How do you get out of debt?

Answer 1

If you really want to get out of debt, you need to make it your priority. And you need to know that you will have to make a lot of sacrifices until the debt(s) are paid off.

Step 1. Cut your credit cards into little tiny pieces.

Step 2. Talk to a credit counselor, check with your local government office and they can direct you to some free local sources.

Step 3. Set up payment plan with credit card companies. There services out there that can help you negotiate reduced interest or no interest payment plans.

Step 4. Cut back on your expenses. No eating out, bring your lunch to work. Don't do anything recreational that costs money.

Step 5. Look at your normal monthly expenses and see what you can live without until your debts are paid. Cable TV, Cell phone & Pager?, club memberships, subscriptions etc. Take a hard look.

Getting out of debt isn't easy, get everyone you can to help you. It will be worth it.

Answer 2

You absolutely have to change your attitude about money. Do you respect money or do you see it as a way of rewarding yourself when you do well or use it to comfort yourself when you feel bad?

If you have an emotional attachment to money it will rule you. Do you feel gulit or shame because you are in debt? Then forgive yourself and get positive about changing your attitude about money.

Do not go shopping because you are bored. Only go to the store when you have something specific to buy.

Look at your daily habits. Are you paying a $1.00 at the vending machine for your coke everyday when you can buy a six pack at the store and bring your soda to work. Are you paying $6.00 everyday for that Starbucks coffee before you head into work? If you just cut two or three of those down a week you will save money. How about bringing you lunch to work rather than eating out. Borrowing books from the library rather than buying them. Can you go without Tivo or Cable for awhile?

You have to decide that your hapiness is worth more than lots of material things.

I would recommend two books for you, The Courage to be Rich by Suze Orman (and she has a show on CNBC) and Your Money or Your Life by Joe Dominguez & Vicki Robin

Good Luck!

Answer 3

The best way I know is for you to pay all your minimum payments, focus on your smallest account and pay extra on that until it gets paid off and then apply the money you were using on that account on the next account until that gets paid off and keep going on like that until you get your debt under control. So if you have 4 accounts wit minimum dues of 20, 35, 60 and 85 you would pay all of those and then scrounge up an extra $20 to pay off the small one until thats paid off, after that you can apply the $20 you were paying plus the extra $20 to the $35 account and thats an extra $40 to that account and once thats paid off you have an extra $75 to apply to the $60 account and it keeps going on like that. It may be somewhat tedious but it works as long as you stop raising your debt and make some cutbacks.

Answer 4

Well, first you do not buy anything extra that you could not pay cash for. Second ALWAYS make more than the minimum payment on your credit cards. Third, pay off and get rid of all dept. store cards, their interest rates are ridiculous.
Then start saving. Getting out of debt is a slow painful process, but very worth it.
Good luck.

Answer 5

Cut back on everything else till the debt is gone. Work around the clock till its done.

Stop spending everything that comes in. Once the debt is gone start saving and hoarding money and soon it grows on its own which is a great wealth builder !!

Answer 6

Live within your means.

Spend less than you earn, and use the remaining money to pay the debt off.

Answer 7

By not charging any more and pay more then the minimum. Work 2 jobs if you have to and have a back up savings account like ING Direct.

Answer 8

pay your bills off comes to mind...works everytime...thanks for asking

Answer 9

here is a good place to start www.workathomeunited.com/bucky

Answer 10

try this site,.