Win the War on Debt
Debt - being in debt - is a very bad place to be indeed.
For anyone struggling to get themselves out of debt, it is a long, hard road to travel.
It usually takes a while to get into debt too.
Most people start out getting a credit card to use "only for emergencies".
Then they charge something small, but they plan to "pay the balance" when they get the next bill.
Then there's a sale on an appliance, or furniture set that they've been wanting.
The payments won't be much, in fact they are quite affordable.
Before you know it, the debt has snowballed and you can no longer keep up with all the payments.
It may seem like there is no way out, but there are some steps you can take to get you started to living a debt-free life.
Debt and getting out of debt is more about emotions than it is finances.
I know that seems like an odd thing to say, but if you are in debt and you think about getting out of debt, you will have some strong thoughts and even physical symptoms along with that thought.
You may get stomach pains, or a headache.
Some people have trouble sleeping, or they can't seem to stop sleeping.
Debt problems seem to come with many physical problems.
So - you ask - how do you overcome the emotion and the physical reactions? Try starting slow.
Take a close look at your income and your expenses.
Is there any place in your budget you could cut - even a little amount a week? For instance, could you cut out the coffee from the coffee shop on your way to work? Could you make coffee at home and take it with you in a travel mug? Could you pack a lunch instead of going out? Could you forgo the new clothes for the season and recycle what you already have for one season? This one small step could save $20 to $25 a week that you could pay toward your debt.
It may not be coffee, but if you can save $25 a week somewhere in your budget, put that extra money toward your smallest debt.
Whatever bill you are paying a minimum payment on (and make it the one with the smallest balance), put all the extra toward that bill.
While you are paying off that debt, do not add any more to the balance! Just keep adding more to the amount you are paying on the balance.
Soon you will have that bill paid off and you can move on to the next one.
Once you have paid off one bill you can start putting the money you were paying on that bill toward the next one.
This means if you were making a minimum payment of $30.
00 on the first bill (plus any extra you were coming up with), you can now send that $30.
00 to the next company along with the minimum you are already sending them.
Then if you also add all the extra you were coming up with on the first balance, you will soon have the second balance paid off.
While you are implementing this plan, continue paying the minimum payment on all your other debt so you don't fall behind on any of them.
Soon you will realize that paying off your debt will snowball the same way building the debt did.
For anyone struggling to get themselves out of debt, it is a long, hard road to travel.
It usually takes a while to get into debt too.
Most people start out getting a credit card to use "only for emergencies".
Then they charge something small, but they plan to "pay the balance" when they get the next bill.
Then there's a sale on an appliance, or furniture set that they've been wanting.
The payments won't be much, in fact they are quite affordable.
Before you know it, the debt has snowballed and you can no longer keep up with all the payments.
It may seem like there is no way out, but there are some steps you can take to get you started to living a debt-free life.
Debt and getting out of debt is more about emotions than it is finances.
I know that seems like an odd thing to say, but if you are in debt and you think about getting out of debt, you will have some strong thoughts and even physical symptoms along with that thought.
You may get stomach pains, or a headache.
Some people have trouble sleeping, or they can't seem to stop sleeping.
Debt problems seem to come with many physical problems.
So - you ask - how do you overcome the emotion and the physical reactions? Try starting slow.
Take a close look at your income and your expenses.
Is there any place in your budget you could cut - even a little amount a week? For instance, could you cut out the coffee from the coffee shop on your way to work? Could you make coffee at home and take it with you in a travel mug? Could you pack a lunch instead of going out? Could you forgo the new clothes for the season and recycle what you already have for one season? This one small step could save $20 to $25 a week that you could pay toward your debt.
It may not be coffee, but if you can save $25 a week somewhere in your budget, put that extra money toward your smallest debt.
Whatever bill you are paying a minimum payment on (and make it the one with the smallest balance), put all the extra toward that bill.
While you are paying off that debt, do not add any more to the balance! Just keep adding more to the amount you are paying on the balance.
Soon you will have that bill paid off and you can move on to the next one.
Once you have paid off one bill you can start putting the money you were paying on that bill toward the next one.
This means if you were making a minimum payment of $30.
00 on the first bill (plus any extra you were coming up with), you can now send that $30.
00 to the next company along with the minimum you are already sending them.
Then if you also add all the extra you were coming up with on the first balance, you will soon have the second balance paid off.
While you are implementing this plan, continue paying the minimum payment on all your other debt so you don't fall behind on any of them.
Soon you will realize that paying off your debt will snowball the same way building the debt did.
Source...