What Can You Do for Debt Eliminate
People have always been amazed by the wonders of the credit cards. Why not? Credit cards provide automatic cash. You need not bring with you a couple of bills when you are out to shop or dine because you’ve got your handy credit card. But the thing is—credit cards simply mean getting trapped into some sort of debts! Therefore, the higher you spend and the oftener you make use of your credit card, the higher your debt gets!
If you are facing the worst part of your life—that is tons of debt with your credit card account, try debt consolidation or out looking for valuable insights on debt elimination techniques. You may have been working your ass off but it seems that your wage is simply just enough for the interest rates that you have to pay for. If you are serious in getting out of the trap, try to look into and consider practicing the following debt elimination techniques:
Divert into a credit card which has a lower rate. It is possible that you will be able to save a lot of cash when you switch from a higher rate card into a much lower rate one. The slightest difference in the interest rates posed by the credit cards is sure to make a big issue. Just look at the monthly billing statement that comes to you and take a look at how careless you are in spending. You will avoid risking the occurrence of debt when you follow this step.
Pay your dues. It is very simple to say that you will use your credit card. But then how about paying for your dues? Isn’t it such a tasking endeavor for you? If you only know how to avoid compounding your balances, you will surely be free from worries such as this.
Do not add more to your existing debt. It is best that you only use your credit card for emergency purposes such as you run out of cash and the likes. If you use your credit card on a daily basis, then do not expect that you will be out of trouble. Self-control is a major key to debt elimination. Do not be taken by the glitters of the special offers in stores. They will only lure you towards another set of debts.
Keep track of your expenses. If you keep a record of your everyday expenses, you will see the progress of your debt too. If you are taken back to your senses, for sure you will be able to control your overly spending habits.
Take on another approach. You can cut down your expenses if you divert from your customary practice. Try abstaining from shopping until you drop. You can try out shopping during sales and at the wholesale shopping outlets. You can dine in simpler restaurants to stop spending on fabulous meals and so on.
Set a fixed budget. It pays off to work out a definite budget for you to follow. Also do your best to stick with it. If you keep practicing this, you will surely work out on a very effective debt elimination technique that will save you from all possible worries.
15 Ways to Reduce Debt
1) Accept the fact you are in debt and forgive yourself. If you are in denial, you are more likely to repeat the pattern.
2) Reduce monthly expenditures. For example, once the price of gas increased, our monthly gas costs went from roughly $200 to approximately $450- 500.00. In an effort to reduce our gas costs, I stopped taking miniature trips every day. Also, my husband would drive my car on the weekends because it costs less in gas.
3) If you’re a person that makes several trips to the grocery store during the month, reduce the number of trips to once a month except for fresh vegetables. This will reduce the number of times you have to put gas in the car. Today, it costs more just to leave the house to get groceries as well as going to work.
4) With the increasing utility bill, begin making repairs to your home now such as getting a programmable thermostat and set it to a certain temperature so that it will automatically come on.
5) As an option, temporarily get a second job for supplemental income. If married, this should be the person that has the ability to generate the most income. I do not recommend any Multi-level Marketing opportunities.
6) For a single person in debt – if you are off on weekends, temporarily get a weekend job and put those funds towards the bills along with your regular income.
7) If you have a cell phone and a regular phone that both have long distance, re-evaluate having both phones. It can get expensive to have both with long distance. Maybe you can remove the regular phone and just use your cell phone if most people call you on that number.
8) If you are a stay at home mom, in my opinion the kids should not be going to daycare. This is an unnecessary expense.
9) Be sensible about your expenditures when it comes to your children. For example, a six month old baby does not need name brand clothing. They need to be clothed. Suggest getting into ‘mommy group’ where you and your friends can swap clothing based on gender and age. I have a couple of moms that I swap clothes with and this saves all of us from having to shop at the store.
10) Grooming expenses for adults: do you really need to get your nails done every week? Could you put that money towards a bill? If you are getting your hair done whether it is a weave, perm, braids or tinting every week – do you need to go to a high end salon or could you go Great Clips for the same thing? I am not saying do not pamper yourself; however, as times get tougher what is the necessity?
11) Maintaining your vehicle is a necessity, but going to a car wash every week is not. You can wash your car at home. Re-evaluate how you are spending your money.
12) If you are a person that likes to go out to eat, reduce the amount of times per month you go out to eat. Begin cooking at home since you are buying groceries for the month.
13) Entertainment – whether it is going to the movies, bars or happy hour – these expenses add up. For example going to a matinee is $7.50 a person (for the two of us is $15.00 before we even get food, which would cost us another $15.00) do you really need to see the movie now or could you wait three months and see it on DVD. Netflix is an option.
14) Add up how much you spend at a vending machine per week when you are at work if you work outside the home. Consider taking snacks from home.
15) Health insurance – if you had a job and are using COBRA for health insurance until you have secured another job, seek an alternative health insurance to the COBRA payments. I remember when I first stopped working at the law firm, we utilized COBRA for almost eighteen months and the price increased two times. Prior to the second increase, I located a shared insurance plan and saved us lots of money.
There are literally several modes or debt elimination techniques that will help you learn the value of money and the worst phase of debts.