Here are 8 strategies you can start today that can help you on your way to financial freedom.
1) Stop using your credit
Even though it might seem like a very simple concept, it is easier said than done. If you keep increasing your debt, while you’re trying to pay, you’ll end up in a cycle that may become impossible to get out of. Get rid of the cards and easy access to your accounts!!!
2) Increase Income
If possible, try a few different ways to increase what is coming in each month. Consider working more hours or getting a second job to bring in more money, renting out a room or selling some of your extra things online. Whatever extra you bring in, apply it directly to your debts.
3) Get organized with lists
Lists are great to get information out of your head and into a more manageable format. When shopping, lists can help you stay focused and disciplined and buy only what you need. Smart phones and other electronics that we carry around now days as a matter of course are perfect tools to help you get organized.
4) Track your spending
You’ll know where most of the money goes by making lists and keeping track of your daily spending. Track your spending for a few months to get a real feel for where your money is actually going. You’ll find that you’re spending money each month that you don’t even realize is going. By keeping track, you’ll probably be able to make changes to your budget and perhaps find more each month to put toward the debt load.
5) Change Your Focus
If you’re just making modest payments on each debt each month, you might want to change your focus to paying the lowest one off completely. Make your regular monthly payments on most of them and pile as much as possible on the lowest one until it’s paid off. Then move onto the next lowest debt and repeat. It will give you a sense of accomplishment and motivate you to keep going.
6) Look for Better Terms
If you are good about always making at least your minimum payments, consider asking your creditors to lower your interest rates. If your history with them is good, they might help you out, which will get you to your goals faster.
7) Stick with It
While staying with the program isn’t exactly a strategy on its own, none of the others will work if you don’t follow it. When you’re making little changes and implementing them on a more frequent basis, it can make it easier to stick with it.
8) Get Some Help
If all of these little changes just aren’t working for you, or you can’t seem to find the motivation, consider talking with a professional. Sometimes, it’s just that extra little bit that you need to make it all work.Previous: "Where to turn" Next: "How to Ruin Your Credit in 2015"