5 Proven Ways to Pay Down Debt
Paying down debt is a common goal for many people, but what is the best way to go about it? Many people attempt to pay off their debt with one large sum of money. This can be very difficult and time consuming. It would be better to take on several smaller debts at once that will not become overwhelming. These 5 proven ways can help you get out of debt faster while staying within your budget:
1. Create a budget – A good place to start with paying down debt is by creating a budget for your spending habits. It’s important not only to know where your money goes but also what you need vs to want when it comes to purchases, which can help save on unnecessary expenses like impulse shopping.
2. Ask your creditors for a lower interest rate or monthly payment – Some companies offer this option so that their customers stay current with payments.
3. Switch to a credit card with no annual fee – This will help you continue making small purchases without adding any more charges to your balance
4. Find ways to make extra income (eBay, Etsy, etc) – You could even start an online store of your own!
5. Give up luxuries like cable TV and expensive coffee drinks – These are things that may not matter as much as paying off debt does