• You’ll have an easier time getting out of debt if you avoid these mistakes

    Whether you have lots of signature loans, payday loans, personal loans, credit card balances, or other debts, if you need to get out of debt, you’ll have a better chance to getting debt free if you avoid these mistakes. Closing down accounts with balances. Closing down accounts with balances can weaken your credit rating, which is not what you want to do if you want to avoid higher interest rates. Not having savings.
    debt if you avoid these mistakes
    Many debtors try to put every extra penny into paying off their loans, sometimes at the expense of their savings accounts. This can be a mistake. You need a savings account and an emergency fund to help deal with any problems that arise. Without savings, you might need to rely on even more loans in an emergency. Not having a realistic plan and sticking with it. Getting debt-free is a long-term plan for most people. It may take you months or even years to pay off what you owe. You need to develop a plan that works for you, based on your personal budget and debt load, and you need to stick with this plan to pay off your loans.

    Taking out new debt to deal with existing debt. It can be tempting to take out consolidation loans to make smaller payments. This may be a good idea, but not necessarily. Do the math to ensure that consolidation will really help you repay your debts faster. It can also be tempting to take out payday loans to pay off personal loan payments, but try to avoid this as well. Avoid any new debts while paying off your current loans. Having a lousy attitude. Feeling that you will never pay off your debt or feelings of helplessness will not help your case.…

  • Have you paid off holiday credit card debt yet?

    The holidays are long gone, the tinsel is thrown out – but are you still paying for holiday indulgences with bills and credit card debt? If you haven’t paid off all your holiday bills yet, you could be racking up big interest and even hurting your credit score if your accounts are outstanding. Here’s how to get back on track:

    1) Develop a budget and repayment plan. How much can you put aside for holiday debts today and this month? How long until you are debt free?

    2) Rein in your spending. Most retailers have very tempting January sales, but put on blinders and focus on paying down your bills. You’ll feel much better all year for it – and those sales will still happen in July.

    3) Don’t forget to pay yourself. Even if you are facing a mountain of debt, don’t forget to put aside some money into an emergency fund and a savings account. It’ll keep you out of financial trouble and will ensure that next December you don’t have to pay for everything with a credit card.…