How to get rid of debts? Every day this question baffles millions of people around the world. Banks, shops, automobile and travel companies literally overwhelm our fellow citizens with tempting offers.
Unfortunately, not everyone finds the strength to refuse another loan or loan. As a result, after a couple of years of a carefree life, all the money earned goes to pay off the debt, and the person falls into lifelong bondage to financial organizations. If you want to change current position things, then read this article. We will tell you how to get rid of debts and loans as soon as possible.
Counting debts
Financial analysts are sure that most people in our country do not think about planning at all family budget. They calculate their expenses only one month ahead, and any unforeseen circumstances can shake the fragile financial stability. How to get rid of debts and loans? First of all, you should face the truth and calculate the total amount that you have to pay to banks and organizations. Focus on small debts, as it is a big mistake to consider them as something insignificant.
We start saving
If you are determined to start new life, then in the coming months you should give up excesses and pleasant things. During this time, you will learn the correct distribution of your income and careful attitude to money. A few easy ways to cut costs:
- Shop for clothes and shoes during seasonal sales.
- Buy household chemicals, cereals and some products in wholesale stores.
- Avoid alcohol and cigarettes completely.
- Visit cafes and restaurants less often.
- Skip the convenience foods and cook your own at home.
We increase monthly income
How to get out of debt and start earning? Think of new ways to increase income. This may be a change of job or a side income that will not distract you from your main activity.
Calculate the amount to be paid utilities, shopping for groceries and essentials. Other cash donate without regret to pay off the loan. Remember that during this period it is not recommended to save money for a rainy day. If you already have some amount at your disposal, then use it to pay current debts. In this way, you can quickly part with financial obligations, and you do not have to pay interest that accrues every month.
Should I take out a new loan to pay off the old one?
Many people are sure that they know an excellent remedy for getting rid of credit debts. They go to the bank and draw up new loan. In most cases, this does not solve the problem, but, on the contrary, drags a person into a debt hole even more.
You should be aware that you pay the interest first and the principal last. So there's no point in taking new loan if you have already covered most of the old one. However, if you have found an organization that is ready to provide you with a loan for a short period of time and at a low interest rate, then try to take advantage of this opportunity.
A credit card with a low rate can also help you out in a difficult situation. How to get rid of credit debts with the help of such a card? Very simple - use all earned funds to repay financial obligations, and pay with a credit card for the purchase of groceries and other necessary things.
We draw up two budget plans
In order to acquire financial independence, you must learn to use the money you earn wisely. This will help you compose budget plan for a month. In the first, you must enter total income, as well as total expense and total surplus.
Remember that you must correctly calculate all the points and take into account all the little things. If a person loses sight of something, then in a couple of months his budget will collapse and all the work will have to start over. As a result, you will see how much money you have left on hand, and you can distribute it among your debts.
The second budget, which is recommended by experts, is called "debt". It shows how much a person owes the bank and how much he needs to pay each month for each specific obligation. How to quickly get rid of debts and loans? To do this, all the surpluses of the first budget should be transferred to the second and thus embark on the path of financial freedom.
Preparing the list
On a sheet of paper, write a list of all your debts and place them from top to bottom as interest decreases. This way you will see which loan should be closed first. Maximum amount your income should go to pay the debt, which is placed on the first line of the list. The remaining funds are distributed among the remaining points. The course of action must be maintained until the largest debt is liquidated. After that, you can move on to the next loan with a clear conscience.
Get lower interest rates
Recently, more and more banks offer customers a new service that helps solve many problems of the borrower. Refinancing a loan is beneficial in that it can help reduce interest rate and thus pay less to the bank. This service is especially relevant for those who have taken housing in a mortgage.
The point is that in individual cases the rate on new loans is lower than on the old one, received four years ago. Some financial institutions offer their clients to combine several old loans and pay one payment, which can significantly save personal time. For those in this moment is experiencing financial difficulties, banks offer to extend the period of use of borrowed funds and reduce the monthly burden on the family budget.
Look around...
- Does your colleague receive the same salary as you, but unlike you, he doesn’t borrow “to the payday”, but built a country house?
- Do your neighbors earn less than you, but unlike you, do they pay for their children to study at a prestigious university?
- The wind is always whistling in your pockets - is this also about you?
Stop, leave all your affairs and think: what is the matter?
What do these people know that you don't? What can they do that you can't? Why does the money in your hands disappear so quickly, like Winnie the Pooh's honey - “I can’t understand what the secret is ... If there is honey, then it’s not there right away!”.
One of the main rules of financial well-being says "money must make new money." Money is drawn to money. Success attracts success. You have probably already heard all this, but did not understand what it has to do with you? The most immediate!
If you want to get rid of financial problems , then you should start building up money supply. You need to start saving money. You need to save money.
Only in this way you can save them and increase them. Only by increasing your cash reserves, you can then begin to invest them, which means not to work for money, but to make your money work for you.
Most people behave differently. Money is earned and immediately goes down to "zero", and even to "minus" - with the help of consumer loans that have become so affordable.
In an attempt to improve their deplorable financial position, people tend to take one of the following decisions:
- spend less;
- earn more.
Of course, it is better to take at least something than nothing at all, but the effectiveness of action in one direction is extremely low.
If you want to solve your problems, you need to act SIMULTANEOUSLY in two directions at once:
- optimize costs;
- earn more.
Just "earning more" is not enough unless you change your financial habits.
If you are used to spending money without an account, making impulsive purchases, using credit cards easily, you will constantly lack money, no matter how much you earn. It is much easier to spend money than to keep part of what you earn. You need to learn and spend wisely in order to keep part of what you earn and earn more.
Simultaneous work in these two directions should give you the opportunity to save as much money as possible in order to earn even more with their help.
Tell me, if an apple tree with a very rare and valuable variety of apples grows in your garden, what is more profitable for you: to constantly sell the harvest of apples and plant new apple trees, or to cut down the apple tree once and sell the wood?
Of course, it is more profitable to sell apples, you say. And plant new apple trees. Why, then, are you all wages spend at zero, leaving nothing for brood? Think about it well.
The answer: “because there is little money, there is nothing to save from” is self-deception. You can start saving money in any financial situation. It should be a habit, at the level of a reflex: received money - set aside a part.
It doesn’t matter HOW MUCH you save, even if it’s 50-100 rubles, the main thing is that you DO it.
When you have this habit, then having the opportunity to save more, you will do it. If there is no habit of saving - no matter how much money you would have earned, the smart idea that “it was necessary to save” will come to you only after you have blown all the money.
Money difficulties are a serious obstacle to happiness. To ensure that nothing prevents you from achieving success in the new year, it is very important to leave financial problems in the past. Is there a reliable way to get out of debt and start New Year from scratch.
Financial problems affect absolutely all spheres of life: health deteriorates from a series of difficulties and debts, family relationships deteriorate, and a person eventually loses faith in himself, which leads to new troubles. That is why financial stability is the basis of a happy life, and it is quite possible to achieve it.
Popular wisdom says that old problems cannot be dragged into the new year, otherwise they will only increase, eventually turning into a real black streak. After all, the life situation in which we meet a new stage of time largely determines how we will live throughout the year. By getting rid of debts and problems before New Year's Eve, you will create an excellent base for further success. And vice versa, having met the new year with a load of financial difficulties, you can attract even more troubles into your life. The New Year is an energetic renewal, but it will be positive or negative - it depends on you. If you make a firm decision to leave problems in the past, then a new stage will bring you good luck.
According to the well-known astrologer Tamara Globa, the energy of the New Year's Eve is conducive to getting rid of everything that interferes with life, especially financial problems. This chance must be seized in order to start the path to a happy and prosperous life in the new year.
How to get rid of debts and problems
The first step to getting rid of debt and problems is to increase your energy. Financial luck directly depends on the strength of the biofield, and if it is weakened, the energy of well-being bypasses the person. There are many factors due to which gaps appear in a person’s energy - it can even be banal stress or overwork, communication with energy vampires. Sometimes the reasons are more serious - for example, the evil eye or damage. All this provokes financial failures, and the worst thing is that a person cannot always identify these reasons on his own - it seems to him that problems with money appear out of the blue. To prevent this, it is necessary to strengthen your biofield, and then the opportunity to improve your financial sector and get rid of debt will come into your life again. According to Tamara Globa, you can increase your energy with the help of a strong talisman, which will protect you from negative influences and attract good chances to you.
The second step to overcoming difficulties is the ability to direct your energy to achieve what you want. This is called the power of outer intention. If a person is able to control his inner strength, then the desired comes into his life much faster. Good luck accompanies all his undertakings, a person begins to discover new ways to generate income where he had not noticed them before. The power of external intention will give anyone the opportunity to get out of the financial hole in the shortest possible time and begin the path to prosperity. However, not everyone is able to learn this on their own. In this case, an amulet can also help, which will attract positive flows to you and direct them to improve your financial life.
And finally, the most effective means, according to Tamara Globa, is a strong money talisman. Real talismans are able to instantly change the life of the owner for the better. Of course, finding a really strong and suitable money amulet on your own is quite difficult. However, Tamara Globa knows such a talisman - he changed her life for the better, and now the astrologer is ready to tell about him to anyone who has firmly decided to get rid of financial problems and start the path to happiness.
An effective way to attract wealth that will suit every person
Let the new year begin for you with joy and be the start to new achievements. With a strong money amulet, you will not only get rid of difficulties and debts, but also open your way to success. We wish you well and don't forget to press the buttons and
Surely several times a day you spend money on things that you don't really need. A bottle of Coca-Cola from a vending machine, a cup of coffee from an expensive trendy coffee shop, lunch with colleagues, a new phone game… The list goes on. In any case, you spend a couple of hundred (or thousand) rubles on every little thing and immediately forget about it.
The reason for this behavior is the lack of financial self-control. Again and again you make small expenses without thinking about long term. But here's what the lack of self-control threatens:
- you are not getting closer to achieving big financial goals;
- you have to borrow money;
- you do not know how much money you will have in a day or in a month;
- you are constantly short of money.
Of course, it is not easy to give up the habitual way of life. Creating a long-term plan is more difficult than just overspending and indulging in small pleasures. But if you want to live in abundance and not worry about your own future, you will need the ability to control yourself and your spending. Therefore, we will tell you how to gain self-control in matters related to money.
1. Stop making excuses
Every time you come up with an excuse for spending your money on useless purchases, you prevent yourself from starting to engage in financial planning.
When you buy something you don't need today, you are depriving yourself of something important in the future.
Maybe it's really just a little thing. Maybe you really really want to buy it. Maybe you need a purchase to impress someone.
But if you want to live securely, stop making excuses for yours. Just understand: when you buy some nonsense, you are taking a step back on the path to your financial well-being.
2. Before every purchase, ask yourself: “Can I live without this item?”
To control your financial life, you will have to acquire a useful habit of evaluating each purchase. And it's not about cost.
Do you really need this item? Can you do without it? Is there a cheaper equivalent? Ask yourself these questions every time you are about to make a purchase.
Financial self-control is the ability to say “no” to things that you would have previously said “yes” without thinking.
Ask yourself: "Can I live without this thing?". If you answer “yes”, then you don’t need to buy anything, it’s better to save money for more important things. If the answer is “no”, then ask yourself the following question: “Is there an analogue cheaper?”.
So you learn to evaluate and accept the consequences of each of your decisions and actions.
3. Use only cash, no credit cards
Usually credit cards are issued with a very large limit, and this is no accident: with such a card in hand, it becomes more difficult for a person to control their expenses.
When you don't have real ones on your hands, paper money, when buying it is easy to disregard what you can actually afford. In such a situation, you only care about one thing: the main thing is to have enough. In addition, with a card without a limit, it is much easier to get into trouble like unsustainable bills or large debts.
The solution to the problem is very simple: use only cash. If you find that you don't have enough cash to make it to the next month, think about ways to save money. AT next month spend money smarter.
Financial self-control is like riding a bicycle. Learn to control yourself on cash, this is your old bike, which is not a pity. And when you feel confident in yourself, you can switch to fancy high-speed bikes - use credit and debit cards.
4. Go to places where you like to spend money without a card and with a little cash
Most people have places where they are unlikely to be able to resist the temptation and are very likely to spend a lot of money on what they want, without even thinking about the consequences. Cafe. Book store. Electronics store. Clothing store. Everyone has their weaknesses.
Perhaps you are expecting advice never to visit such places again. But this will not teach you self-control, but only the avoidance of problems.
Leave the card at home, you only need some cash. If you have not decided exactly what you will buy, go for the first time without money at all and take a closer look. Then go with a specific amount that you need to pay for a coveted purchase.
This process, especially repeated many times, teaches us to resist temptation. And resistance to temptation is the basis of self-control.
5. Focus on participation, not purchases
Often, busy people buy things just to keep in touch with their hobby or passion.
For example, a person passionately loves to read, but life has developed in such a way that almost always there is not enough time. But he continues to buy books that he would like to read (and hopes to read them sometime later). This is a psychological trap: this is how buying replaces execution.
Do something instead of buying substitutes. If the problem is lack of free time, start by reviewing your schedule.
Being involved in something that interests you is an incredibly effective way to get rid of the obsessive desire to spend more and more money on things that replace actual participation. First, read everything from the accumulated pile of books, and only then buy new ones.
6. Choose the right communication format
We all go out to meet other people, spend time away from home and participate in some kind of social activity. Most often, such meetings take place in clubs, restaurants, shops and other places where you have to spend a lot of money.
For example, you go to dinner with friends, then you go to the movies, and then you decide to go to a bar. And your wallet is already missing a couple of thousand rubles.
Beware of this form of communication. You don't have to spend a lot of money to have a good time with friends. For example, you can meet at someone's house. Or any other place where spending money is not a defining activity, but part of the experience: play football in a nearby park or go on a picnic.
Perhaps some of your friends will refuse such a pastime. Well, this is a great test to determine which of your contacts are more interested in going out and spending money and who wants to hang out with you.
7. Keep a close eye on your expenses and review them periodically
The biggest challenge when tracking expenses is that people usually don't have one place where they can collect data on all spending and see where the money goes.
The solution is simple: track your expenses and write down where you spend every penny. For convenience, you can break down all expenses into categories: food, entertainment, clothing, household chemicals, transport, large purchases, communal payments and so on.
You can use one of the applications to control personal finances. For the same purposes, both a regular notepad and a spreadsheet on a laptop are suitable. No matter which tool you choose, the goal remains the same: record your spending every day, sort it into categories, and analyze it to see which categories you overspend.
Such a revision of spending is almost always a discovery for a person. Think carefully about the categories of expenses that hit you the most. Were these purchases really that important to you? Probably not. What expenses or specific monthly purchases can you completely cut out? At least there are a few of them for sure.
8. Automatically transfer money to a savings account
There is one famous old rule - pay yourself first. This means that the first thing you should do is pay off your debts and save money for the future, and only then decide how to live on the remaining amount.
The easiest way to stick to this rule is to automate the process. As soon as the salary arrives on the card, immediately transfer 10% to your savings account. If your bank has such a service, make sure that utility bills and loans can also be paid immediately.
The more operations you can do on the machine, the better.
9. Ask close friends and family for help
A trusted circle of friends and family members can be very helpful when it comes to personal change, which includes gaining financial self-control.
At the very least, they can give you a very helpful tips that suit your situation and the qualities you have. They know you. They know almost everything about your affairs, and sometimes even better than you.
In addition, it is always great if there is a person nearby who cares about you, provides support in a difficult moment. Just talk to someone when things start to change in your life. It's great motivating.
Also, your friends and family can be great role models. Perhaps you have a friend who has reached the same financial goals that you are planning to achieve. Use him as a guide to follow the same path. Learn from his experience.
10. Don't give up when things don't work out.
You can make a mistake once or twice when planning your expenses. You can buy something without thinking. You can make a purchase that you will later regret. You may think that self-control is not about you at all and you should not even start.
Do not worry. Financial progress is the story of two steps forward and at least one step back.
The goal is to strive to be better than you were before. If you make a mistake, don't dwell on it. Instead, understand the reasons for your behavior and try to avoid it in the future.
