Abstract: A system and method is provided to manage a reaffirmation credit card account associated with an outstanding debt of a user. The reaffirmation credit card account includes a credit line account record, providing an available credit up to a credit limit, and a pre-existing debt account record. The outstanding debt of the user is transferred to the pre-existing debt account record. When a payment to the reaffirmation credit card account is received from the user, the payment is allocated between the credit line account record and the pre-existing debt account record, based on predetermined allocation criteria. The amount of available credit in the credit line account record is increased, based on whether the received payment or series of payments satisfies predetermined payment criteria.