Martin Lewis has revealed the quickest way for Brits to pay off existing credit card debt.
Speaking during his live show on ITV on Tuesday night, the British money-saving expert, 52, discussed his top tips for reducing debt, even if you don’t have the money to pay it off in full.
In addition to making sure you don’t make your debt worse and talking to your friends about not spending more than you need, Martin recommended protecting your credit history by using an eligibility calculator.
Above all, Martin described the zero percent balance transfer as a “crucial weapon” when it comes to paying off debt.
By using the zero percent balance to its full potential, Martin explained how you could start paying off your actual debt, instead of just paying the interest.
“Let’s imagine you have a debt worth £2,300,” Martin told his live studio audience. “One with a stale card and one with a rotten card, both with relatively high interest rates.”
If you find yourself in this difficult financial situation, Martin recommended that you apply for a new card with a specific balance transfer agreement so you can transfer the card.
In the example he gave, the new card had a term of 31 months with zero per cent interest and a credit limit of £2,000.
Martin Lewis, 52, described the zero per cent balance transfer as a “crucial weapon” when it comes to clearing debt.
Martin continued: “The first thing you should do is look at the most expensive debt, the one that’s growing the fastest, the one you want to get rid of, and say, ‘Please pay off that debt.’
‘That’s what a balance transfer is. The new card pays off the debt on the old one, so you no longer owe it.’
The graph behind Martin showed money transferring from the new card to the old one, causing the debt to be reduced to nothing.
“You now owe £1,400 for zero per cent for 31 months,” Martin said. But you have a credit limit of £2,000.
‘In terms of balance transfers, they only allow you to transfer the balance of 90 per cent of your credit limit, so in this case it’s £1,800.
We’ve got £400 left, so you’d better do it again. Pay the expired card.
Pointing to the new card with zero per cent interest for 31 months, Martin said: “You now have £1,800 of debt here and only £500 of debt on the outdated card.”
In Martin’s example, the hypothetical person was paying around 24 per cent APR on debt worth £2,300, which works out to about £600 a year.

The money expert explains what to do if you can’t afford to pay off your credit or store card in full
Now, they are paying zero per cent interest on £1,800 and 24 per cent APR on £500.
He said: ‘That’s a saving of £500 in interest, which means more of your money goes towards paying off the actual debt rather than just paying the interest and that allows you to become debt-free more quickly.’
Martin concluded, “This is why balance transfers are so important.”
But the money-saving expert had more to talk about. If you apply for a zero percent interest credit card but the limit is “too low” to pay off your debts in full, Martin advises using it anyway.
“Even if it’s just for £200,” he said. “£200 at zero per cent is better than £200 at 25 per cent.
“My big message to anyone who is paying interest on credit card debt: If you can’t afford to pay off your credit card debt, you can’t afford not to try to lower your interest rate to an interest-free level. interests”.
Before completing a balance transfer, Martin suggested using an eligibility calculator to “protect your credit history.”
“It will tell you your chances of getting the best cards,” he explained. “So you can focus and hopefully apply on the areas where you will be successful to minimize the impact on your credit file.”
Although some individual card companies offer an eligibility calculator, Martin advised his viewers to “choose one that offers you a variety of different cards so you can see which one is most likely.”
In addition to this, Martin suggested that you opt for the card with the lowest rate.

On The Martin Lewis Money Show on Tuesday, he gave his live studio audience four golden rules for balance transfers.
He said: ‘When you do a balance transfer, there is usually a one-off fee on the amount you are transferring.
‘If you transfer £1,000 and the fee is three per cent, you pay £30 to do it.
‘So the longer you use the card, the higher the rate will be. If you can pay faster and are confident you can pay faster, opt for a shorter card with a lower fee because it will cost you less.’
If you’re not sure about paying off quickly, Martin recommends playing it safe and opting for the card that has zero percent interest for longer.
Offering his four golden rules to those completing balance transfers, Martin said: “Pay off the debt, or at least transfer the balance again if you can before the zero percent ends or you’ll pay that higher 25 percent APR.” .
‘Secondly, never fail to make a minimum payment each month. If you do, you will often lose zero percent and immediately be at 25 percent.’
For those with “bad personal managers”, as Martin puts it, the money-saving expert suggests setting up a direct debit to hit the monthly minimum so “that way you never miss out”.
He added: “Overpay them manually, call them every month and pay more on top, but at least this way, if you have an administrative problem, you won’t lose your zero percent.”
Martin’s third golden rule? “Don’t spend or withdraw cash, it’s not cheap.”
He concluded: ‘And number four: try to make the transfer when you apply. If you’re not ready to do this, check how much time you have. Normally it is between 60 and 90 days.’