Contributed post
Most of us step into the new year with resolutions of some sort or another. For many of us, these resolutions revolve around getting our finances fixed up. This isn’t all too surprising seeing as January tends to be the time that we experience the most debt. After the holiday season of giving, eating and drinking well, and celebrating, a vast proportion of the population find that they have tipped themselves over the edge with our spending. So, if your bank balance is looking a little less than healthy, how can you go about rectifying your personal situation? Well, don’t worry too much. Even though repaying debts may seem a little daunting at first, you can clear your dues quickly and effectively if you just incorporate a little organisation into your life. Here are a few ways to get out of the red and into the black, putting your mind at ease as soon as possible!
Get a Loan
Sure, taking out more credit may not seem like the most productive way to clear your debts. Now, this step won’t clear your debts any more quickly, but it will remove a whole lot of the confusion from the lending and repayment process. If you have multiple credit cards or overdrafts on your debit cards, you should seriously consider taking out some form of a consolidation loan. The purpose of this loan is to give you enough money to clear all of your other debts. This way, you can cut your credit cards and ask for a reduction in your overdraft limit. This will stop you from dipping into debt again by removing the source of temptation. You can then pay back everything you owe to one lender such as Personalloan.co. This saves time and also ensures that you are more likely to stick to your agreements. After all, it’s much easier to remember one repayment date, interest rate, and minimum repayment amount than the same information for multiple accounts!
Take on Extra Work
As you head back to your usual job, it may be a good idea to take on a little overtime. Alternatively, you might even want to get an extra part-time job alongside your usual working hours. Sure, this isn’t fun, and you will exert yourself to your utmost. But it will save you a whole lot of money in the long run. Why? Well, almost every loan or instance of credit that you are offered will have an interest rate. The longer you take to pay things off, the more interest you will end up paying. Having extra cash on hand to clear your debts more quickly will result in you paying less overall.
Stop Using Your Cards
As mentioned earlier, you might find that you are tempted to carry on using the credit that you have to your name. As you start clearing large sums from your balance, more credit becomes available. But only ever use this for absolute emergencies. Otherwise, you end up in the rut of maxing your cards out again, which results in an endless cycle of being in debt, making repayments, and sinking back into debt again. Instead, start trying to live within your means and stop using your credit cards. This means making a budget and sticking to it!
Remember that when it comes to clearing your debt, patience is a virtue. After all, unless you win a large sum of money, they’re not going anywhere immediately. Instead, chip away at things and follow the above advice to move the process along as quickly as realistically possible.