How to Getting Debt Relief Fast?
This 5 Step guide can help you develop a plan to pay off your debt or identify the best debt relief option when a traditional payoff plan just won’t cut it.
Before we get into how to set up the right plan to get out of debt, we need to touch on one of the biggest mistakes people make when they need debt relief— they keep spending on credit cards while trying to pay them off.
Step 1: Stop making it so difficult to get debt relief
Step 2: Create a budget that’s optimized for getting out of debt
A budget is essential in your quest to get out of debt, no matter which debt relief option you end up using. You need to get a budget in place—written out and not just in your head.
Step 3: Take stock of your debts and decide on a repayment strategy
Now it’s time to get down to the nitty-gritty of obtaining debt relief. That starts by figuring out exactly how much you owe, what it’s costing you, and where each debt stands.
Step 4: Set up a debt reduction plan
There are two schools of thought for which debts to pay first: 1. Avalanche 2. Snowball
With both strategies, you make minimum payments on all your other credit cards to keep them from falling behind (or at least further behind than they are).
The avalanche method
With the avalanche method, you prioritize your debts from highest APR to lowest APR. You pay off the highest APR debt first because it’s costing you more money with added interest charges. By paying it off first, you save.
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