If you’re struggling to pay off your debt, keep reading!
“The journey of a thousand miles begins with a single step.” Your debts might seem too overwhelming to pay off, but you can do it!
The first step is simply making a plan. So let’s do an exercise! Write down all your debts, it doesn’t matter how small or large it is. Write down the amount you still owe and the interest rates. Got it? Okay good.
Now there are two ways you can approach this. Do you want to pay off the smallest amount first? Completely getting rid of one debt can give you a boost of motivation that convinces you to keep working towards being debt free. That’s called the debt snowball. It starts as a small snowball- that’s the small debt you paid off. And as it rolls down the hill, it gets bigger and bigger as you attack those bigger debts.
Or you could try the debt avalanche. In this one, you prioritize the debt with the highest interest rate. Those very high interest rates add up quickly, so by cutting those down faster, you may feel more peace of mind.
Are there any other strategies you’ve used to pay off debt?
Learn more in my Debt Do Over course! Click here to access it!