In the world we live in today, debt is one of the biggest causes of stress in families. Many jump into loans for people with bad credit, but is this the only way to deal with debt? Wanting and needing things have come to the same level. People will go to just about any lengths to get want they want and then justify in their minds and the minds of other that they need it. The hard truth is, nine times out of ten we don’t need it and it is simply something that will make our lives easier or maybe give us a higher status with the people around us. Impressive…maybe. Smart…no. But we are all guilty of it at some point.
Once you have buried yourself in debt, you begin to have sleepless nights. You begin to focus on never having enough money, thus come the expression, living paycheck to paycheck. For a lot of people this is a way of life. It doesn’t have to be, you have the ability to turn things around. But you have to make that decision and stick to a plan.
The easiest way to attack your debt is to first figure out how much you owe to each of your creditors. The hardest thing you will have to do in this process is to contact each creditor, but this is the best step you can take.
Start with the smallest amount. If you can make your minimum payment to each creditor, you’re doing well. If not, focus on one at a time. Figure out how much you can pay to your smallest amount over and above your minimum payment. Let the creditor know that you are going to pay “x” amount each month. When your smallest t one is paid off, move onto the next one. Continue making your minimum payment, but add the amount you were paying to the one you just paid off on top of it.
By taking your debt one step at a time, paying off your debt does not seem so overwhelming. As you pay each creditor off, you will accomplish a couple of thing. One, it is one less phone call you will receive every month, but most f all, you will feel great about what you are accomplishing.
Something to keep in mind: In society today, you are not alone. Many people today are struggling with debt. How each person handles it varies from person to person. Creditors are aware of the financial situations we all find ourselves in and by contacting them; they are willing to work with you. Anything in life that is worth something is worth working for.