No, you decrease you cash outflow by $500. But unless you are in a happy place, that probably isn't enough to cover the amount of new debt you're piling on each month, anyway.
Somebody with $32,000 in credit card debt got that way one pair of shoes at a time. Unless they change their lifestyle, they're just putting off the crash, but the crash will be harder.
Of course. Changing your lifestyle is the key.
Many financial advisors say that doing this is fine IF and only if it accompanies a lifestyle change.