Most Americans owe several thousand dollars in unsecured debt. The source of this debt problem comes from people constantly overspending their budget. They soon find themselves living paycheck to paycheck with foreclosures and car repossessions just a couple of paychecks away, if that far. Debt problems create tension at home, family stress, and can lead to divorce if not addressed.
The only sure way to eliminate debt is to change the way you think about money and spending. You must adopt the mindset of a Navy Seal on a top-secret mission to succeed. Finance companies extract millions of dollars from middle-class Americans and profit from those who can afford it, at least for years. The madness must stop.
To eliminate debt, take a hard look at your finances. Includes the candy bar at the corner gas station. Add up everything you spend money on and label them according to how important they are to you and your family.
Then take your accounts. You know how much you spend on energy, phones, entertainment, pizza on Friday nights. See how much money you can save by cutting these costs. Eliminating debt requires some sacrifices. Navy Seal, remember?
Save on gas costs by eliminating extra trips to the store. Turn off cable/dish service. You need that monthly fee to pay off your debts. Control your electricity and water bill. Use only the minimum you need to live. Think of the Navy Seal. If you add up these savings, you could find an extra $50 to $200 per month just added to your income. This additional income will become your vehicle to eliminate debt.
Now take the smallest debt you owe. How long have you paid for it? Probably too long and the finance company thanks you for being such a great customer! You have found your first victim in your debt elimination quest.
Take the additional income you found and apply it all to the first bill. Do this until the first bill shows a zero balance. Do not deviate from your course. Do not give up. Be tenacious in your search.
Once this bill is no more, sit back for a moment and enjoy your victory. Achieving part of your goal requires a celebration to acknowledge the fact. Enjoy the magic words “Paid in full”. Give yourself a gift. Take your family out for a nice dinner. Buy yourself a new suit! The idea of rewarding yourself only fuels the desire to complete your goal.
Take the money you no longer send to the first bill and start applying it to the second debt, the next victim in line. Do this over and over again until you are debt free. This concept works. You can do it.
To fully enjoy life, you must learn the life skill of living within your means. You will be surprised at the amount of money you will save by not giving it to financial institutions. Family vacations, buying new cars with cash, splurging on new clothes without paying interest become within reach goals. The struggle between income and expenses becomes non-existent once you don’t owe creditors. You no longer need to work as hard as before, it becomes a choice. When your income belongs to you alone, you’ll never need to visit a finance company to get a loan or have another credit card in your lifetime. Debt freedom will give you the best feeling in the world.
