The Australian Securities and Investments Commission has a word to the wise, who don’t, necessarily manage their money all that well.

In short it says take a hard look at the interest you are paying on your credit cards.

ASIC says over half a million Australians carry more than $5,000 in credit card debt.

That’s not, necessarily, all that smart.

Yet, ASIC says, many of those card holders are middle income earners, managers and people with a degree.

In fact, they are the most likely to have such debts.

It said research by Roy Morgan shows 22 per cent of Australians over the age of 18 earn more than $70,000 per year, and these people make up 42 per cent of those who carry credit card debt over $5,000.

In addition, the 12 per cent of the population are managers and managers make up 26 per cent of those with debt above $5,000.

And, while 42 per cent of Australians have a degree or diploma they represent 49 per cent of those carrying $5,000 or more in credit card debt.

Miles Larbey, Senior Executive Leader of ASIC’s MoneySmart said: “This group of Australians are well educated and have above-average incomes, but they aren’t necessarily making the smartest decisions when it comes to managing their finances.

“People might be excellent managers in the workplace, but they aren’t necessarily managing their finances in the best way possible.’

“While credit cards can be helpful if used wisely, making only the minimum repayment on a $5,000 credit card debt will take you 30 years to pay off.

“That’s the length of your average home loan.

“We’re encouraging people to use the credit card calculator on ASIC’s MoneySmart website to see how much money they can save by paying off more than the minimum and consider how they could use the money saved in a smarter way,” Mr Larbey said.

Around 2 million Australians do not pay off their personal credit card debt in full each month, rising from 24 per cent of personal credit card holders in 2009 to 27 per cent of personal credit card holders in 2013.

“Australians have over $34 billion owing on credit cards where interest is being charged and pay $6.2 billion a year in interest.

Mr Larbey added, ‘It’s important to understand that the interest rate on credit cards is often higher than on other credit facilities.

“Instead of just making the minimum repayments and incurring interest and fees, why not put your money towards building a solid financial future.

“For example, through extra contributions to your super, extra repayments on your home loan or by starting a savings or investment plan.

“Financial issues are a leading cause of stress amongst Australians.

“Among all those who do not pay off their credit card in full each month, 53% say they worry about credit card debt .

Mr Larbey added, ‘If you are feeling stressed about your financial situation, start by reducing the debt which is costing you the most on an after tax basis.

“The most expensive debt based on interest is usually your credit card.

“This will improve your financial situation and help alleviate some of the stress in your life.’