Financial Freedom Awaits

Can't fight the pull to spend, making it hard to eliminate debt and save money?! Below are tips that will help you eliminate debt, regardless of the amount. It takes determination to get out of debt but once you change some of your habits, it is completely possible. 

• Challenge Everything. Start changing your mind set by asking yourself: Do I really need what I am about to purchase? Why am I buying this expensive item when the lesser costing item is just as good? Do I have to shop at this store or can I go to one that offers better values? Can I start ordering water instead of coffee or beer?
• Never Spend Money You Do Not Have. Tear up all but one credit card for emergency use only. Be sure to keep at least two or three credit card accounts open, which will show that you are responsible with money.
• Stick to a Budget. Review your past spending habits, reduce unnecessary purchases and create a monthly budget.
  Come up with categories and a dollar amount:
  

  * $700 home expenses (mortgage/rent, utilities, cable)

  * $500 groceries

  * $200 gas

  * $150 eating out

  * $100 cash

  * $75 fun

  Give yourself enough money in each category to buy what you need to. Each time you purchase something, write in the amount and subtract it from the category's total. By keeping track of your spending habits, you will have less of an urge to purchase on a whim.

• Pay at Least 2 Times the Minimum Amount Due. You will never get out of debt if you do not pay more than the minimum amount due. It will take 25 years to pay off a $15,000 credit card debt with an annual interest rate of 15%, providing you never use that card again.
• Find Something to Do. There are plenty of activities to do that do not cost a great deal of money: mountain biking, hiking, walking, cooking, dancing, gardening or reading. Find things you like to engage in so you do not feel compelled to return to the casino, mall, on-line store or bar.
• Start Buying Used Items That Look Like New. When it is necessary to buy something, shop for used items. EBay is the perfect place to find great deals.
• Start Putting Away Money Each Month. What you focus on expands. If you only focus on your debt, then you spend most of your time thinking about it. That won't help you get out of financial hardship. What will is if you focus on the money that is growing in your savings account. Your confidence will increase as you realize you are good at saving money.

Click here to review an estimated payments chart to compare monthly payments for different amounts borrowed within various time frames.

It's not too late to start managing your debt with these easy steps. Click here to read more.

Click on this link to learn how you can get out of credit card debt.