Whether you found yourself in a financial emergency, made a major investment, allowed a splurge purchase, or took out a student loan, chances are you have made a few financial choices that have increased your debt over the years. You might wake up worried about your credit score, but worry no more: these are concerns you can tackle today, head on, rather than letting them give you a headache!
Diminish your debt by taking these three steps:
- Big Picture: Get an exact figure of how much debt you are in. Compile paper bills, call your lenders, and check online accounts to find out not only your balance owed, but also what interest rate you are paying, and how long you have until your total debt is due. Be clear on the minimum amount you are expected to pay each month.
- Prioritize: Focus on paying the debts with the highest interest rates first, especially in terms of your credit card debt. If you have not already begun paying back your student debt, you can consider deferring payments, but be aware that your debt still grows interest.
- Strengthen Your Attack: Pay down your debt in controlled, planned monthly payments. The more money you can put toward what you owe today, the faster you can become financially free and secure. Understand that this process can take anywhere from one to ten years, depending on the type and size of debt you are tackling. Don’t lose momentum, and don’t go further in debt! If you do not feel you can find any more room in your budget to pay more than the minimum, consider starting a second career to help you tear down your debts at a satisfying rate. Your credit score will thank you!
Debt may feel like a giant pile of rocks at the mouth of a cave, and you’re trapped inside, unable to progress with your life goals. However, if you begin taking the stones away aggressively, one-by-one, have faith that soon enough, you will begin to see the sun again!
To learn more ways to improve your financial life, including embarking on an exciting second career, visit the Syncis blog at https://www.syncis.com/blog/.