Taking Care Of Your Debts
With the New Year fast approaching, it's about time you gathered up the will power and decided to make the upcoming year a debt-free year for you by doing everything you could to erase your existing debts.
If you wish to get out of debt soon, here are some tips you can follow.
1.) Be informed. If you know that you need to settle your debts, then face the music. Write them down in order of balance owed. Organize the data in a convenient spreadsheet that may also include such information like how much you owe, as well as the name and interest rate associated with individual debtors.
2.) Write down how long it'll take you to pay off them off if you keep paying exactly what you're paying now. Don't just pay the minimum due, pay as much as you can in excess of the minimum. There are two schools of thought - one is the conventional idea that you have to pay balances in order of interest rate, while others believe you should sort the balances to be paid from smallest to largest. It's your call - as long as it works for you.
3.) Ask yourself, "Can I really afford my mortgage?" If you've been hospitalized, laid off, or had your income reduced for one reason or another and it's affecting your mortgage payments, don't hesitate to call your mortgage company.
Many offer what's called a mortgage modification plan. This modification simply means you may qualify to have the terms of your original loan reworked-resulting in a lowered interest rate and lowered monthly payments.
Your living quarters can also use some downsizing if it helps you cut back on your debts, spending and daily expenses. This would just be a temporary arrangement until you are able to get back on your feet.
4.) Pay your bills on time, all the time. It's common sense, but we need to mention this because there are some of us who are guilty of paying their bills without even checking them. Have you ever tried paying your utility bills sight unseen?
And it would be too late when you'd discover a few months later that you have been overcharged for a thing or two. Nobody wants to be overcharged for anything - they would rather use that extra money to pay a utility bill or something.
5.) Set aside some money every payday to place in your savings account. Even if it's only $20.
You can get your debt under control just by staying alert to what's going on and working toward paying it off little by little. There's no such thing as a debt that you cannot eventually pay off. If your debts are stressing you out, you have your support system - family and friends - to back you up.
If you wish to get out of debt soon, here are some tips you can follow.
1.) Be informed. If you know that you need to settle your debts, then face the music. Write them down in order of balance owed. Organize the data in a convenient spreadsheet that may also include such information like how much you owe, as well as the name and interest rate associated with individual debtors.
2.) Write down how long it'll take you to pay off them off if you keep paying exactly what you're paying now. Don't just pay the minimum due, pay as much as you can in excess of the minimum. There are two schools of thought - one is the conventional idea that you have to pay balances in order of interest rate, while others believe you should sort the balances to be paid from smallest to largest. It's your call - as long as it works for you.
3.) Ask yourself, "Can I really afford my mortgage?" If you've been hospitalized, laid off, or had your income reduced for one reason or another and it's affecting your mortgage payments, don't hesitate to call your mortgage company.
Many offer what's called a mortgage modification plan. This modification simply means you may qualify to have the terms of your original loan reworked-resulting in a lowered interest rate and lowered monthly payments.
Your living quarters can also use some downsizing if it helps you cut back on your debts, spending and daily expenses. This would just be a temporary arrangement until you are able to get back on your feet.
4.) Pay your bills on time, all the time. It's common sense, but we need to mention this because there are some of us who are guilty of paying their bills without even checking them. Have you ever tried paying your utility bills sight unseen?
And it would be too late when you'd discover a few months later that you have been overcharged for a thing or two. Nobody wants to be overcharged for anything - they would rather use that extra money to pay a utility bill or something.
5.) Set aside some money every payday to place in your savings account. Even if it's only $20.
You can get your debt under control just by staying alert to what's going on and working toward paying it off little by little. There's no such thing as a debt that you cannot eventually pay off. If your debts are stressing you out, you have your support system - family and friends - to back you up.
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