We can help you to get out of debt
We have some tips on how to get out of debt and how to move forward when you feel money is holding you back, you’re not alone.
1. A plan of attack is the key
Stop criticizing yourself about the debt you incurred. The first step is to draw up a list of all your debts, in ascending order. Next, examine the interest rates for each loan and prioritize them based on the interest rate and the amount owing.
2. Do not borrow money to pay money
Using your credit card, for which you owe money, to pay a late bill will not help you solve your debt problem. While this may affect your ego, call the creditor (billing company, bank) to explain your problem and ask them how they can help you. What many people do not know is that creditors often extend your time or give you an interest-free period to help you repay your debt.
3. Consolidate your loans
Many banks offer the opportunity to consolidate all your debts into one loan while offering interest-free periods or potential interest rates depending on your situation. Call your bank and your financial institution (credit card company) to see if they can help you lower your interest rate and give you an interest-free period to help you get your money back.
4. Start using money
Spending money alone may seem a bit out of date, but it’s the best way to make sure you do not spend too much and just buy things you can afford. When we turn money into something physical, our consumption habits also change. After seeing it with many customers, when you remove the plastic cards and replace them with cash, the way people choose to spend their money changes dramatically. Top tip – If you only use cash, you will not be able to live outside your means.
5. Slow down spending
If your personal debt goes up, it just means you’re spending beyond your means. We live in an era of famous celebrities on Instagram and social media where everyone tries to look rich or wants to be rich. Spend what you can afford rather than what you would like to have earned.