How to Pay Off Debt Quicker
Posted on: November 16, 2017
Debt is a concern for many people and an inevitable part of life. College students, homeowners and businesses all deal with it. In fact, the average amount of household debt in 2015 was almost $8,000
Fortunately, there are a variety of strategies that you can follow to pay off your debt in a faster manner. Here are a few tips to pay off debt quicker.
- Transfer Balances. Find a card that has a zero-interest balance transfer. Transfer your debts that have the highest interest. Doing this properly can potentially save you hundreds of dollars in interest.
- Pay More Than The Minimum Balance. The minimum balance you must pay each month will keep you in debt for a long long time. Make a goal of a specific amount or percentage of your pay check that will go towards debt each month.
- Take Advantage of Credit Card Rewards. There are many credit cards that come with rewards that you can cash in. This is something that gets ignored far too often. Research different ways you can make the most out of your spending.
- Avoid Additional Credit Charges. Stop adding debt to your debt! Leave your credit cards at home unless they are absolutely necessary. Spend cash whenever you can to eliminate a downward debt spiral.
- Delete Store Saved Credit Card Information. This is very important for frequent online shoppers! There is a reason why stores give you the option to save your payment information for future purchases. It is a lot easier to make an impulse decision when you skip the payment step. Eliminating this option will physically add an additional step to our decision making process, forcing you to consider the purchase a little longer.
- Lose the “It’s only $5” Attitude. Every little bit of spending adds up. That daily trip to the coffee shop may only be a couple bucks at a time, but it really adds up over the course of a year. Try to focus on the big picture rather than in the moment.
- Plan To Use Your Bonus/Tax Return On Debt. It is easy to make 101 plans with our tax returns. Especially with all the enticing tax return sales and specials. If you are aware of a bonus or tax season is coming, make plans to put it towards your debt rather than a shopping spree or weekend getaway.
Life is full of unexpected circumstances. Unfortunately, some of those result in financial distress. If you’re currently in a tough financial spot, consider applying for a CashMax loan. With no mandatory credit checks, you can get the cash you need almost instantly! Visit one of our convenient locations near you to get started!