5 Essentials to Paying Off Debt – Step 3
In this series, I want to equip you to become debt free!! Jenn and I became debt free in just 14 months by following this process. I can tell you this – there is NOTING like living life without the weight of debt!
STEP 1 – Understand the WHY before the HOW
STEP 2 – Calculate your Debt Freedom Date
STEP 3 – Accelerate your debt elimination
DEBT – This four letter word often consumes so much of our lives, thoughts and actions. But, it doesn’t have to!
When it comes to debt, I understand how stressful and frustrating it can be. I understand the weight and fiction it can bring to a family. However, I also know the freedom that comes when one become debt free and I want you to experience this freedom!
When you are ready to start attacking your debt, here are a few ways to accelerate debt elimination. (But before you begin, make sure you’re not making the #1 Debt Mistake – HERE.)
3 Ways to Accelerate Debt Elimination:
- Reduce Interest – Many people with substantial consumer debt do not realize that 50% – 75% of their payments are merely going to the lender as interest. This greatly reduces your ability to lower your debt. So, here are a few ways to lower your interest:
- Transfer to a 0% Interest Credit Card (Learn more HERE)
- Call & ask for a lower rate
- Pay on-time
- Establish automatic payments
- Increase Income – Since we’re all friends here, if we’re being completely honest, we all vote for this option, right? But a lot of people don’t realize that there are numerous ways to increase income that are within your hands. Here are a few:
- Pay Raise (see salary.com)
- Tax Refund
- Bonus
- Work Overtime
- Extra Job
- Sell Some Possessions
- Decrease Outgo – This is an option that is always available to us, but it’s probably not fun. If you can decrease the outgo to other things, you can increase the outgo to liberating your life from debt!
- Create and follow a budget!
- Sell some possessions
You can learn more about each of these steps in my book, I Was Broke. Now I’m Not.