A recent survey of roughly 2,000 Americans by NerdWallet found that about 56 percent of the people who responded carried credit card debt averaging over six thousand dollars. Enterprises TV shares tips on how to get out of debt.
Many people carry several credit cards in their wallets. They’re used for a variety of purchases such as gas, groceries, and small emergencies like car repair. But eventually, the balance keeps going up until there it seems like it will take a long time to pay it off. Below are some tips for getting out of credit card debt without sacrificing lifestyle choices too much.
Set realistic financial goals. Total all the card balances and make a plan to pay down the debt monthly. The amount can be the minimum to start with and can grow over time as more debt is paid and more money is free. Use an online financial planner or a spreadsheet and watch the balances shrinking.
Pay yourself first. Set up automatic transfer of funds to savings or retirement accounts. Every little bit helps. Add up the monthly savings shown on store receipts and deposit that amount to accounts.
Downsize the major expenses. Opt for a more affordable gym. Make coffee at home instead of stopping at the coffee shop where a small cup of regular joe can cost $5.00. Eat at home instead of going out. Bring lunch to work. Go to a matinee movie instead of an evening movie.
The Enterprises TV show suggests finding ways to increase monthly income. Walk the dogs in your neighborhood. These caregivers can make $15 an hour or more if they walk more than one dog. Go online and find part-time work. There are great resources for people in many different fields that have good pay rates. Use that earned income to pay down debt and work toward a financial goal that used to seem far off.
It takes time and patience to get out of debt. A few small emergencies put on credit cards can add up if not paid off before the billing date. Stick to it and soon feel the freedom of not being in debt.