Getting Out of Debt and Succeeding

Debt. Everytime I think of debt I think of a little phrase I saw on a shirt with a picture of the dwarves marching to work. The caption read:
I OWE, I OWE...SO OFF TO WORK I GO.

It makes you think. Is this how anyone wants to live life? If you really look at it, you have to go to work because you have to pay the creditors. They own your time, your pay and your life until you pay them off. It's almost a bondage of sorts. You are slaving away at your cubicle to pay the minimum payment every month.

Now that January is almost over and most us are are trying to recuperate from the holiday spending, Valentine's Day is creeping up. This is another commercial holiday where gifts are expected. April brings the deadline for your income tax filing and then we have Moher's Day and then Father's Day.

Get a hold of your finances now. Eliminating debt is an acheivable goal, but it takes determination, perseverance, motivation and implementation. Make a decision and start the process. Attack the debt and eliminate it forever.

Tips on how to get out of debt:
1. Get sick and tired of giving your paycheck away to the bill collectors. This will keep you motivated to stay on track.
2. Figure out the amount of money you can allocate to pay off your debt.
3. Write down all your credit card debts, the interest rate for each, the minimum payment due and the balance.
4. Rewrite the debts with the highest interest rates at the top of the list followed with their minimum payments and their balance.
5. The debt with the highest rate will get paid first. This will save you money in the long run.
6. After you pay the first credit card, you apply the minimum payment of the card you paid off to the second debt. This is called a snow ball effect. In this manner you will pay the debt off faster.
7. Continue to pay off each credit card until all the debt is eliminated.
8. You can apply the same technique to your car loan and mortgage. Always make sure you pay towards the principle and not make an extra payment. When you make an extra payment, you are giving them the finance charge and the payment amount. When you pay towards the principle you are PAYING OFF THE BALANCE DUE.
9. Reward yourself along the way and celebrate!
10. After you pay off all your debt, you can start researching into investments for your money. You have succeeded in becoming debt free and have proven to yourself, your family/friends and the world that you can accomplish what you set your mind to.

For more information on budgeting, debt strategies and more visit my site Getting Out Of Debt at
http://getting-out-of-debt.blogspot.com/