Suze Orman's Top Tips for Tackling Credit Card Debt in 2026
Financial expert Suze Orman is urging Americans to take control of their credit card debt this year. She offered practical advice in a new blog post that emphasizes compassion over self-criticism.
Americans are carrying $1.28 trillion in total credit card debt, according to Federal Reserve data. With rates remaining elevated despite Federal Reserve cuts, Orman's guidance comes at a critical time for consumers struggling with high-interest balances.
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Stop the Shame Cycle
Orman's first piece of advice is simple but powerful: Stop beating yourself up. She acknowledges that many people overspent during the holidays and are now facing substantial bills, but emphasizes that self-blame doesn't reduce debt or improve your financial situation.
"You are too strong and too determined to fall into that trap," she writes in her blog post, urging readers to move past shame and focus on actionable solutions.
Distinguish Between Needs and Wants
Orman encourages readers to honestly assess whether their credit card debt stems from necessities or discretionary spending. If you're using credit to cover essential expenses like health insurance deductibles, groceries or rising insurance premiums, she advises taking a deep breath and recognizing this isn't your fault.
However, if debt resulted from buying wants, including holiday gifts you couldn't afford, it's time for internal reflection. "There is simply no 'want' that is worth paying 22% interest on," according to Orman's blog.
Consider a Balance Transfer
For those with strong credit scores of at least 740, Orman recommends exploring balance transfer credit cards offering 15 to 21 months of 0% interest on transferred balances. This grace period allows you to pay down debt faster without interest accumulation, though new purchases will still accrue interest.
She advises aiming to eliminate the balance entirely before the promotional period ends to maximize savings.
Prioritize Strategic Repayment
Orman outlines two key strategies for paying down existing balances: Always pay at least the minimum on every card, on time, every month to protect your credit score and prevent late fees. Then put extra money toward the card with the highest interest rate, according to her blog post.
Whether it's a year-end bonus, tax refund or savings from cutting unnecessary subscriptions, directing additional payments to your most expensive debt saves money long-term. Once the highest-rate card is paid off, redirect those payments to the next-highest-rate card, creating a debt elimination snowball.
While Orman acknowledges that focusing on the smallest balance first can provide psychological momentum for some people, she notes that tackling the highest-rate debt first makes the most financial sense.
The Bottom Line
Orman's advice emphasizes that taking control of credit card debt in 2026 starts with honest self-assessment and ends with consistent action. Whether you're dealing with necessary expenses or discretionary overspending, the path forward involves stopping the shame cycle, understanding your situation and implementing a strategic repayment plan.
As Orman makes clear, the first step is simply beginning the process with compassion for yourself and commitment to change.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.
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