5 ways to get debt relief from credit cards

5 Ways to Get Debt Relief from Credit Cards

Credit card debt is a problem for many Americans. For many people keeping up with monthly credit card payments is increasingly difficult. Causes vary. An illness, job loss, low income, or poor spending habits may be at the root. Spending more than you earn is very easy to do, especially with the convenience of a credit card.

If you cannot make your monthly credit card payments, act immediately! It’s easy to get caught up in increasing debt. You may not be able to break free without the help of a debt relief professional.

What types of debt relief help are available? We’ll discuss some options that may help you pay off debt. Hopefully, you can use these options to pay off your debt and start enjoying a debt free life.

What is Debt Relief?

Debt relief wipes out some, or all, of your existing debt. You may be able to negotiate, or settle, your loan amount with the creditor. You may be able to lower the interest rate or even eliminate your entire debt.

Your situation is unique, and no one method fits everyone. Explore your options carefully and pick the one that makes the most sense for your situation.

Get a Free Consultation and find out how our Debt Settlement Program can start helping you live a debt free life today!

What Are My Debt Relief Options?

  1. Make Your Monthly Payments – Use our Credit Card Interest Rate Calculator to see exactly how much you’ll be paying on interest and principal.
  2. Debt Settlement – negotiate a lower balance on your debt amount
  3. Debt Consolidation – taking out a loan to pay off other debts
  4. Debt Management – working with a credit counseling agency
  5. Bankruptcy – a legal remedy to settling out of debt. Make sure to consult a lawyer in your area for more information

The last four options come with credit consequences on your Fico score. However, not paying your debt on time may also result in negative credit consequences. The biggest benefit of paying off your debt is that you will be able to rebuild your credit later. You can improve your credit score with effort and learn better money management skills.   

There are several types of debt that can not be eliminated or settled. These include child support, student loans, and other secure loans.

What Do Debt Relief Companies Do?

Debt relief companies negotiate on your behalf with your creditors to help settle your debts. The debt specialists have worked with thousands of creditors. They know which creditors are willing to work out solutions and which are completely unwilling to settle.

Debt specialists know state and federal laws that govern lawsuits, collections, and statutes of limitation. Your debt specialist will guide you through each step of the process. The credit repair program takes two to four years and you’ll be in contact with your debt specialist at least once a month.

Once your debt is relieved, a reputable credit repair company will help you repair your credit rating. A good credit score makes it easier to buy a car, get a mortgage or even get better rates on credit cards and loans.

Steps Debt Relief Companies Take

  1. Your debt specialist will access your free annual credit report from Equifax, TransUnion, and Experian. You are entitled to one report each year, but they can be confusing. A debt specialist will guide you through the report.
  2. A debt specialist will go through your budget with you to see how much you can afford to pay each month
  3. Your debt specialist will work with your creditors to help settle your debts. They may be able to lower interest rates, settle on a lower amount, or even get the entire debt erased.

Who’s the Best Debt Relief Company For Me?

Pacific Debt has an excellent track record with credit repair. In business since 2002, they are in downtown San Diego. Pacific Debt has earned an A+ rating from the Better Business Bureau and is a BBB Accredited Business. They have settled over $200 million dollars in consumer debt. BestCompany.com ranks them as one of the best debt settlement companies.

Pacific Debt offers a free consultation. Their debt specialists will perform an in-depth analysis of your debt and advise you on your options. They ensure that you understand all options and all the program details. Depending on your financial situation, Pacific Debt works with you to have you debt free in one to two years. The company does not make money unless your debt relief program works for you. You have nothing to lose and every to gain by contacting Pacific Debt for your free consultation.

Read real reviews from people who have used Pacific Debt to settle their credit.

A Certified Debt Counselor can help you from Drowning in Debt!

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How to stop drowning in credit card debt

How To Stop Drowning in Debt – A DIY Guide

Learn How To Stop Drowning in Debt Yourself

People fall into debt each day – it might just be a national epidemic. The problem with being in debt is that once you’re in, you’re in! It’s very difficult to get out of debt because it can be a financial trap.

If you can’t keep up with your credit card payments, or miss a payment, your credit will take a nose dive right into the toilet.

Cash is king, but good credit is just as important! Most people do not have cash reserves for a big purchase and must depend on credit. This is where good credit can be a godsend. Let’s discuss the necessary steps to take to keep you from drowning in debt.

Figure Out Your Debt Situation

Your first step in getting out of debt is to identify all your debt.

  • Get a copy of your credit report from annualcreditreport.com or creditreport.com. This gives you a list of all your creditors
  • Figure out the current debt amount, interest rate, monthly payment, due date and any other important information
  • Record all this so it is very clearly laid out

Once you have all the information you can make an informed decision. It might be depressing but it is important to know.

Most experts encourage you to pay off the highest interest debt first. Others suggest paying off the smallest debts first. Sometimes paying off the smallest debt makes you feel like you are making progress. It depends on your unique financial situation.

You may be able to refinance or renegotiate terms, interest rates, and other debts. Many people are drowning in student loan debt. Student loans are difficult to renegotiate, but refinancing can be done.

If you need help learning what your interest charge on purchases will be, try our finance charge calculator.

Start a budget

Next, find out where all your money is going. Write everything down. Include where your cash is going, where you use your credit card, and what you can eliminate.

This is the basis of your budget. Budgeting doesn’t have to be a chore, but it is the only way you are going to get out of debt.

Your budget should include necessary and discretionary expenses. Your budget should consider the following, although you may not have expenses in every category. Don’t forget annual expenses like car registration.

  • Housing
    • Mortgage/Rent
    • Property Taxes
    • Household Repairs
    • HOA Dues
  • Utilities
    • Electricity
    • Water
    • Heating
    • Garbage
    • Phones
    • Cable
    • Internet
  • Groceries
    • Food
    • Alcohol
    • Toiletries
    • Cleaning Supplies
  • Personal Expenses
    • Gym Memberships
    • Hair Cuts/Salon Services
    • Cosmetics
    • Babysitter/Child care
    • Child Support
    • Alimony
    • Subscriptions
  • Transportation
    • Fuel
    • Tires
    • Oil Changes
    • Maintenance
    • Parking Fees
    • Repairs
    • DMV Fees
    • Vehicle Replacement
  • Healthcare
    • Primary Care
    • Dental Care
    • Specialty Care
    • Medications
    • Medical Devices
  • Clothing
  • Gifts
  • Emergency Money
  • Entertainment Money
  • Household Supplies
  • Insurance
    • Health Insurance
    • Homeowner’s Insurance/Renter’s Insurance
    • Auto Insurance
    • Life Insurance
    • Disability Insurance
    • Identity Theft Protection
    • Longterm Care Insurance

Figure out how much you spend in each category. Be honest. If you eat out every day, include that! Now you have a good picture of where your money is going and how much/where you are spending it.

Your next step is to decide necessary and discretionary expenditures. You may have to give up eating out, drop a gym membership, or stop buying coffee for a while. It won’t be forever.

See if there are places you can cut down your necessary expenses. Could you get a less expensive car, move to a new place, or save money on other expenses?

Do What You Can Yourself

  1. Consider refinancing debt
  2. Call credit card companies, etc. and renegotiate your interest rates
  3. Drop or decrease expenses
  4. Consider consolidating debt through a home equity loan
  5. Use cash to avoid the temptation to whip out a credit card
  6. Wait 24 hours before purchasing a non-essential item
  7. Add another/better job if possible

Get Professional Help Paying Off Debt

A debt elimination agency may be able to help you set a budget, renegotiate interest rates, and teach you how to manage money more effectively.

Ask about

  • Services offered – look for a range of services
  • Free educational information
  • Developing a plan for the future
  • Fees/Contributions – get them in writing
  • Contracts or Agreements
  • State Licensing
  • Counselor qualifications and how they are paid (commission, etc)
  • Security of personal data

Getting into debt is easy. Paying off debt is what takes work and effort. Following these suggestions can definitely help you to stop drowning in debt.

A Certified Debt Counselor can help you from Drowning in Debt!

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Different Types of Credit Cards

What Types of Credit Cards Should I Have?

Different Credit Card Types For Different Reasons

There are many different types of credit cards available today but which credit card is perfect for you? Though the first official credit card is nearly 70 years old, the idea of buying items for immediate consumption and paying for them later has been around since 1865.

However, it’s only been in the last few decades that companies have expanded the types of cards they issue. There’s an ideal fit for everyone, depending on your goals, financial situation, and credit history.

In this article, we’ll provide a brief description of all your choices and help you narrow down the selection to one that’s right for you.

Why Should I Have a Credit Card?

Admittedly, a credit card can be dangerous. There’s something about the idea of not having to immediately pay for something that can make money seem almost unreal. The average US household owes more than $16,000 in credit card debt, further demonstrating the appeal (and potential danger) of “buy now, pay later.”

However, credit cards can also be incredibly helpful for the following situations:

  1. Emergencies: If your car breaks down, and you’re nowhere near payday, paying on credit may be your best choice. This is especially true if your paycheck has already been spent on other expenses. Having a credit card allows you to pay back the purchase over time and on your own schedule.
  2. Convenience: Remembering to have cash on hand can be a headache. Being able to pay for something, regardless of how much money you have in your wallet is a first world convenience.
  3. Rewards: Some cards, which we’ll discuss in a moment, come with rewards. If you’re saving up for a vacation or need to earn airline miles for a trip, a credit card can help get you there faster.
  4. Build a credit history: If you plan on buying a house, car or taking out a business loan, credit cards help you build a solid financial history. Many lenders won’t allow you to borrow unless you can show that you’ve handled credit responsibly. Click here for tips on buying a home with bad credit.

What Are The Different Types of Credit Cards?

Annual Membership: These cards come with a yearly membership fee. Typically, the fee comes in exchange for higher rewards. American Express was the first company to charge a membership fee, and most of their cards also require full payment of each month’s balance.

Other companies, such as Capital One, have recently followed suit with cards that charge an annual membership, though these cards don’t always come with rewards. Instead, it’s more like an insurance deposit for those with spotted credit history.

Rewards Cards:

As the credit card business became both more competitive and lucrative, more companies duplicated the American Express model of offering rewards for using their cards. However, many waived a membership fee.

Now, you’ll see rewards credit cards offering cash back on purchases ranging from one to two percent on airline miles, hotel stays, gift cards, merchandise, and more.

Airline Specific Credit Cards:

In an effort to diversify revenue streams, airline companies have begun issuing credit cards. Some can be used anywhere as a regular credit card, while others are only for use with the airline. Using these cards allow you to earn airline miles that you can use on future flights. For universally accepted cards, you’ll often get bonus points when you sign up or make purchases from the airline or at the airport.

Low Interest Credit Cards:

Some cards offer very low or zero interest for an introductory period. This is helpful if you need to make a large purchase and plan on paying it off before the regular interest rate kicks in. These cards are often reserved only for those with top-tier credit.

Gas Cards:

Gas stations have been issuing credit cards for decades to encourage brand loyalty. Some can only be used at gas stations, while others are universally accepted. Most will give a cashback reward for general purchases (usually one percent) and pay you back five percent for purchases made at the gas station.

Retail Cards:

Many department stores and retail stores have their own credit cards that they issue to loyal customers. This allows retailers to recoup some of the credit card transaction fees while also using consumer behavior for market research.

These cards are worth it if you get a discount on an initial purchase and cash back for repeat purchases. Otherwise, it’s just another hunk of plastic to keep track of and an additional bill to remember to pay on time.

Business Credit Cards:

A business card is similar to a personal card, but with some additional perks. There may be lower fees, better rewards, and higher credit limits. In addition, you can often add multiple members and allocate different credit limits for the users. For example, if you run a business and have employees who travel, you can issue cards to employees and allow the ones who travel the most frequently to have higher credit limits than those who don’t.

These cards also offer helpful reports based on business and personal expenses, which helps keep your finances organized if you mix business with pleasure.

Student Credit Cards:

College campuses are notorious for signing students up for credit cards and offering them free gifts like toasters in the process. A student card often comes with higher fees and lower limits, but if you’re a young adult with limited credit history, this is an ideal way to start small with charges and prove that you’re responsible.

Secured Credit Cards:

If you’re in the process of repairing bad credit and trying to rebuild, you may not be able to get approved for a regular line of credit. In cases like these, you may need to get a secured card. This requires you submit collateral that’s valued at an amount equal to or greater than the amount of credit you’ll be able to use.

There may even be fees involved. It’s definitely not ideal, but if you’re recovering from a financial crisis and need to rebuild, it might be your only option.

Pre-Paid Credit Cards:

These cards aren’t actually credit cards, but they serve a similar function in allowing people with poor credit histories to use something that resembles a credit card. Instead of submitting collateral, you pay funds in advance and “load” the card with funds. Then, you can use it as a credit card.

Often there are fees involved to reload and apply, so double check and compare the options before making a decision to use one particular credit company.

Which Types Of Credit Cards Should I Have?

Your lifestyle will determine the best credit card for you. Think realistically about what you plan on using credit cards for, your credit score, and what you hope to gain from a credit card.

For example, if you have average credit and you’d like to plan a vacation, you should try a general rewards card or an airline card.

If you’ll be paying your balance in full each month and want the highest rewards, you might want a premium membership card like American Express.

For people trying to rebuild their credit, you’ll have to shop around. Be prepared for rejection, but don’t settle for anything that’s unfair. A secured card or a card with a membership fee may be your best bet.

There are countless scenarios, so again, think about your goals and choose from there.

Is There A Perfect Credit Card for Me?

While there’s no one perfect card, we do highly recommend rewards credit cards that offer cash back and other bonuses. Most major banks issue them, and the interest rates are relatively consistent, depending on your credit history. We suggest choosing one that has the highest daily rewards percentage but also has quarterly events that can double, triple or quintuple your rewards.

For example, a credit card may give five times points at all grocery stories for an entire quarter. Often, it caps at a modest amount, but you’ll still be getting significantly more rewards than you would without the event.

The Final Credit Card Conclusion

Credit cards are convenient, easy to use, and new technology is making them more secure than ever. Most companies are eager for your business, even if your credit is less than perfect, so before committing to a card, shop around for the best rates and highest rewards.

If you’d like to find out exactly how much money you’ll be spending on principal and interest, check out our Credit Card Interest Rate Calculator.

Certified Debt Counselor can help you get rid of debt and stay out!

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How to spot financial scammers

How to Spot Financial Scammers

Perhaps the more difficult part about making money, is actually keeping it. We have expenses, debts, and everyday necessities that need to be fulfilled before putting our money safely into our bank accounts. Sadly, we’re also losing money to sheer gullibility.

Anthony R. Pratkanis points out that “every year, Americans lose over $40 billion in telemarketing, investment, and charity fraud.” Why do we fall so easily to financial fraud? Why are we so gullible? Debt is a burden that most of America is trying to overcome. It is also a burden we would do anything to shake — this means we are willing to fall for financial fraud because we want to believe there is a quick way, an easy way, and a shortcut to breaking free of debt.

According to Comet, 80.9% of baby boomers, 79.9% of generation x, and 81.5% of millennials are in debt today. That’s a huge portion of our economy that is just trying to keep its head above water. Put in this perspective, it’s easy to see that you aren’t alone. Unfortunately, this rising percentage of debtors has awoken a different kind of corruption beyond simple debt — financial scammers are targeting those in need of debt relief.

So how do you spot the scammers? How do you shake the financial sharks?

Grow Confident, Gain Knowledge

We succumb to scammers because we want the easy, quick way out — that is our first financial mistake. We must learn to become confident and independent.

The first step is to improve your own financial decision-making ability. Though you’re currently in debt, that does not mean you can’t grow, learn, and adapt. You should be aggressively attempting to learn everything you can about finances — you must believe that you can dig and claw your way out of this financial predicament.

A key component to gaining confidence is to prepare correctly. As Dante put it, “The arrow seen before cometh less rudely.” So put the time in to prepare for your upcoming challenges. For example, if you have struggled with filing taxes, prepare your documents beforehand and stay organized so that, when the time comes, you will be able to get a bigger tax refund in less time and with less stress.

If you have made financial mistakes in the past (as we all have), it’s time to get over the guilt. What did you do wrong? How do you get past it? What decisions should you make in the future to avoid similar mistakes? It is absolutely vital that you ask yourself these questions before achieving financial freedom.

Though sometimes we must lean on the advice of financial experts, your confidence can only quicken the speed at which you approach financial stability. Whether you are currently employing a debt relief service or are thinking about it in the future, you should be strengthening your personal financial responsibility.

Scamming Scare Tactics

I have received several calls and messages over the past few weeks that start out with phrases like “this is your final notice before we terminate” and then end with something like “lower your credit card rates.” Though not exactly a scam, the company that keeps calling me

Scammers will often use extreme language to evoke feelings of urgency. Words like “terminate,” “final notice,” and “warning” are meant to alert you to a fake-serious situation.

First of all, I do not currently own a credit card, so it was pretty easy to spot the scare tactics. However, even though I did not yet know what the phone call was about, I could not help but feel my heart flutter just a bit. Fear is the most common friend of financial scammers.

Nobody wants to lose thousands of dollars, so scammers will usually promise to instantly end some looming threat of debt. Quick debt relief is a goal that hasn’t quite been achieved yet. Most debt relief companies can square issues away between 24-48 months. Even for financial experts, debt relief is a process. Don’t be fooled by those who promise to wipe away a debt in just a day.

The Most Common Scams

While many scammers use scare tactics, there are many others that will play on all of your emotions to get your money. Don’t fall prey to the most common scams that promise wealth, safety, or security in exchange for personal or financial information.

According to ConsumerFinance.gov, some scammers will pose as members of the “nonexistent ‘Consumer Protection Bureau.” Government officials at the CFPB continue, adamantly stating “This is not us. We are the Consumer Financial Protection Bureau, or CFPB. Some scammers may claim to be with the Federal Trade Commission’s (FTC) Bureau of Consumer Protection. Others may claim to work for the CFPB or FTC, but neither of these agencies calls consumers to alert them of winning a lottery or sweepstakes. ”

The CFPB also warns that scammers will often claim that they are from the IRS and that you owe debt. Such scammers threaten lawsuit or arrest if customers refuse to pay. It is important to note that debt collectors cannot use unfair or abusive collection tactics — such threats would be considered illegal collection tactics. To avoid tax identity theft, try staying ahead of your taxes, carefully inspect your credit reports, and be ready to freeze your credit if you suspect identity theft.

Read Up on Financial Services

Never accept a financial service without first looking at customer reviews. If you are considering working with financial experts to relieve your debt and lift your burdens, be sure that the company has the requisite accreditations (like the AFCC and the IAPDA for debt relief companies).

Customer reviews should act as a supplement to all of your research into each individual company. If you find that the vast majority of customer reviews oppose what the company or service claims, then you should move on. On the other hand, if you find a debt relief service whose customers support the company’s claims, you know when you’ve found a reliable and trustworthy company.

No matter your financial situation, you are always in danger of financial scams. Always be skeptical of those who threaten and ask for personal and financial information. Do not be intimidated by cheap scare tactics or promises of quick wealth. Your confidence and ability to spot a scammer will protect you on your personal path to financial wellness.

How to buy a house with bad credit

How to Buy a House with Bad Credit in 2018

How to buy a house with bad credit is one question we hear from our readers often. You may have been told that buying a house with bad credit is a virtual impossibility; or if you somehow manage to get a mortgage, you’ll be hit with a cripplingly high-interest rate. While it is unquestionably tough to purchase a property with poor credit, neither of the two statements above are correct. There is a program that can help you when you are looking at buying a house with bad credit and it provides you with a reasonable loan rate.

Mortgages usually have out-of-reach requirements for those battling poor credit. Borrowing for a house is the biggest expenditure most people ever face and lenders will get personal to deduce your creditworthiness. You’ll need to show information about your student loans, auto loans, credit card balances, outstanding medical bills, and all other financial obligations.

Lenders use this information (along with your pay stubs) to calculate your debt-to-income ratio. If this ratio is too high, you’ll be denied. Most lenders want this ratio below 36%, meaning your monthly debt payments must not absorb more than 36% of your salary.

Talk to one of our debt specialists for FREE. They can help answer any questions you may have when looking to buy a house with bad credit.

What is Classified as a ‘Bad’ Credit Score?

Every credit reporting agency calculates a Fair Isaac Corporation (FICO) score based on your credit information. This score can range from 300 to 850. A score of below 580 places you in the bad credit range.

Your credit score is based on the following information:

    • Payment History
    • Debt-to-Credit Utilization Ratio
    • Credit History Length
    • New Credit
    • Types of Credit

While there are ways to boost your credit score, they take time which isn’t helpful if you’re buying a home with bad credit in the near future. Fortunately, it could be possible to benefit from a Federal Housing Administration (FHA) loan; a low-interest mortgage offered to applicants with bad credit scores.

Am I Eligible for an FHA Loan?

Just to be clear, the loan is ‘backed’ by the FHA but you still need to deal with lenders. The FHA loan is theoretically available to applicants with a credit score of 500-580. However, prospective lenders can still turn you down and up until 2017, it was difficult to get a loan with a credit score of under 620. As of December 2017, 23.6% of applicants with a credit score of 600-649 were approved for an FHA loan; only 5.25% of applicants were approved with a credit score of 550-599.

The FHA loan program was implemented in 1934 and has helped over 40 million Americans to achieve their dream of homeownership. It recently announced that it would be sweetening the deal for lenders and the new changes could help 100,000 extra families own a home each year. Here are the organization’s credit score minimums; please take note of them if you are intent on finding out how to buy a house with bad credit:

FHA Loan Requirements

    • A score of 300-499: Not eligible for an FHA loan.
    • A score of 500-579: Eligible with 10% down payment.
    • A score of 580+: Eligible with 3.5% down payment.

Unfortunately, there are no programs for people with credit scores below 500. Indeed, mortgage experts suggest that there is little possibility of a loan with a score of under 530.

As you can see, you need your credit score to be above 580 if you wish to benefit from the 3.5% down payment option. For the sake of calculation, it means you can buy a $300,000 house with a $10,500 down payment. If your score is between 500 and 579 however and you are approved, you require a 10% down payment which is a substantial sum of $30,000.

Bump Up Your Down Payment On a House

While this is admittedly a difficult undertaking, it is one of the best ways to buy a home with bad credit. Some lenders will approve you for a home loan even if you have poor credit, so long as you make a significant down payment. As you’ll need 20% of the home’s purchase price just to avoid Private Mortgage Insurance (PMI), most lenders will expect applicants with bad credit to put down 30% of the property’s price. Using our hypothetical $300,000 example, you’ll have to save $90,000!

What a Bad Credit Score Does to Mortgage Rates

A 100-point drop in your credit score could add 0.25% or even 0.5% to your rate while a person with a good credit score can expect a rate of at least 1% lower than someone with a poor or bad credit score. If you receive a 30-year fixed rate loan of $300,000 at 4%, your monthly payments are around $1,300. At a rate of 5%, those payments increase to over $1,500. Over the course of your mortgage, that 1% difference equates to over $40k extra in interest! We encourage our clients and readers to visit our Credit Card Interest Calculator to get a better idea of how much you’ll be paying on interest and principal.

You Can Buy a House with Bad Credit, But Try & Give it a Boost First

While it is untrue to suggest that bad credit will prevent you from becoming a homeowner, it will make things harder. If you are unable to get the FHA loan, you’ll have to save up a large down payment and lenders will issue a higher interest rate because they see you as a greater risk. Check your credit report for errors, pay high-balance and high-interest credit cards first, and try to make all loan payments on time. Also, don’t forget to check out our finance charge calculator to see exactly how much you’ll be paying on interest and principal.

Find out how a Certified Debt Counselor can personalize a Debt Relief Program for you today!

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Financial Anxiety

Financial Anxiety and How to Battle It

Financial Anxiety

Current internet articles, posts, and headlines are filled with descriptions of the financial issues troubling many Americans. Layoffs, tax debt, and bankruptcies can add to the financial stress, and according to the American Psychological Association (APA), it’s taking a huge toll on our health.

While the country continues to recover from the recession, many of us still feel the weight of crushing debt. Unfortunately, prolonged financial stress can negatively affect our physical, mental, and emotional health. The good news is that help is available. Options like relief from tax burdens, debt management programs, and budgeting strategies can provide hope for anyone feeling the pressure of financial stress.

Managing that stress and finding support are essential to a journey towards financial wellness. Here are some tips for battling financial anxiety:

Know Yourself

No matter what you are going through, there is one person that you can always count on — yourself. Money problems aren’t necessarily your fault. However, your attitude will be one of the greatest determining factors for success. When you are surrounded by debt, with no end in sight, you can do two things: you can worry and stress about your problems, or you can embrace the experience as an opportunity for growth and learning.

Think about your financial problems as financial bloggers think about their money problems. They look at their finances as a resource for learning; once they learn what they need to thrive, they turn around and teach others. This learn-then-teach attitude is a healthy way to approach debt and desperation. Your debt is both an obstacle to overcome and an opportunity to become financially savvy.

Look for Support

Dealing with financial issues is stressful. However, perhaps the most difficult part is accepting help (either financial or emotional) from those around you. The APA lists social support as one of the most useful tools in the journey to battle financial anxiety. The APA recommends the following strategies to grow your support network:

  • Cast a wide net. Nurture relationships with all types of people, e.g., co-workers, friends, family, religious leaders.
  • Be proactive. Be confident enough to approach others about your struggles.
  • Take advantage of technology. Use apps, blogs, and other resources available to reach others. Find the best budgeting apps to increase your savings and create a plan to escape your debt.
  • Follow your interests. Use your hobbies to connect with others.
  • Seek out peer support. Blogs are a great way to connect with people in the same situation.

Help Others

Teaching others what you learn can be an important step on your path to financial peace. Consider sharing tips, strategies, and experiences through a blog. You will discover two things when you seek to help others learn how to establish financial goals: support can be found by supporting others, and the fastest way to learn is to teach. And who knows? You may even find another career path offering online financial advice.

Aggressively Seek Financial Freedom

The options for escaping debt are as numerous as the avenues for falling into debt. You should be seeking any and all viable options for relieving your financial burdens. Debt management and debt consolidation are feasible options for those with considerable debt. Budgeting, investing, job-seeking, raise- or bonus-seeking, and side hustles are all good ways to save.

Your journey to financial wellness will likely start out slowly. Yet, if you use the right money-saving methods, then before you know it, you’ll be racing down the road to a brighter financial future.

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