In “Climbing Your Way out of Debt Part I,” we looked at the cost of paying down debt by focusing on credit cards with the highest balance before focusing on lower debt balances and loans. This time we examine how much money it will cost over the long term if you pay down credit cards charging the highest interest first. We’ll also examine the costs of emotion when it comes to borrowing money from family members.Continue reading
Like many Americans, you have a few credit cards and do your best to manage your money responsibly but it seems every month you come up a few hundred dollars short. Trouble is your annual raise hasn’t kept pace with the rising costs of gas, groceries and other necessities let alone discretionary or luxury items like movie tickets, your fitness club membership or trips to the spa. You know if you don’t rein in your spending, you’re debt will grow and climbing your way out of debt will be even more difficult than it is right now. Nobody wants, or likes, to be in debt especially in today’s tough economy. While climbing your way out of debt may seem like achieving the impossible, there are several ways to do it.Continue reading
If you have a great deal of outstanding debt, there are a number of benefits to getting a debt consolidation loan. Consumers who qualify for debt consolidation loans have the opportunity to begin paying down their debt much sooner than they would without one. Here are some of the benefits of using a debt consolidation loan.
One of the first benefits people experience from using a debt consolidation loan is stress reduction. The most common factor known to create stress is debt. By consolidating your debt into one account you significantly reduce stress in your life because you’ve taken the steps necessary to get your debt under control. There’s a peace of mind that comes with knowing you’re back in control of your spending habits having worked with professionals to create a workable plan for paying down your debt.