Facing debt is usually not a fun thing to do. As a result of that, many of us are in denial about how much debt we have, how much we actually owe. As one friend told me while she was writing yet another check for her daughter’s expensive extracurricular activities, “I just don’t want to know how much I’m spending. I know I’m in debt and probably won’t get out of it, so why worry?” Well, there are very good reasons to worry. First of all, if your debt gets too large, you could lose everything, including your home. Second … Continue reading →

Getting out of debt can be an exciting journey and a worthwhile goal. Just imagine how free you will feel when you owe nothing and can basically live however you want to live. You’ll be able to keep all of that money that you current spend on interest on your debt and apply it to where you want it to go. When you first start down the path of getting out of debt, you’ll want to make sure that you have some support systems in place. Not only will these support systems help you to stay motivated and to stay … Continue reading →

It is inevitable and slightly annoying. Whenever I go to make a purchase at a retail store, I am asked if I would like to apply for the store credit card. Some cashiers are nice about it. When I say no, they just nod their heads and go back to ringing up my purchases. Other cashiers I would like to strangle. I am talking about the cashier or the store employee who just won’t take no for an answer. The ones that ask you if you are sure several times in a row or the ones who give you the … Continue reading →

If you find yourself in a situation where you cant pay all of your bills for the month, or several months, it is important that you have a plan. Some bills really are more important than others. Knowing what to pay first and what to pay next can mean the difference between losing your home or car and getting through a difficult time and then back on your feet. There are many options that you can take when you need to settle or discharge debt. Just make sure that you prioritize payments to the bills that can’t wait. Think about … Continue reading →

Do you want to get out of debt? Follow this simple but powerful plan, and your finances will be in a much better place in just six months. 1. Stop using credit. This includes credit cards, paying on time, loans, etc. Just don’t do it. People spend more money when they use credit instead of cash, and there is all of that interest that compounds. 2. Sit down with your spouse or another trusted person to whom you can be accountable. Announce your plans to get out of debt and make a commitment to meet at least once a month … Continue reading →

You may hear people talk about good debt or bad debt. What type of debt is good and how can you avoid the bad debt? You need to read this. First of all, let me disclose that I personally think any debt is bad. The goal is to not have any debt at all. In our current society, this isn’t always practical, especially if we follow what most people do an never get really educated about debt. That said, while I would never qualify any debt as good, myself, there is debt that is…well, not as bad as other debt. … Continue reading →

When it comes to paying off debt, there are two ways to approach it. The basic rule for paying off debt is to apply extra payments to reduce the amount that you owe and to reduce the expenses that you are incurring in interest. The more principal that you pay, the less interest that you will owe. This is the real secret of paying off debt; keeping more money in your pocket. If you only have one bill or bit of debt, then the process is easy: simply pay as much as you can toward that debt. But, most of … Continue reading →