How I Am Attacking Debt – Accept Credit Cards Mobile
I’m working hard to find out of debt. I would tell anyone that is trying to acquire out of debt is to pay off those credit cards and don’t go into any more debt. I am paying off credit card debt right now, and I have a puny loan I am paying off. My other debts are hospital bills and doctor and anesthesia bills that the insurance doesn’t pay. Those medical bills that all have the 20% owing adds up to a hefty sum if you are like me and on a small income.
How does one get out of debt when they have a lot of debts that retain piling up each month? The first thing I would instruct you is to communicate with your debtor. Don’t blow them off, because they aren’t going to go away.
I am working on the smaller debts first to glean them out of the way. One of my bills is over $3,000; it is a hospital bill. That is the largest bill I have. You might mediate this is the bill I would attack first, because it is the biggest? No, I am paying them a set amount each month that I decided on. I am paying larger amounts to the smaller debts that I have to get them out of the way to free up that money to be applied to the next smallest debt. I pay the bigger debt enough to stay out of collection.
I contacted the billing department of the hospital and told them my state. I explained that I was taking care of a few smaller bills to free up that money I could pay them. I asked to work a small payment plan until I freed up the money to pay more. The person on the other end said they could not accept less than $50 a month. I said, I’m sorry, but I don’t have $50 to send you each month. The person on the other end tried to strong arm me and say they would have to put the bill into collection, and I said I knew better than that. I would just send them a predetermined amount each month that I can fit in my budget. I am sending them $20 a month, while I send $50 a month to two other creditors. Now, this $20 a month to this creditor is really me just treading water until I can get the smaller bills paid off.
My advice to anyone that wants to derive out of debt is to:
1. Don’t effect any new debt
2. Don’t live above your means
3. Cook in, rather than eating out
4. Pay your bills on time, and don’t make new bills that aren’t necessary.
5. Every payday do money aside for emergencies, so that you won’t be tempted to exhaust a credit card. While you are trying to get out of debt don’t use your credit card at all. Even if you save only $20 a month that will add up over time, and if an emergency should arise, you can then use the money you saved.
6. Prioritize your debt from the least amount to the highest amount. Decide how remarkable you are going to put on each of the debts and stick to your plan. You must be proactive in attacking your debt head on. When the lowest debt is paid off, use the money that was going to the lowest debt and apply it to the next highest debt.
7. Change your spending habits. Look at what you consume each week. If you buy a lunch every day at work, you might contemplate taking your lunch at least part of the time. If you throw money away on lottery tickets, or other nonessential activities, products or habits, consider stopping and applying that money onto your debt.
I implemented number 7 in my own attack on debt. I recently canceled my cell phone sage. It was month to month, because my contract had expired a couple of years ago. It didn’t make sense that I was paying $60 a month for a cell phone when I had a land line phone at home. I do have a cell phone that I share minutes with my family at no charge to me. I don’t exercise it except to contact my family using the mobile to mobile feature, which is free. Now I am able to apply the money I spent on my cell phone to the debt that I am paying off.
I changed how I buy groceries to save money. Instead of buying a lot of boxed items and convenience foods, I go more for cooking from scratch. I have saved more than $100 this month. It normally costs somewhere around $400 a month to buy for my family. This not only includes food, but also non-food items such as laundry soap, dish soap, deodorant and so forth.
If you are drowning in debt, make an assessment of what you can change. There is no need to just throw up your hands and give up. You must have a plan and stick to it. You know how you check a tire to see if you have any air leaks? Well check your spending habits, and bill paying habits. Find out where the leaks are and stop them before you lose everything you have worked so hard for.
