Here are four tips that you can follow to help you get out of debt and become more responsible with your money.
The first tip is to have a written plan. Write down all of your debt and how you are going to pay it off. Set a date to have it payed off by. By writing it down it will help you become more committed to paying it off and you can refer back to it to see what you need to do. Studies have shown that people utilizing written goals are over three times as likely to achieve them.
Second, go through your expenses and reduce any unnecessary expenses you may have. Write down all of your expenses for one month and determine what is needed and what is not. This will result in some extra discretionary money that you can put towards your debt you want to pay off. Utilizing savings accounts, piggy banks, or other resources to separate discretionary expenses can help reallocate the funds in question.
Third is to increase your income if you can. Finding a part time job or odd jobs to do for others can give you a little extra money each month. Use the extra money to pay off your debt. If your schedule or family obligations do not permit full time employment odd jobs such as dog walking, baby sitting, yard work, or handyman services can help fulfill gaps when you budget requires them.
The fourth tip is to sell any unused household items you may have. Furniture, bikes, electronics that you are not using could all be sold on Craigslist. Or you could have a garage sale to sell any unwanted and unused items from around your home. This money can be used to pay off your debt. A tip in choosing unused household items to sell is to seek out anything you or your family have not used in over six months. Odds are your family won’t miss the items; why not turn them into cash?
All of these tips can help you become a responsible borrower and to pay off your debt faster. Reducing debt will increase your peace of mind and a written strategy helps you to focus on the plan at hand.