Great Debt Elimination Tips
There is lots of good advice out there to help people get out of debt. Some of it may work for you and some may not. Here are dozens of tips that have helped other people. Find the ones that are useful for you.
1. Don’t spend more than you have.
2. Make a budget and stick to it.
Video: Managing Your Finances is an Ongoing Process
3. Get rid of all credit cards but one. Keep that one for emergencies.
4. Speak to a credit counselor. Whatever financial problems you have, they’ve heard it all before and know how to help you.
5. Don’t spend more than what you earn.
6. Set up a rainy-day fund. Don’t touch it unless it’s truly an emergency.
7. Get rid of expensive things that you do not need including cable TV and subscriptions to magazines that you don’t have time to read.
8. Up your income by finding another source of employment or freelance work. A few hours a week can make a huge difference.
9. Get creative. Find an alternative, cheaper way to do things.
10. Do it yourself, if you can.
11. Pay with cash. If you don’t have enough cash, don’t buy it.
12. Keep a spending diary.
13. Use coupons.
14. Focus on the long run. It will keep you from spending in the short run.
15. Don’t watch TV. Commercials are designed to temp you to spend money.
16. Maximize your 401k contribution. You will never miss those 2%.
17. If you get a raise, pretend that you didn’t. Do not change your spending habits.
18. Have patience. You will not get rid of you debt overnight.
19. Make a life plan.
20. Transfer the balance from high-interest credit cards onto ones with a lower APR.
Video: Taking Control of Your Debts
21. Educate yourself about money.
22. Pay more than the minimum each month.
23. Think positively. Negative thoughts lead to negative balances.
24. Read personal finance books.
25. Pay off smallest debts first. It will feel good and motivate you to keep going.
26. Imagine yourself financially free.
27. Grow your own food.
28. Cook your own meals.
29. Make your own clothes, gifts, home décor.
30. Read How to Get Out of Debt, Stay out of Debt and Live Prosperously by Jerrold Mundis.
31. Be honest with yourself.
32. Make a list of your financial goals.
33. Make a list of your life goals.
34. Pay off the high-interest debts first.
35. Change your spending philosophy.
36. Move into a smaller house.
37. Move to a cheaper city, or a cheaper neighborhood.
38. Find motivation that has nothing to do with money.
39. Have a contingency plan.
40. Don’t borrow what you cannot repay.
41. Be realistic about your timescale and your goals.
42. Find what works for you then do it.
43. Praise yourself when you have done well.
44. Don’t give up on your goals.
45. Talk to your partner about money. Make sure that you’re both on the same page.
46. Plan for future expenses. Not every expense is predictable, but many are.
47. Find a focus in life.
48. Cheap entertainment can be just as fun as expensive entertainment. Get a group of friends together and go to the park.
49. Don’t use credit cards to get to the next paycheck.
50. Know exactly how much you owe and to whom.
51. Pay your bills on time. Do not waste money on unnecessary late fees.
52. Spend time with your family. It’s free.
53. Read Your Money or Your Life by Dave Ramsey.
54. Once you’ve paid off your debts, put 60% into savings and enjoy the remaining 40%.
55. Recognize your spending patterns. Know your weaknesses.
56. Just don’t buy it.
57. Cancel the gym membership. Go for a run instead.
58. Change how you think about money. Count the number of hours you will have to work to pay for a purchase. Do you still want it?
59. Make saving into a habit.
60. Know that you cannot be truly free as long as you are in debt.
61. Be willing to make some sacrifices. You can’t always have what you want. That’s how you got into debt in the first place.
62. Find free things to do, like free movie screenings or free community classes.
63. Borrow books and DVDs from the library instead of buying them.
64. Give up junk food. It’s expensive, and it’s not doing your body any favors.
65. Don’t go to the mall. There is too much temptation.
66. Shop around for the best deals on purchases, bank accounts, credit cards, etc.
67. Sell things you no longer use on eBay or Craigslist.
