02 Mar How you can pay off $10,000 in Credit Card Debt
Pay off credit card debt – Do you ever feel like you will never escape your debt burden? There ‘s a man by the name of Jon Dulin from the United States that sixteen years ago was in a dire financial straits. Like most college students, Dulin had got his first credit card offer when he was a freshman. He would use his new credit line to purchase smaller ticket items such as CD’s and food. The next school year, he amassed over $1,500 in credit card debt because he was spending a lot of money on outings with his girlfriend. Once he exited college, he struggled to get a high paying job and by 2003 he had $10,000 in debt.
Many people like Dulin find themselves using credit cards to create a lifestyle that forces them to live beyond their means. It is important that you be self-aware with regards to your spending habits. Here are some ways that you can Pay off credit card debt
Experience Your Light Bulb Moment
Jon Dulin was in a GAP store in 2003 when he was trying on clothes and had an epiphany. Why was he trying on a jacket and purchasing it if he did not need it? Many people are compulsive shoppers which leads them to rack up credit card debt. Purchasing items makes you feel good. When you are feeling depressed from the daily grind of working, you want to lift your spirits by treating yourself to something nice. This can lead to living far beyond your means.
If you have self-esteem issues that cause you to purchase things that you do not need then therapy can be a great resource to take advantage of. You can focus on discovering positive ways to boost your self-esteem so that you can keep your spending under control. One tip to avoid buying a lot of new clothing is to go through your closet and do an inventory of all of the articles of clothing that you have. Keep this list with you so that you can reference back to it whenever you are in a store and feel the urge to buy something that you do not need.
Consider Getting a Second Job to Pay Down Credit Card Debt
If you struggle to pay your bills, then it can be advantageous for you to get a second job that you work on a part-time basis so that you can pay down your credit card debt. You should make sure that you have work and life balance so that you do not burn out from your new work schedule. For example, consider becoming a ridesharing driver or delivering food so that you still have some flexibility in your life.
Create Your Own Unique Budget
Budgeting can be easier said than done for some people. If you struggle with staying on task with your spending then you need to create your own unique budget that will work long-term to accomplish your financial goals. One helpful tip is to pay yourself first by adding bi-weekly deposits to your savings account and budgeting for entertainment expenses such as movies or dining out. You work hard so you also need to spend money on relaxing activities without going overboard. You should discuss your budget with a financial expert so that you can allocate as much money as you can to paying off your credit card debt.
Consolidate Credit Card Debt
When you are facing a huge debt burden, you can consolidate credit card debt. This financial solution is done in the form of a personal loan. You would submit an application to a lender for funds to consolidate your credit card debt. Once you have had the funds allocated to your bank account, you would go to each of your creditors and pay off your outstanding balances in full.
This can help you repair your credit score so that you can focus on debt relief for the long term. You will now only be responsible for one monthly payment to pay off your consolidation loan. For many borrowers, this is a breath of fresh air. You do not have to remember to pay multiple minimum monthly payments on your credit cards and you can avoid missed payment fees because you will no longer have accounts in delinquent status.
End the Cycle of Incurring Debt By Seeking Out Debt Relief Services
A majority of Americans were not educated about how to handle their personal finances when they were kids. Unfortunately, if you are young and have no idea how to manage your finances then you can get trapped in a cycle of incurring debt for the rest of your life. You should consider reaching out to professionals to help you with debt relief. One great resource that can help you with debt reduction is available here. These trained professionals can look at the best options to help you achieve credit card debt relief in the most efficient manner possible. You have to be receptive to the information so that you can implement the changes and reduce your credit card debt.
Stop Browsing for Items Online
If you are someone who does a lot of online shopping, then you should try your best to focus on credit card debt relief by deleting any online shopping accounts so that you are less likely to purchase items online when you are bored at home. You should also avoid going to the mall for at least six months while you are prioritizing your expenses and focusing more on saving money.
Use Cash Instead of Your Debit Card to Make Purchases
When you use your debit card to make purchases, you are not as cognizant of your spending. You should take out cash on a bi-weekly basis so that you can pay for purchases such as gas for your car, groceries, and tolls or subway passes. This helps you avoid increasing your credit card debt while making you visibly aware of what you spend on a daily basis so that you can adjust your spending habits as you go.
Keep a Diary of Your Spending Habits and Emotions
You will not be able to Pay off credit card debt in a day. The process takes time. You should keep a diary of your spending habits and how you feel about your progress. This is an emotional experience that you will be on for years to come.
The writing down of your emotions and expenses will help you so that you can not only get rid of your massive credit card debt but you can also avoid repeating the same mistakes twice. You may be intimidated if you are trying to pay off $10,000 in credit card debt. However, a journey of a million miles begins by just taking the first step forward. If you try to eliminate credit card debt today then you will be closer to achieving your financial dreams.