As people say, there are only two things that are constant in this world – debt and taxes. There is nothing that we can do about taxes but debt is manageable or at least within our control. So how do we get out of debt? How can we be debt-free?
The reason we have debt is due to the loans that we got from the bank, like the bank of America for instance. We also have debts when we have credit cards and use it to buy stuff without paying it on time. When we loan money from our friends or other financial institutions we accumulate debt.
Is debt bad? Not really, it depends on how you use debt. Getting out of debt is much easier when you simplify your debts. You could apply for a debt relief or go for debt consolidation by combining similar debts and similar loans into one. In this manner you will only deal with one payment every month. Then work with your bank or a financial institution to set up monthly payments for your consolidated debt. Then choose either to lower or reduce your monthly expenses or find a way to increase your monthly income.
Personally, I would find an additional source of income to be able to pay for my debt because it’s hard to reduce expenses especially if the expenses are for our fundamental needs to live. There are a lot of ways to do to earn extra income. There are ways that would not require money. For instance, having a garage sale at home, selling your old but decent things or clothing at home. You may also try buy and sell, or take freelance projects to earn additional income.
I don’t subscribe to the idea that you get a loan to pay for the first loan. It’s like the second credit card is paying for the first one. This will only bring you deeper in debt, you would have get a debt relief just to stop you from getting deeper in debt. It doesn’t make any sense to pay your debt with a debt. The important thing here is generate or allot a certain amount to pay for your debt every month until it is paid off. Nothing ever feels comforting and peaceful when all your debts are paid off. I know being debt free is possible and you can too, I know people who were in debt before and now they are debt free. Believe that it can be done, and you will achieve it.
