I’m a mum-of-two in £20,000 of credit card debt after spending on clothes, drinks and takeaways – but I’m not ashamed
A MUM has racked up £20,000 in credit card debt after spending thousands on clothes, drinks and takeaways – but she’s not ashamed.
Megan Archer-Fox started dipping into her overdraft as an 18-year-old fresher at university.
She quickly twigged the “£200 interest-free” overdraft on her current account was actually £1,500.
The student splashed out on clothes, Wetherspoons pitchers and Nando’s chicken.
Megan, from Birmingham, figured she could easily pay off the overdraft when she got a job.
But 14 years later, she has piled up more than £20,000 in credit card debt.
The mum-of-two told how she put takeaways and fancy dinners on her credit card without hesitating.
She finally decided enough was enough after having kids – and now hopes to pay off her debts in two years.
Writing in the Birmingham Mail, she said: ” I don’t believe debt is anything to be ashamed about.
“I’ve had some unpleasant comments – people telling me I’m ‘irresponsible’, ‘lazy’ and ‘unhinged’.
“One person even said I was ‘dangerous’. Irresponsible, sure. But not anymore. This changes now.”
Megan has made a spreadsheet charting all her bills and daily expenses.
She has also moved all her credit card debt onto 0% interest cards and is using the “snowball method” to pay them off.
The snowball method involves starting with the smallest balance or the highest interest rate before moving onto others.
Megan wants to be debt-free in two-and-a-half years at the latest so she can save money for her kids’ future.
She wants to go on holiday or enjoy Christmas without worrying over the cost.
The determined mum said: “I can’t imagine going back to spending what I used to – and I never want to again.”
How to shift your credit card debt quickly
By James Flanders, Consumer Reporter
UK Finance reports that we spend a whopping £2 billion a month using our credit cards.
While that little strip of plastic makes everyday spending easy peasy, it comes at a huge cost.
According to The Money Charity, the average credit card debt sits at £2,485 per household or £1,312 per adult.
And if you’re stuck on a credit card with a high APR and only making the minimum repayments, you could be forking out hundreds of pounds extra in interest charges.
For example, if you owe £1,312 on your credit card and are charged 24.8% APR.
If you don’t make any more transactions and pay £100 a month in repayments, you will pay off the card by September 2025 but at £207 in interest.
However, by hunting around for a better deal elsewhere and switching to a balance transfer credit card with a lengthy interest-free period, you can save yourself £162.
If the same person was accepted for a 28-month-long zero-interest credit card with a 3.4% balance transfer fee and made the same £100 repayments each month.
They would pay off the debt sooner, in July 2025, and only fork out £45 towards the 3.4% balance transfer fee.
Before taking out a new credit card or increasing the amount you borrow, it’s vital to consider the consequences.
You should only borrow money if you can afford to pay it back.
It’s always vital to ask yourself if you need to borrow before committing to a new credit card, personal loan or overdraft.
If you use a credit card, I’d recommend that you always pay off your balance in full at the end of each statement period.
Lenders have a responsibility to help customers who are in debt.
If you’re in a debt crisis, your first point of call should be your lender.
They might help you out by offering you a reduced interest rate or a temporary payment holiday – so check in with your lender if you’re struggling.