The only solution for some may be to pay off debt fast, putting together a system you can follow and that gets you out as quickly as possible.
I’ve boiled the debt payoff systems into four steps, the most basic ideas in getting debt free. These four steps may not cover every contingency but will make debt payoff as simple as possible.
If you are ever going to pay off debt, start with not creating new debt by spending more than your income.
1. Start by putting all your credit debt in order. 2. To rank your debt, you are going to need to know the interest rate. 3. Put your debt in order with either the snowball approach or the debt avalanche.
Debt problems and high interest rates seem to go hand in hand. Overspending and debt lead to missed payments which destroy your credit score.
Start with your budget and understand how much you can realistically save each month. Try making smaller goals like cutting an extra $50 out of your spending each month.