If you have read my book, The Family Bankruptcy Method by Dr. Rice, then you know I am all about using practical common sense when it comes to money. It has taken me a lot of years to figure out the most effective ways to help my clients get out of debt, and I've been teaching financial freedom for more than fifteen years. In this book, I share with you some of the most helpful advice I can provide, in order to get you on the right track towards financial freedom.
There are many different sources of help for getting out of debt. Some of the best include consumer credit counseling, legal assistance and contacting your creditors. Each of these options takes time and requires commitment on the part of the individual. As you work to pay off your credit card debt, the pressure will be on you to increase your payments, in order to stay ahead of the game.
One of the best ways to lower your monthly expenses and put more money in your pocket is to establish a budget and stay committed to it. Once you know exactly how much money you have coming in each month, you are better able to plan your expenditures and stick to them. In addition, setting up a budget gives you an incentive to increase your savings, which will in turn help you pay off your debt faster.
Many people mistakenly believe that using credit cards to finance their lifestyle is the way to go. In many cases, credit card debt is the result of poor money management skills, and in some cases, credit card debt is the result of debt associated with bad spending habits. You can avoid getting into debt by following a budget and saving money for the things you truly need, rather than spending money you don't have.
By establishing a monthly budget and sticking to it, you will be amazed at how much extra cash you will have each month. Once your debt is paid off, that money can be used to either pay off debt, or start investing. If you are earning an income, you can save that money to get you out of debt sooner, and you will be able to enjoy your wealth as opposed to being stuck in debt yourself. Another benefit of using credit cards to get out of debt is that . . . . . . you will eventually pay off interest. This means even less money in your pocket each month.
The bottom line is that you can live a more affordable, debt-free life if you avoid using your credit cards. By setting up a monthly budget, increasing your savings, and staying committed to this plan, you can dramatically reduce the amount of money you need to borrow every month, which will allow you to pay off debt faster and live a more financially secure life. By following Dr. Rice's Financial Freedom course, you can become completely debt-free within five years. Not only will you have eliminated the debt, but you will also have increased your savings and be free from high interest rates.