Debt

There is no such thing as good debt! If you believe this and follow it in your life you'll save yourself a lot of pain and unnecessary stress. People like to categorize debt as good and bad and I'll agree there are levels on the debt scale, but you don't want to be a slave to the creditor.

If you are in debt, you want to pay it off as soon as possible. To get started list your debt amount smallest to largest as well as the interest rate for each debt. While it might seem like a depressing task, the sooner you start tracking it the sooner you'll be able to get rid of it all.

Description Amount Interest rate Minimum Due Date

1)

2)

3)

etc.)

Once you have your debts listed out you can tackle it two ways. 1) While continuing to pay the monthly minimums of all the debt, you throw all the extra money that you can save to your smallest debt and start the snowball payoff going smallest to largest. With this method as each debt is paid off you place the extra you would have paid on that debt towards the next one and build momentum as you go. 2) The next method is tackling the highest interest rate first as the sooner you have that out of your life the better.

Regardless of which method you choose to pay it off, the important thing is that you are working towards the payoff and not adding to it. While in debt you should be on a bare-bones budget, which means that any and all extra money you have is going towards your debt. It's a challenge and an adjustment mentally as it may feel like you are having to deprive yourself, but really you are giving yourself the gift of being one step closer to freedom. Keep your WHY in the forefront of your mind and work towards your goal with as much gusto as possible.

If you find yourself struggling, confused, or losing momentum reach out to one of our financial coaches for help. We provide free coaching to help give you the tools and encouragement you need to reach your dreams. Don't let yourself be a victim to your situation any longer. TAKE CONTROL TODAY!!

And above all remind yourself daily to be grateful in all things. Practice an attitude of gratitude and know that the end is in sight. You can and you will overcome this challenge.