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News last week that was welcomed by American borrowers, but it may have masked what still appears to be a credible issue: millions of Americans are still struggling to pay off all that they've accumulated. Credit card balances in the first quarter of 2025 were at a combined $1.18 trillion, and while that's a decline from the final quarter of 2024, it still represents a 6% increase compared to the same time period last year. Add in the fact that the balance is close to $8,000 right now and that are only marginally down from a recent record 23% and it becomes even clearer that the path toward financial freedom is still a ways off for many.

That all noted, there may be some credit card users with a large debt load, or with a card with an interest rate above that average, who are considering staying on their current path anyway. With a variety of debt relief options that can be personalized to your needs, this could be a mistake. However, it helps to know what to consider to better inform your next steps toward a final credit card debt payoff solution. Below, we'll break down three critical credit card debt considerations borrowers should make now.

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Here are three items credit card users should be thinking about right now:

, from the federal funds rate to the prime rate and more. But the reality is that credit card interest rates are unlikely to decline materially at any time soon. For context, credit card interest rates hit a record high last fall, directly in the middle of the Federal Reserve's interest rate cut campaign. And rates there have been paused so far in 2025. 

Even when a cut is issued, though, as many expect at some point later this year, it's likely to be by just 25 basis points, which will have a minor impact on credit card rates, if it does at all. Understanding , then, credit card users may be better served by exploring ways to get out of debt that won't require major economic changes to help reduce what they currently owe.

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Another reason why you should tackle your credit card debt sooner rather than later: it's compounding. Your , making even the most innocuous initial debt quickly difficult to pay if accumulated on a high-rate credit card. It won't happen overnight (often past the grace period of 21 to 25 days), but it will build up over time, and it'll be to a significant degree if you have anything close to that 23% interest rate. Even above-minimum payments may not be sufficient in these circumstances, leaving you with little recourse besides turning to a debt relief servicer.

There is a wide variety of worth exploring and likely one that fits your specific circumstances. Ranging from to to , a debt relief service can evaluate your debt situation to determine which is most appropriate for you. In extreme cases, they may even work with you to come up with the appropriate solution. 

On the other hand, depending on , you may be eligible to have 30% to 50% of your credit card eliminated with the help of a (also known as debt settlement). You won't know which is optimal for your situation, however, until you start doing your research and speaking to professionals. Consider making the move now.

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The unfortunate but sobering reality is that many American credit card users have debt that won't be reduced by any minor changes in the interest rate climate. It's likely to compound with interest if action isn't taken promptly. But with the right debt relief strategy and a new and consistent approach, the path to financial freedom is achievable, and it can begin now, even in today's uncertain economic climate.