4 Ways You Can Say “Goodbye” to Your Debt Faster
Debt
Debt can build up quickly, and it can get overwhelming without warning. Ignoring the problem doesn’t help because it allows the debt to accumulate and can leave you with late fees and other fines.
Some people may try to avoid phone calls and letters from collectors, but that won’t help either. Do something about it now.
Here are four ways you can say “goodbye” to your debt faster.
Increase Your Income
The simplest way to get out of debt is to make more money. Ask your employer for more hours or shoot for a promotion.
If that doesn’t seem possible or if you need a faster solution, look for a better job. In your spare time, consider finding a side gig.
Some common side jobs include:
- Driving for a rideshare company
- Waiting tables or bartending
- Doing freelance work
- Selling products online
- Completing surveys
Additional income will give you the opportunity to pay some debt off while creating a safety net to prevent the situation from getting out of hand again.
It may even turn out to be a career you want to pursue even after your debts are paid off.
Consolidate Your Debt
When you owe multiple lenders money, it can be stressful. You may also struggle to keep them all organized.
Make it easier on yourself by consolidating your debt into one monthly payment.
The debt consolidator will pay off your current debts so that the only monthly payment you have goes to them.
You won’t accrue late payments by forgetting one of the multiple payments you owe every month.
Many companies will do this for you, often lowering the total amount you will need to pay every month and giving you some added peace of mind.
File for Bankruptcy
The idea of filing for bankruptcy scares many people, but it can actually offer a brand new start for the right candidate.
First, get your finances organized and show everything to a bankruptcy attorney.
Your attorney can tell you your options and can give you advice about which option might be best for your situation.
Then, if you choose to go forward with filing, your attorney can help you get all the paperwork filed correctly and on time.
One main consideration about whether bankruptcy is right for your situation will be whether the type of debt you have can be wiped away with bankruptcy.
Some types of debt that bankruptcy won’t eliminate include student loans, tax debt, and fines or retribution for criminal offenses.
Monitor Your Credit
Your credit score plays a large role in future large purchases you may want to make, such as a car or a house.
Bad credit means you may not qualify for the loan you want. If you do get a loan, you may get a high interest rate.
Use free credit monitoring websites to stay on top of your credit and learn right away about any debts affecting the credit score that you may have forgotten.
Getting rid of your debt will make you feel lighter and allow you to sleep better at night.
Don’t put off the problem any longer. Sit down with a professional to learn about your options and take action before things get worse.
Category: Bankruptcy
