Are you one of the many people burdened with debt, through mistakes you may have made in the past? It isn’t nice for anyone to have debt hanging over their head, and although you may feel alone you most definitely aren’t! Debt can affect a lot of things, not just a person’s credit rating but their self esteem and outlook on life, too. It isn’t a nice thought imagining debt collectors knocking at your door and it can affect your well being! That’s why it’s very important that those in debt clear it as soon as they can. We’ve put together 5 smart ways in which you can do just that:
Stop Adding More Debt
You might think that this is an obvious one, but it’s really amazing the sheer amount of people that try to clear up their debt but then add more debt back on. It’s like taking 3 steps forwards and 4 steps back – you’ll never get your debt cleared and end up worse off!
The sooner you clear your debt the better, so stop adding to it now.
Cut Up Your Credit Cards
Many people rely on credit cards to function nowadays, but they can be very dangerous things. It’s not like spending real money is it? Spending a lot of money on a credit card is so much easier than handing over your hard earned notes – and that’s exactly why you need to stop using them. If you can’t control the amount you spend on your cards then cut them up and chuck them in the bin. You don’t even have to cut them up – bury them in the garden, or freeze them in a big tub of water if you want! It might sound silly, but this can save you thousands in impulse buys.
Tip: closing the accounts can lower your credit score further, so you shouldn’t be tempted to do that.
Change Your Attitude and Attack The Debt
Clearing your debt is dependant on you changing your attitude towards it – like many things in life. Get rid of that rubbish “can’t do” attitude and replace it with a cheery “can do” one. Start attacking the debt and don’t stop until it’s well and truly gone.
To help you, you could contact a debt company for help and advice.
Keep Yourself Busy
If you go shopping just because you’re bored, you’re probably going to buy things that you don’t even want or need. This doesn’t mean you should sit around in front of the television doing nothing – the adverts might tempt you to go out and buy or even shop online!
Keep yourself busy by reading a book, gardening, making things, anything you enjoy that will keep your mind off spending.
Improve Your Income
Whether you offer to do overtime or take on some extra odd jobs, looking for different ways to improve your income will give you more money to get rid of the debt. Work hard and it will pay off!
Follow these essential tips for clearing your debt and you’ll be out of the red and back in black in no time!