There are many admirable companies that can help people get out from under their debt. But if you are the least bit wary about airing your dirty laundry, you will be glad to know that money is not required to hire a financial planner. In fact, in some instances, you do not need any money at all. You can start right now, today, to fix your finances so you can gain some control over the situation and not be stressed for the rest of your life.
Search for an online money management software to help and look at your current position. If you just try to keep your debt in your head it can be way too easy to leave things out accidentally but when you have everything listed somewhere it will be easy to remember.
To begin, enter all of your information into the program and list out all of your debt. Include all credit card bills and/or lines of credit, loans, monthly payments, utilities, etc. Make sure that this list is complete and accurate with all the details of the creditor and the amount to be paid. Now you are aware that you’re in debt while starting this process.
The next tip is list out your monthly income and expenses. Use your debt list as a reference. Also list out the money to be paid quarterly or on a yearly basis based on the list. Once you have a thorough listing of all the money coming in and going out every month, just subtract one from the other. Subtract your expenses from your income. If the result is a positive value then you are living a judicious life.
Now you can just take what’s left and apply it to one small outstanding bill so that you are putting more than just the minimum payment on that bill. Once this is paid, put the balance money and apply it to the next smallest bill. Continue doing this until all of your debt is paid off. If there is still a negative number, you will need to curb your expenses and find work to pay the remaining debt.
Build a plan or find a method to increase your savings and be debt free. Use your judgement and apply the time to create wealth and move towards financial freedom.