1- KNOW what you owe.
You must know and identify clearly what you owe; the best way is to create a debt list with details for example:
Identify which payment has the highest rate thus allocate the highest priority to it.
2- Avoid creating new Debts. When you are already in debt, do NOT create a new debt.
Try your best to create savings strategies for the expenses that you do not pay monthly, for example some bills are paid quarterly. Even though this bill is paid quarterly, keep aside the amount aside each month.
3- Decrease your expenses by developing a clear strategy and try to increase your income.
4- Don’t always use your credit card.
5- Always create a list of items you plan to purchase and know the amount you are planning to spend.
6 – As soon as you develop a plan with your monthly income and expenses, you can set the good amount for paying your debts.
Adding an extra amount to your monthly debts payment can decrease the interest payment and save time.
When you have money with you, and you really do not need use it add this amount to your monthly payments.
7- Being debt free is not only, a way to manage your money, but also a negotiation part.
Try to find the alternate with a lower rate. Use negotiations, tell your current creditor that you’ve got lower rates with another one; this might help reducing rates to keep you as a customer
For more on debt consolidation, mortgages and other related articles, go to <a href=”http://www.globalproperty.co.za/credit-card-debt.html”>www.globalproperty.co.za</a>