Debt can be such a debilitating thing. Not only does it hinder every aspect of your life in a financial sense, but it also lingers at the back, or for front, or your mind, causing you stress and sleepless nights. For many, even a small amount of debt can have these same effects.

And the only way to cure it is to pay it off. But, again for many, paying off debt isn’t an easy task. The main reason people find themselves in this position is due to financial struggles – or, to put it simply, lack of money.

It might be that they have fallen onto hard times, had an emergency, lost their job, or started a new venture and needed the funds to do just that. Whatever the reason, suddenly finding the money to pay it all off plus the interest isn’t something that is anywhere near possible for pretty much everyone in this situation.

Avoiding The Wrong Financial Instruments

Debt isn’t something you should get into lightly. It seems like the easy option at times; when you’re facing difficulties getting one of those quick loans can seem like an easy thing to help solve the situation.

And sometimes it is all you need, particularly if it’s a small amount and you know that you can afford to pay it off at the end of the month; these loans are usually way to get and can look past a bad credit score, however they do also come with a high interest rate to compensate for that.

But other times it can be a high interest loan that didn’t need to be explored just yet. There are so many other avenues to take before getting into debt.

Seek The Right Financial Advice

To start with you should always look at seeking financial advice, there are many free charities and government funded advice centres available to you so why wouldn’t you use them? Give an honest review of your monthly income and spending and they will be able to advise you of where to make cuts and where you can possibly save a lot of money. Having a detailed budget will also help you to see just where you can save money. Having a few months where things are tight is always preferable to getting into debt.

Look For Ways To Bring In More Money

On top of that you can always look into making some extra money. And this is something you can look into to help clear away any debt you have. If you have a particular skill or aptitude, can you start tutoring at a local school or college? You can even sign up to a tutoring agency to help you easily find and manage the new workload. You can also look at taking on a small second job. You don’t want to burn yourself out, but things like child care and dog walking can easily fit around your schedule and can earn a decent amount to pay off chunks of your debt each month.

Sell What You Can To Pay Off Debt

Your debt might be big enough that you need to look into a drastic change to make it go away. If you have any physical assets you can sell, then do so. Moving to a smaller house or to a cheaper neighborhood can make all the difference. Selling your things is never an easy thing, particularly when it doesn’t feel like it’s your choice, but it’s much better to sell them now then to have them taken away by court order further on down the line.

Paying off debt can be extremely manageable and, potentially, easy. Yes it might include a lot of hard work and some very emotional toil, but making this sacrifices now means that your debt is gone quicker and you can start again, debt free.

Get Your Finances In Order

Start by making a detailed budget for your household income and outgoings. Use a simple Excel spreadsheet, but adjust it to fit what you need. For example, you can add in a column which shows a running total of your bank account each step of the way rather than just a total at the end.

This will then show you at which point in the month things become strained, when you might go into the red, what you can cut out, and when you can afford to postpone something so that that doesn’t happen. If you have a birthday coming up, you can see in your budget when, in advance, you can afford to put some money aside to pay for the gift. Planning ahead when it comes to debt is the absolute key to getting out of it. If you don’t plan then you will absolutely no chance of getting out of it without a miracle amount if money falling into your lap.

By setting out a plan, you not only organize your money, but you organize your life. Once you can see everything set out and can see a solution to the problem, then that stress eases up and you can start getting on with life again.

Prioritize Your Debt

However, for some, getting out of debt isn’t as simple as working a little extra or selling some things. In these instances you might need to prioritize your debt. Pay larger amounts to your bigger or higher interest debts to cut them down into a more manageable size. You might have to look into getting a consolidation loan so that you can buy yourself time while also streamlining your debts into one.

Or it might be that you need a loan to pay off a loan that is coming to an end. This is how debt can become never ending, you can’t always fix a debt by taking out more debt – it creates a cycle while also ruining your credit score. If you’re finding it difficult to see a light at the end of the tunnel then contact a debt management charity and seek their help in sorting out your finances.