Repayment approaches
- The article recommends paying extra, converting debt to installments, automating payments, using snowball or avalanche methods, and limiting expenses.