Follow These 10 Commandments To Get Out Of Debt

Follow These 10 Commandments to Get Out of Debt

Adhere to these 10 Financial Commandments, and you will find yourself getting out of debt faster than a sinner in a glass house.


1st Commandment: Get Thy Priorities Straight.

Start with your high interest debts. Do what you need to do to lower your interest rates. Transfer to a lower APR credit card, get a low interest home equity loan, and/ or make the payment at least $100 above the minimum payment. Pay off your small balances first, or combine them into one payment, like in the home equity loan. Paying off cards with small balances will give you a sense of accomplishment, and fuel your motivation to keep going.


2nd Commandment: Monitor Thy Spending Habits

Do you often grab lunch on the run? Or have you seen all the latest movies, even the ones on video? If so, try taking the month off, and make yourself some quick easy lunches to grab on your way out the door. For every occasion that you would have bought that cafe latte, lunch or rented that video, put that cash in a jar, drawer, or wherever you won't forget. See how much you have at the end of the month, and put that amount towards your debt payment, or an emergency fund.


3rd Commandment: Prepare Thyself for Unforseen Events

It is nature's law that your water heater will explode and flood your garage/basement when you are least financially prepared for it to do so. Creating an emergency buffer fund will prevent you from being sucked deeper into debt when emergencies out of your control demand immediate cash flow. Having an amount that would cover three months of expenses is the recommended magic number. Keep the funds in an easily accessibe account, but remember, don't touch it if there isn't a real emergency.


4th Commandment: Create Thy Budget

Make a budget, and stick to it like super glue. This will help you to avoid careless spending, and create cash to be used to help you get out of debt. The goal is to get out of debt or reduce your debts, so keep your eye on the prize. Whatever your financial goals are, write them down, give yourself a realistic completion date for short and long term goals, and sign it. Really. This will help you to stick to your plan. This is even more effective if you give it to someone whose respect you desire to keep. This helps you to stay accountable. Make a weekly grocery budget, make a list of what you need, and stick to that list. Bring a set amount of cash with you to the grocery store, and leave credit cards at home.


5th Commandment: Leave Thy Plastic At Home

Leave credit cards at home for a month. Only carry cash, and a checkbook and debit card. Enter each purchase into your checkbook register, and keep a running tally to keep it balanced to reflect the true amount in your checking account. Enter cash purchases in a notebook that you keep with you, and save all receipts. Forcing yourself to do these extra steps for each and every purchase will decrease your spending. Is that candy bar at the vending machine in your food budget? Is it worth jotting down in your spending diary? I didn't think so.


6th Commandment: Use Thy Plastic In Moderation

If you have a high balance on your credit cards and you are still charging more to your card each month, you are headed for trouble. Try to cut out unnecessary credit card use, or use your debit card until your balance is paid off. Make your monthly payments as high as your budget will allow, and you will not have to pay as much interest in the long run. This technique can save you hundreds if not thousands of dollars!


7th Commandment: Not Every Debt Is A Sin

Some debts are considered okay to have, like your mortgage, and home equity loans. The interest can often be a tax deduction on these loans. Make sure to make your loan payments on time, as this can help to improve your credit. As you may know, having good credit history can also help you to get lower rates for things like home equity loans.


8th Commandment: Avoid High Interest Like The Plague

If you have credit cards with a high annual percentage rate (APR), transfer the balance to a card with a lower APR. You can also consolidate your debts by refinancing and placing your balances into a home equity loan with a low rate. You can use all that money you save on interest toward your principal balance.


9th Commandment: Don't Squander Thy Earnings

There is nothing wrong with making a wish list. If you would like something, put it on the list, and save up for it. If if isn't on your budget, you don't need it yet. After you get out of debt, some of that cash that's been going toward payments can be alloted to items on your wish list. Think of it as a reward for making good choices.


10th Commandment: Heaven Helps Those Who Help Themselves

If your debt to earnings ratio is 40% or more, you may need to get help. Just by reading this article you are well on your way to making good financial choices. Follow these commandments, and you will soon find that you have helped yourself to get out of debt.

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Top 3 Reasons to Get Out of Debt

Top 3 Reasons to Get Out of Debt

Do you need a reason to get out of debt? I'll give you three big ones to chew on.


Reason Number One: Your Marriage or Family

What's the number one cause of relationship arguments? Yep, you guessed it. Money. And if you owe huge amounts of money, chances are, it's affecting your relationship in one way or another. Is it worth it? No way! Regain the trust and respect of your loved ones, and start fixing this financial leaky faucet right now.


Reason Number Two: Your Sanity!

Are you afraid to answer the phone because you have so many creditors after thier money?
Do you lose sleep at night? Stare at the ceiling, adding up the figures in your mind, night after night? Lack of sleep will cause you to be less productive during the day. And when you're tired, do you really feel motivated to figure out a way to pull yourself out of your financial pit? No, of course not. It's so much easier to do nothing about it today, and figure it all out later, aka never...

Are you living on Someday Isle - you know the place, "Someday, I'll be debt free, and will have everything I need."
Yes, that dreamy place.

Hey, did I wake you? I hate to burst your dreamy bubble, but it won't happen unless you MAKE it happen, starting today. Do you really want to find yourself a year or two from now, no closer to the debt finish line, or worse, even further away?
I didn't think so.

Every debt that you start to pay off will lighten that nagging weight on your shoulders. Every bill that you pay down will eliminate one more headache. Just think of all that spare time you'll have that you were spending running around in circles in your mind, trying to find a way to get out of debt.


Reason Number Three: Your Future

Sooner or later, you will probably need credit for something in life. It is simply inevitable unless you live on a desert island in a tiki hut. Getting yourself out of debt and rebuilding your credit will help you to get better rates on everything from credit cards, to home loans, to a lower car payment. Lenders love to give good deals to those with good credit.


So, make a change. Right now. Even small spending habit changes or repayment boosts can make a huge difference in the long run. Get out of debt. Your relationship, your sanity, and your future depend on it.

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Get Out of Debt Using Debt Management Techniques

Get Out Of Debt Using Debt Management Techniques

Getting out of debt doesn't have to be the nightmare that is causing you to lose sleep. Simple debt management techniques such as keeping a spending diary will enable you to see what expenses may be costing you hundreds of unnecessary dollars per year. Those dollars can then be used to help you to achieve the debt relief you seek. Small changes (no pun intended) will add up to a lot in the long run.

Paying more than the minimum amount on your credit card each month, and possibly transferring your balance to a card with a lower annual percentage rate (APR) will do wonders in helping you to get out of debt much faster, and will save you money in interest to boot.

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A "Get Out Of Debt" Roadmap for the Directionally Challenged

A Get Out Of Debt Roadmap For The Directionally Challenged

Debt affects so many of us. It's a sad fact that debt is such a big part of American life. As a credit conscious consumer, I am always looking for ways to keep my debts to a minimum. I hate having debt, and I do anything I can to pay off anything I owe. I came across Scott Stephen's Ultimate Debt Guide 2006, and discovered that he had insider information that many of us could benefit from.

One of the things that I liked about The Ultimate Debt Guide, is that it can help to avoid bankruptcy, which I think for a while people were using as the only way to get out of debt. In truth, bankruptcy should be viewed as an absolute last resort, as it can be very damaging to your future credit. Sure, it only stays on your record for 7 years or so, but many credit applications ask if you have EVER filed for bankruptcy. This is a question that, legally, you must answer honestly. The author, Scott Stephen has first hand experience with bankruptcy and has learned ways to avoid it, and if need be, live through it.

This guide outlines all the other options available to you in a straightforward manner that is easy to understand and follow. Not only does he give you techniques that are guaranteed to work, but he gives you real life situations in which each technique will be best suited to. He also explains the pros and cons of each path. He gives both "black hat" and "white hat" debt relief techniques, and lets you decide for yourself how you want to eliminate your debt.

His guide puts the knowledge and power back in your hands, and lets you decide what will work best for your financial situation, getting you out of debt faster.

Not only does he give solid techniques for helping you to get out of debt quickly, but then he steps in, and takes you by the hand to help guide you to regaining a good credit rating.

I have to say, that if I were sliding into a financial pit of quicksand, Ultimate Debt Guide 2006 is the one rope I would choose to grab and hold onto for dear life. And hey, the 60 day money back, no questions asked, guarantee doesn't hurt either.

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5 Surefire Ways To Get Out Of Debt - and Stay That Way

5 Surefire Ways to Get Out of Debt, and Stay Out!

If you are like 80 percent of the rest of America, you are struggling with some form of debt. Like many, you probably have a credit card, maybe several. You hold a balance, and pay the minimum, and feel like you are sinking in a quicksand of debt. Well, it's high time for you to grab the rope and get out of debt, starting today. Follow these 5 steps, and you will be well on your way to being debt free.

1. Dear Diary...

No, not that kind of diary. Start a spending diary. Write down every bill that you pay each month. One group should be bills paid in set amounts, like rent, mortgage payment, car insurance, that stay the same each month. Then the next group should contain payments that fluctuate, but still need to be paid, like your utility bill. Then make a list of monthly expenses that you need such as groceries, and gas. All of the above lists are necessities, that you must have. Finally, start a list of other things you spend money on, such as trips to the drive through, magazine subscriptions, new clothing, entertainment, etc. These are called luxuries. This is the first place you should look to find extra cash leaks. For example, if your daily routine is to stop by a certain donut drive thru for your morning caffeine, make your coffee at home, and over a month you could create an extra $100 if your daily trip costs roughly $3.00. That's around $1,200 per year! Would that amount help you to get out of debt over time? I think so! And that's just by changing your coffee!

2. Stick to the List!

The Grocery List that is. If you keep track of the extra things tha you buy in the grocery store each week, that you had not originally planned to buy, I'd be willing to bet that by sticking to a list, and maybe only bringing enough cash (leaving the card at home) with you to cover those items, you'd discover an extra $25-$200 each month! (So, that's a conservative $600 per year...) Yes, those buy one get one free deals are great, but only if they are on your list, or you use them regularly. Grocery stores are here to make money, and they know that impulse buys are very easy to create, and people are very easily sold. Believe me, I'm guilty of this offense! By the way, do not, I repeat do NOT do your grocery shopping on an empty stomach. Everything looks enticing when your stomach is growling.

3. Raise the Bar.

Set an amount that you will pay on your credit card each month, say, $100 above the minimum, and stick to it. Hey, you found that extra cash already, so don't look at me like you don't know where you could possibly find that amount of money!

4. Open a Trendy New Restaurant.

Chez Vous - Your house, that is. Bring bag lunches, and cook quick meals at home. Utilize your freezer. Make a lasanga and freeze half. Hey, then you don't have to cook every night! If you don't know how to cook, now is the time to learn. Invest $10 in yourself, and buy a cookbook that has freezer recipes - ones that taste like you just made them. Cook at home, and not only will you get out of debt faster, you may lose some weight in the process. Hey, I'm not judging, but most of us wouldn't be disappointed to see smaller numbers on the scale.

5. Champagne Taste, Hamburger Budget.

Don't spend more than you earn. I know that sounds logical, but you'd be surprised how many people live outside of their means. Stick to your budget, and if there's extra money after taking care of your expenses, then, by all means reward yourself - conservatively, of course.

So, keep track of your income and expenses, make lists, make a few changes to your routine, and you will get out of debt faster than you ever dreamed.

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Welcome to the Get Out of Debt Help Center!

This site will provide practical advice and techniques to help you to get out of debt fast.