• Our Guarantee to Our Clients

    We promise to represent your best interests and keep you fully informed.

    Read Our Guarantee
  • Bankruptcy eBook

    Get a FREE eBook to become more familiar with the bankruptcy process.

    Download It Here
  • Our Video Center

    Click here to access a list of our firm's videos.

    Get More Information
  • When You're Ready To Talk

    We're ready to listen. Contact us to receive a free initial consultation.

    Request a Consultation

4 Ways to Get Your Debt Under Control

No matter where you are in your walk of life your debt has gotten out of control one way or another. If you’re one of the lucky ones and have managed to get by without having large amounts of debt consider this article a way to plan for the worst. If you follow these steps precisely you can and will have 4 ways to get your debt under control.

Step 1. Stop spending and start saving.

The reason you got into this position in the first place is because you were doing more spending than saving or spending beyond your means. Stop using your credit cards to fund your entertainment expenses and no more financing new furniture. Focus on the debt you currently have and figure out a plan of action to pay it off before you have a major financial crisis. Please proceed to Step 2.

Step 2. Figure out a plan of action

Organizing your debts is the key to figuring out a way to pay them off. If you don’t know where your money is going and who to pay you’ll be digging yourself deeper into the hole. List your bills by the debtor and how much you owe. Once you have double and triple checked your list organize the debt from smallest to largest and if possible include the interest rate. Once your plan of action is complete proceed to Step 3.

Step 3. The Snowball Plan

The snowball plan is simple. Make minimum payments on all of your debts except for the smallest bill (which is why we made a list earlier). Throw any extra money that you have and pay off that debt completely. Once the smallest debt is paid off use the minimum payment from that debt to pay off the next smallest bill. That way you’re snowballing your payments which allow you to pay off your debts more quickly. For more information on the snowball debt consolidation plan please visit The Debt Snowball Plan.

Step 4. Plan for the Future

By following the snowball plan you should be completely debt free in less time than you would take trying to make several overpayments to all of the debts at once. At this point, the best way to keep from having debt issues is to have an emergency fund of $1000. Most people acquire debt initially because they had an unfortunate emergency that caused them to have to borrow money or finance their way out of the situation. Having emergency money put away for such occasions allows you to the freedom to use your own funds without eventual repercussions. SaveAndInvest.org has a great step-by-step process that shows you exactly how to set aside specifically for your family's emergency fund here.

Those are just 4 Ways to Get your Debt Under Control and snowball your way to financial freedom. If you have any questions about obtaining your financial freedom and want to seek the help of a certified financial professional don’t hesitate to contact us here.

Categories: Debt
  • Our Guarantee to Our Clients

    We promise to represent your best interests and keep you fully informed.

    Read Our Guarantee
  • Bankruptcy eBook

    Get a FREE eBook to become more familiar with the bankruptcy process.

    Download It Here
  • Our Video Center

    Click here to access a list of our firm's videos.

    Get More Information
  • When You're Ready To Talk

    We're ready to listen. Contact us to receive a free initial consultation.

    Request a Consultation

When You're

Ready to talk

Our firm is ready to listen. Call for a FREE case consultation.

Call Toll-Free 888.910.6652

"The Law Offices of James C. Shields is located in Torrance and proudly serves clients all throughout the South Bay including:

  • Long Beach
  • Carson
  • Irvine
  • Los Angeles
  • Palos Verdes Estates
  • Huntington Beach
  • Hermosa Beach
  • Redondo Beach
  • Manhattan Beach
  • Newport Beach
  • Costa Mesa
  • El Segundo
  • Rolling Hills
  • Hawthorne
  • Playa Del Rey and Culver City
Law Offices of James C. Shields - Torrance Bankruptcy & Estate Planning Attorney
Located at 21707 Hawthorne Blvd, Suite 204
Torrance, CA 90503.
View Map
Phone: (888) 910-6652
Local Phone: (310) 626-4404

Website:
© 2017 All Rights Reserved.