by Bo, April 22, 2014
Psychologically, debt can be a crushing experience. It does not take long for debt to control our every thought and emotion. It becomes a part of our speech as in “I am broke” or “I can’t afford that”. It can invade our minds and cause many sleepless nights, tossing and turning in worry. Many people find themselves under huge amounts of stress due to overwhelming debt and it just seems to grow bigger every time we turn around.
If you find yourself in this position, there are things you can do before throwing in the flag and paying thousands for a bankruptcy attorney and causing more chaos in your life.
Here are 3 top ideas for getting out of debt that you can try
1) Contact your creditors and ask for help! Do not wait until it is too late. And yes, there are times it can be too late, especially when it comes to mortgages. There are plans that can help with refinancing and interest reduction if you are proactive. Unfortunately the issue will not go away so it is best to answer the phone and deal with it. Make sure to stick to agreements you make with your creditor to build trust and let them know ahead of time if you cannot make a payment as promised.
2) Call a debt counseling center for help. If the creditors will not work with you, look for a non profit credit counseling center for help with renegotiating your interest rates and setting up payment plans. They handle all of the contact with your creditors so the calls will stop and you make one payment. Downside is that some bills cannot be taken care of through them, but many can.
3) Ask someone to manage your money for you to help take control of the bills. Yes, this seems drastic but if you can get someone to help you reduce the debt faster than you can while controlling and managing your bills, it may be worth it. Ask a trusted parent, sibling or friend to help. Sometimes another set of eyes can see things that you cannot and can help you look for better options.
Use these three ideas to help take control of your debt and work on getting out of debt as fast as possible. It is worth your peace of mind. What ideas have you used successfully?