Concerning debt, my dad used to tell me "Once you find that you’ve dug yourself into a hole, the first thing to do is STOP DIGGING!"
I’ve been married for over a decade now. My wife and I don’t typically fight… we hardly ever argue. Those times that we have, have usually been about money — or more specifically, the lack thereof.
Debt is the great captor that’s pulling down on most Americans today. I have a plastic card in my wallet that I can whip out and use to buy stuff. That money comes out of my checking account, until that’s empty. Once it is my bank charges me an overdraft fee, and transfers a certain amount into my overdraft account, to which they then apply finance charges and interest.
Credit cards work the same way.
Over time (and not much time depending on how you look at it) you end up paying MUCH more for items that you’ve charged than if you’d have paid with cash. Interest and finance charges eat away at your disposable income until you can’t keep your head above water.
You need to consolidate and begin to eliminate to get any kind of debt relief.
By consolidating your debt you can typically get a lower APR and get rid of billing fees, mailing fees, customer support fees, etc. Not only that, but the amount that you pay can go more to principle and less to fees and interest than with most credit cards.
Once that’s done, the "extra money" can (and should) go to pay down your debt until it’s eventually eliminated.
Close accounts as you pay them off (so you’re not tempted to use them, and so you don’t get dinged with "account maintenance fees" and "inactivity fees" and the like — no, I’m not making those up!).
Need help getting started? www.NoDebtToday.com may be a starting place for you. This company will help you to evaluate your current levels of debt, give you options, and help you develop a plan that can get you free from the shackles of debt.
Whether or not you choose to use this company, another, or go it on your own, you need to start today. Consolidate what you can, eliminate what you can, and get out from under that weight.
Once you are then spend wisely. Begin investing. Diversify. And as Robert T Kiyosaki says: stop working for money… make your money start working for you!
