Get out of debt
You can get out of debt by giving yourself
a financial check-up. Once you make a diagnosis you can
write your own prescription (plan) to get out of debt.
You can use the following step-by-step plan
to get out of debt. Before you begin, check your reasons
for wanting to get out of debt and your commitment to the
process. Getting out of debt takes discipline and sacrifice.
You will have to change many habits to achieve your goal
of getting out of debt. For example, you may need to cancel
cable or regular clothes shopping to free up the cash you
need to get out of debt. If you are not committed to the
process and the end result, you may find yourself feeling
too miserable and deprived to be successful. To help determine
how important the plan is to you, write a list of pros and
cons for getting out of debt. What are the advantages of
being in debt? How does it serve you? What are the advantages
of getting rid of debt? How would that serve you?
If you are really ready to go, on give these
steps a try (don't worry, if you get into a plan to get
out of debt and it feels to hard, it might be better to
start with reducing debt. You will be surprised at what
you can do once you establish a new spending personality):
• Confront the debt. Ignoring it will not make
it go away, but it will make it cost you more.
• Commit to changing your spending
habits
• Make a list of your debts and
creditors
• Make a list of income and expenses
• Eliminate all unnecessary spending
• Seek ways to earn additional
income if possible (this should be earmarked for your get
out of debt program)
• Make a payment plan
• Make all payments on time – no
exceptions
• Consider enlisting the help of
a reputable agency such as Consumer Counseling Credit Services
• Reward yourself for small accomplishments
along the way.
You can get out of debt. Granted, it won't happen overnight,
but you didn't get into debt overnight either. Be patient
with yourself and your plan. The peace of mind and personal
satisfaction you will feel when you get out of debt is priceless.
