You will find different opinions on how to end debts. All are good and in the end you should find the one that works best for you. This is a great lesson I learned a short time ago.
My advice is that you must pay the smallest debt first to create the biggest boost in your debt elimination plan. Although others will tell you that you must pay the debt with the highest interest rate to get out of debt quickly.
Mathematics seems to lean more towards paying higher interest debts in the first place, but personal finances are 20% knowledge and 80% behavior. You need some quick successes to stay motivated enough to get out of debt completely. In this way, you will begin to see the results and begin to win the battle to the debts. We are emotional beings and we need to achieve achievements. The same thing happens with other goals, for example, lose weight. When you get a few pounds down, you feel that the effort is worth it and gives you the strength to keep going.
List your debts in order with the lowest payment in the first place. Do not worry about the interests unless the debts are similar, in this case, write down the highest interest debt first. Eliminating small debts first gives you quick feedback and the plan is more likely to be successful.
Do this again every time you pay a debt, so you can see how close you are to freedom, and so on until you end up with them all.
There are myths on this subject that only the rich can get rid of debts.
The truth about Debt Reduction is that anyone can be free of debt. Real debt reduction is common sense and hard work. I recommend a great book on this subject that you can find in resources, The richest man in Babylon .
Many people who work hard get into debt because of mistakes. Many are willing to continue working hard to pay debts but in many cases money problems are not solved with more money. What do I mean? Well, many people have more money, spend more and get more debt. But the good news is that it is possible to get out of debt. It is necessary to follow a plan, change bad habits and not lose focus.
Keep the focus on your goal and do not give up! Focus, focus and focus.
Did you like this article?
If so, like it, share with your friends and subscribe to my blog! And if you want, share your experience in the Comments. Thank you very much.
My advice is that you must pay the smallest debt first to create the biggest boost in your debt elimination plan. Although others will tell you that you must pay the debt with the highest interest rate to get out of debt quickly.
Mathematics seems to lean more towards paying higher interest debts in the first place, but personal finances are 20% knowledge and 80% behavior. You need some quick successes to stay motivated enough to get out of debt completely. In this way, you will begin to see the results and begin to win the battle to the debts. We are emotional beings and we need to achieve achievements. The same thing happens with other goals, for example, lose weight. When you get a few pounds down, you feel that the effort is worth it and gives you the strength to keep going.
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Do this again every time you pay a debt, so you can see how close you are to freedom, and so on until you end up with them all.
There are myths on this subject that only the rich can get rid of debts.
The truth about Debt Reduction is that anyone can be free of debt. Real debt reduction is common sense and hard work. I recommend a great book on this subject that you can find in resources, The richest man in Babylon .
Many people who work hard get into debt because of mistakes. Many are willing to continue working hard to pay debts but in many cases money problems are not solved with more money. What do I mean? Well, many people have more money, spend more and get more debt. But the good news is that it is possible to get out of debt. It is necessary to follow a plan, change bad habits and not lose focus.
Be careful with quick solutions
There are people who are looking for a quick solution, such as debt consolidation. That is not the way. You have to be willing to work and sacrifice yourself in order to correct the situations you have created. If you think it is too hard, you will never get out of debt. Laziness will not get you anywhere in life. We all make mistakes, but the question is whether you are willing to take responsibility for your mistakes or you and your children will be condemned to repeat the same error.Keep the focus on your goal and do not give up! Focus, focus and focus.
Did you like this article?
If so, like it, share with your friends and subscribe to my blog! And if you want, share your experience in the Comments. Thank you very much.
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