4 Ways of Dealing With Debt





My ex had a knack for running up debt
-- it wasn't until the third time (of run up and payoff) when I put my foot down,  that she decided she wasn't happy.  However, that is another story.  Alas, I had to develop a knack for paying the debt down.  Each time the debt got into the five digit range here is what I did:

  1. Instituted a cap on new spending- Not easy, but sometimes slowing down allows you to catch up
  2. Started small- Instead of the highest interest rates, I went to the lowest balances first to achieve quick successes and for more motivation-- it also allowed me to employ my next tip
  3. Doubled down- These days they call this "Snowballing", when I paid off one balance I took the payment and applied it to the next debt usually doubling up (hence I called it "Doubling Down") and thereby knocking that targeted debt off faster-- I repeated this process tripling, quadrupling, etc.
  4. Rounded up- I do this all the time, rounding up to the nearest $10 or $50 or $100.  For example, if the car payment is $210, I would pay $250

If you have a big debt try these techniques-- they will definitely accelerate your debt's elimination.

 

What did you think of this article?




Trackbacks
  • No trackbacks exist for this post.
Comments
  • No comments exist for this post.
Leave a comment

Submitted comments are subject to moderation before being displayed.

 Name

 Email (will not be published)

 Website

Your comment is 0 characters limited to 3000 characters.