The Do’s and Don’ts of Debt
According to the United States Census Bureau, the average American household debt equates to $5,700. Considering 38.1% of all households in the U.S are responsible for some form of debt, we need to be more proactive and strategize ways to free ourselves from these monetary shackles. By creating a plan for deficit spending and holding ourselves accountable, we can greatly alleviate the green parasite we call debt.
First things first, create a budget. Find out where your spending frivolously, and cut back. Next, you’ll want to get your spending habits under control. Nobody can control your impulses but you. Limit your credit card usage. You’ll only continue adding on to your debt otherwise. Speaking of credit cards, be sure to remove all credit cards from your online shopping accounts. You’ll be less likely to spend impulsively. Any additional income adding to your salary needs to go towards your debt. Think of it as money you don’t own yet, it’ll make the parting easier. Sell assets that you don’t use or need. Any additional income is welcome.
Pay as much as you can. If you pay in small increments you’ll end up paying more over time due to interest. Pay off your biggest debts first. Calculate which debt you need to get rid of first to save yourself the most money. With these strategies in mind, your debt will eventually lose its stranglehold on your life. There’s no need to dwell on your debt. Pay your dues and move on to bigger and better things.