3. Sacrifice isn’t forever
With sacrifice comes reward so consider what you can give up for a time to help keep the rest of your finances balanced while you focus on illuminating the debt. Perhaps a garage sale is in order or there are a few things laying around you just don’t use any more. Cash them up rather than have them sitting there collecting dust. It all helps.
4. Stash some cash
Whether it be in your sock drawer or another bank account consider how to build a cash reserve. It’s often heard “Save First, Spend Later” and I’m sure the wealthy didn’t all start off amassed in wealth they simply learned and applied habits, one of those was to save so start today.
Whether it be $10 a week or $100 is irrelevant, having some cash reserves stashed away means you’re less likely to need to fall back on using your credit card for the unexpected. Focusing on paying down your debt is great but balancing that with building a reserve may mean it takes a little longer to get rid of the debt but if something unexpected comes up and you use your own money then subconsciously you still feel like you’re winning. You didn’t default back to using credit and increasing your debt. How we think is as important as how we act.
5. Set a budget
Getting rid of your debt is important but if you don’t have a clear understanding on what your income and expenses are and a way to monitor them then it is likely no matter how hard you try you’re going to reach the end of the Interest Free period and still owe just as much as when you started.
Remember my earlier comment about economic sense, failing to plan is simply planning to fail so get your budget in order today and plan to rid yourself of this crippling debt. It makes good economic sense for you and your family to succeed, good economic sense for the bank for you to fail.
For help creating a plan PLEASE CONTACT US, or check out our ONLINE PLANNER.