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3.5. Dealing with debt after the introductory period

At the end of the introductory period, the balance transfer interest rate reverts to a much higher standard rate. If you still have debt on the card at this time, it is critical you pay it off as quickly as possible.

Be prepared to make sacrifices. This could mean you stop drinking all those beers, say no to a beautiful dress, or wave goodbye to your holiday – whatever it takes to pay off the balance as quickly as possible.

You could also decide to apply for another balance transfer credit card to pay off the remaining debt. If you take this path, remember that you will need to go through the whole application process again, and might not be as easily approved for a new card.

INSIGHT: A recent Senate inquiry found that 30% of all people who get balance transfers are still struggling with debt when the introductory period ends.