It would be wonderful if someone would just give you a bucket of money to pay off all your debts. That would be great but also not probable. Though we hear of lottery winners we know that for us that isn't going to happen.
So as we look at the stack of bills, then the smaller balance in our banking account we know this is a losing battle. What is going out the door is so much larger than what is coming in the door the imbalance is starting to be frightening.
Maybe you think about this mound of debt while trying to go to sleep at night wondering what to do. Maybe you don't think about it and maybe you don't care right now but it is likely you will care later at which time it might be a very difficult situation.
The best time to correct a problem, fix a concern is before it becomes critical, hot about ready to explode. The reason is simple, fixing it first lets you take the lead, direct the approach. If you wait until the process is driven by pressure of debt collectors, rejections for loan applications it is going to be a much harder to correct.
Let's take a step at a time. The very first step is to lay out on a spreadsheet or paper pad the total debts owed. The amount total, the monthly payments, the balance and length of loan. The categorize them into types of debt such as home, utilities, credit cards, car and others. Add all the columns together to find out how deep is the hole.
Do not forget when doing this you have other living expenses that must be placed in this process, food, insurance are simple examples that probably will not be included in the first list.
Once done you have to find a plan. A choice of when, what, how comes next. A series of test to consider shortly.
Remember a No Debt Zone is here!
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment