Do you have the habit of buying things on credit, which are not necessary. Are you finding it hard to pay off your credit bills? Are you getting harassing calls from your creditors? If youanswered yes to any of these questions, then you should immediately take some steps to find ways to pay off your dues and enjoy a debt free life in the future.
Steps to live a debt free life
In order to enjoy a debt free life, you should follow the steps mentioned below:
1. Practice frugal living: To save more and pay off your debt faster, you need to practice living frugally. You can use discount coupons to buy your weekly groceries and other items.
2. Use fewer credit cards: You should start the habit of purchasing things on cash only, unless it is an emergency situation. If you don’t like carrying cash, you can use your debit cards.
3. Calculate your total debts: You should make a list of unpaid bills and calculate the total amount of debt you owe to your creditors.
4. Prepare a budget: You should prepare a monthly financial budget, on the basis of your income and expenses, to find out how much you can save.
5. Contact your creditors: Once you know how much money you can afford to pay towards your debt, you have to contact your creditors and negotiate with them to reduce your interest rate. If the outstanding balance on your card is huge and you cannot repay it, you can also settle that debt. You should make regular payments to your creditor, once you have worked out a new repayment plan.
Benefits of becoming Debt Free
The advantages of becoming financially free are as follows:
” All harassing calls from your creditors or collection agencies will come to an end
” You can lead a stress free life void of any debt
” You can enjoy the different financial benefits offered in the financial market.
” After making several payments your credit score will improve
” Your debts become more organized
” You don’t have to file for bankruptcy
Along with repaying your debt, you can also take a second job to earn more and save for emergency situations. You need to have patience and perseverance in repaying your dues, to enjoy a happy debt free life in the future.
* This has been a post by Martha Jackson.