A PRO saver has revealed the four key steps she took to pay off her £17k credit card debt in just one year – and none of them involved limiting her spending.
Instead, Lexa quit using her credit card and used a zero-based budget to make sure she stayed on track.
Known online as @theavocadotoastbudget, regularly shares money-saving and budgeting tips with her 478,000 followers.
In a new TikTok reel, she said: “Here’s a quick rundown of the top things that I did to pay off $20,000 of credit card debt in a year.
“For perspective, I was making about $45,000 a grand, lived in a dual-income household and we didn’t have kids.
“Number one, I stopped spending money on credit cards, at least while I was trying to pay it off.
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“Number two, I refinanced into a personal loan to help lower the interest rate.”
Lexa’s third tip was to find a budgeting system that works for you- and revealed that she used a zero-based budget to help her control her spending.
This involves allocating a set amount for each expense, based on what you think you should be spending, rather than what you have previously.
She continued: “Number three, I got on a budgeting system that worked for me. A the time it was a zero-based budget but really whatever works for you, that’s what you should do.
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“Number four, I did not cut out all extra spending.
“Instead, I just cut out the spending that I didn’t really care about. That way I could still spend money on those things that I loved, like iced coffee.”
Fans loved her quick tips, with the video gaining more than 3,200 likes and 124,100 views.
In the comments, TikTok users shared their thoughts, with one writing: “This is so inspiring! I’m in a similar bracket trying to pay all mine in a year!”
Another said: “Love it! My husband and I are trying to pay off a credit card with 21 per cent interest. Did a balance transfer to a card with 0 per cent interest for 18 months.”
Someone else asked: “With dual income, were living expenses part of your budget? Like rent or mortgage? Or were they paid under the other income?”
Lexa replied: “My partner and I split those expenses! About 30 per cent of my take-home pay went to bills.”
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