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Become Debt Free by these Proven ideas

Become Debt Free by these Proven ideas

Become Debt Free by these Proven Ideas

Money Management

There’s no denying money can be a slippery and difficult to manage and debt is one of the topics that’s the most difficult to speak up about. But there is an answer on how to become debt free.

More people than ever are currently benefiting from a suitable debt advice. We all understand that debt is a problem and it affects you financially and emotionally. There are solutions to debt problems. You need to speak to a professional debt adviser for your suitable debt solution to become debt free and you will soon realize that why did you not take this advice a few months ago.

Become Debt Free by these Proven ideas

Manage your debt or Keep debt tornado tamed to remain Debt Free

Manage Bills to remain debt-free

  • Re-check your car, home and life insurance to see if you can bring down your payments. I have noticed that we all pay approximately up to10-15 % of our net income towards insurance cost.
  • Check your TV, Broadband and Landline package, you might be paying a higher price now in comparison to initially take a cable package for 18-24 months at half price.
  • We continue to pay for home phone numbers although many of us do not need it now when the mobile phone is handy. It may be useful to discontinue your landline contract if you have an adequate mobile phone service at your home or downgrade to a cheaper package.

Manage Household items to remain debt-free

  • Buy and sell clothes so you can keep new clothing. You may sell your unused clothes online or to local shops that buy old clothes. Do not be a hoarder, you will feel good about it overall.
  • Do not hesitate to enjoy a garage sale if you have a lot of unwanted items as these items may be useful for someone and you may get some money for sale.
  • You may advertise higher/medium quality gum-tree items on Facebook or your local newspaper to get better prices.
  • You may avoid buying famous branded items all the time (Some do) There is a way of buying mostly sale items at a grocery store or generic brands to reduce your cost.

Manage ongoing direct debits and Standing orders to remain debt-free

You may cancel unnecessary expenses (Direct Debits on your bank accounts) like unused gym membership magazine subscriptions, newspapers, manicures, pedicures etc. It is good to consider a “need” than “want” when you are already in debt.

  • You may enjoy Tuesday/Wednesday movies (which comes with insurance deals as buy one ticket and get a second ticket free) or if you enjoy movies regularly, consider for a monthly movie pass which is cheaper in comparison to paying the full two movies price in a month.
  • You may apply for Netflix, Amazon Prime, BT or Virgin media full house movies membership for at-home movie entertainment and save costs on cinemas.
  • It is good to consider work or seasonal part-time work to boost your income, especially during Christmas time.
  • It is good to read books from the library than spending money on them.

Manage food and groceries to remain debt-free

  • You should buy your most expensive groceries in bulk at Aldi, Lidl, Costco or wholesale grocery stores which offer better value for your money: meats, loaves of bread, cheese, produce & paper products. Establish a monthly grocery budget for the additional needs at regular grocery stores.
  • If you decide to take the family for a restaurant meal, skip the mocktails /cocktails and stick with water. Skip the extras too (dessert, etc.).
  • When eating out, share a large entry or have small appetizers instead of a costly meal.
  • You may plan your errands more efficiently to conserve gas.
  • You may find friends with whom you can trade services like haircutting, handyman, photography, babysitting, pet-sitting.
  • When attending any family/friends party, you may give homemade gifts, baked goods, or services rather than expensive presents.
  • It is a fact that boxed and branded cereals are expensive; switch to oatmeal, eggs or fruit for a more nutritional and financial bang.

Manage your utilities to remain debt-free

  • It is recommended to call the utility companies at yearly intervals and check better low energy cost deals and get on a budget plan to give you more consistency with expenses each month.
  • It is a good idea to set a spending limit with family at Christmas and/or draw names.
  • You may use exercise videos, walking or hiking instead of paying for the gym.
  • If your haircut is too expensive, find a less expensive stylist or see if your hairdresser will cut you a break on price temporarily hours did.
  • There should not be hesitation in saying “no” to hosting and/or attending in-home parties where you feel pressure to purchase.
  • Does your family live nearby? Once a week dinner with mom or dad saved us a meal out of our shopping budget. Additionally, it usually led to leftovers and our parents looked forward to our visit each week.

Manage your food habits

  • You may make your coffee at home instead of buying it each day.
  • Try to pack your healthy lunch not once a week, but regularly.
  • You may make extra dinner servings on purpose to have leftovers for lunch.
  • Our dentist advised us we could skip the fluoride treatments if we were using a daily dental rinse, which we did and bought on sale

Manage your temptation

  • It is a good habit to program your thermostat for savings on heating/cooling when you’re not at home.
  • Do you get tempted by certain retail stores? While digging out of debt, avoid window shopping these places where you’ve failed to control your impulses before.

It is easy to say “don’t get into debt”, but these days with the uncertainty of the employment market and bank “throwing” credit at you it is easy to fall into. It is very worrying for people.

My advice is that as soon as you find yourself in a position where you cannot afford the bills and in particular Credit/Charge/Debit Card type of debt, contact debt adviser as soon as possible.  Your debt adviser will get debt plan at a reduced instalment and freeze the interest accruing on the debt, and the sooner your debt adviser informs your creditors, the less they are likely to get aggressive with you.

Do not bury your head in the sand and think it will go away: debt does indeed follow you, quite literally.  Don’t think that by moving address it will disappear: it won’t. Be honest with the Creditors and they are likely to be helpful.

Author:

Rajnish Tyagi is an experienced and Cert DR qualified debt adviser at Acme Credit Consultants Ltd. He specializes in offering suitable debt solutions to clients. He can be contacted at raj@acmecredit.co.uk     

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