Almost half of Americans are in trouble due to debt; a few months ago, I was also one of them. But those critical situations were bothering me and took away all the peace from my life. Still, I was motivated to get out of all that mess and finally, paid off $50,000 to settle a debt-free life.
Now all of you might be curious to know how this miracle happened. Well, it was not a miracle rather a well-planned strategy to manage finances in such a manner that debt installments can be paid fast. And those strategies were not just limited to me; even anyone can follow them in their routine life to get desired results.
If you are also in trouble due to debt and are dedicated to getting back to a stress- free life by paying that all; it is time to opt for some trusted tips in your lifestyle. Below I have highlighted few details about how I went from debt to debt free in 30 days:
Step 1: Calculate how much you need to pay:
Before you start paying the debt; it is first important to list out whom you need to pay and how much to pay. This estimate can help you to take appropriate decisions about how to pay, and you can develop a strong strategy accordingly. In order to estimate the debts, prefer to list out all types of accounts including auto loans, student loans, pending credit card payments as well.
Step 2: Prepare a debt to income ratio:
The next step includes creating an easy to understand debt to income ratio that can help you develop a clear idea about figures. There are so many ways to calculate debt to income ratio; most of the time, this task is accomplished by banks at the time when you place an order for a mortgage. One can also make use of calculators to make exact detailing.
Step 3: Change your bad habits:
The best way to get rid of debt is to get rid of bad habits first. I have seen many people spending huge amount unnecessarily on things that are not even required. I used to do the same, and it was one of the major reasons for debts in my life. And in order to avoid it happening again, I made some rules for my routines: It is good to go to shopping with a list of items that you need, prefer to avoid the rest; better to eat at home, instead of paying huge amount at restaurant bills; cut down on your cable cost by switching to channels that you actually watch. It will help you to save more, and naturally, you can pay back your debt with ease.
Step 4: Debt consolidation:
If the debt amount appears too high, and it is a little difficult to get payday loan relief; we advise you to go for debt consolidation. Simply merge all your loans to one account at a reasonable interest rate and pay a single installment per month. It will help you to ensure fast debt relief.