Debt—the financial enemy
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If you are currently asking yourself this question, it is either because you are low on income or completely broke, with a debt ceiling staring down at you with pulsating hatred!
Debt is never a pleasant thought on one’s consciousness. Debt can wreck havoc on your financial dreams, and even cause you to feel insecure and live unfulfilled.
While it isn’t easy to pay off the ‘enemy’ fast, it is possible. However, it requires dedication, absolute determination, and persistence. Here are ways you can get out of debt fast.
Cut down on your spending habit
Of course, the first step to living debt-free is to audit yourself. Look into where and for what every penny of yours is going. Sit down and separate necessaries from mere desires. Skip frequent trips to your favorite lunch spot or the local coffee shop. The savings you will realize over time from this can add up and enable you to break out of the debt prison much quicker than you probably anticipated.
If you are finding it difficult to sort out which expenses to axe, you can start by creating a budget. There are many personal finance management budgeting tools that can help you with the best spending priorities. Read more about how to be more frugal and save thousands here.
Avoid using credit cards
Believe it: one of the most devastating enslaving weapons of debt is the use of credit cards. The card itself isn’t the problem but the rate at which you are using it. The more you swipe your card, the more balances climb, until they’re rubbing shoulders with Mount Everest. While you may find it difficult not to use your cards, you can avoid depending on perks like the ability to take cash in advance, which is one of the common credit card sins.
Are you having a hard time shelving the addiction to use your card? Try burying the card in a freezing cup of ice. Who knows, by the time you regain access to them again, God willing, you will have to change your mind about unnecessary spending.
Maximize your monthly payment
One of the best ways you can get out of debt fast is to create an emergency fund, which should be your priority.
But, immediately you have accomplished this goal, make use of any left-over funds at your disposal to pay down debt. As you continue to pay using this method, the faster you will become free from your debt obligation.
Did you save some cash at the grocery store or shopping mall by stacking on coupons with sales? Utilize the savings to settle a part of your debt. Did you save money by going to and coming from work with a bicycle instead of driving or using a taxi? Apply the unused expense to pay off debt. Did you perform some overtime at your place of work last week? Use the extra earnings to offset a part of your debt.
Deploy windfalls to the debt frontlines
Everyone usually has a lucky or favorable day, and yours could come in the form of a sudden windfall—like a bonus at work or a tax refund. When luck smiles down a windfall on you, please, don’t lavish it on a splurge. Rather, use a portion of the windfall to pay off debt balances.
Board the freelance train to earn extra cash
You can make a few dollars on the side by trying out your hand in freelancing. You may even be lucky to generate a significant amount of cash, all of which should be channeled to the debt payoff fund.
A few ideas on how best to trade your skills for cash can be freelance writing, get paid to do online surveys, selling crafts online, teaching online, become a coach or mentor, train or walk dogs, housekeeping, blogging for money, graphic design, etc.
Paying off debt fast is possible, and may require sacrificing some of the things you love and lifestyle you cherish, but it won’t last forever. Once you can apply the abovementioned tips and tricks, you will be surprised at how fast you can get out of debt. If you have any other reliable debt reduction trick, feel free to share it with us on the comment section below.
Together, we can win the battle to get out of debt fast.