Guides to Live Debt Free Life in Year 2013

One of the most stressful life people usually live with are the debt they own in their whole life or are trapped in bad credit history with poor credit scores. People with large debt mostly lived with trouble even worst life and always finding new ways to manage their day to day expenses, home loans, cover utility bills, credit cards bills or other loans. Dealing debt with real care, sensibly and by making hard decisions in life prevent you from being in debt for a long period of time – make you to live a happy and healthier life forever.

Are you trapped in long term debts? Having trouble in repaying your debts? Are your expenses exceeds your income? Do you think it’s difficult to get out of all debt troubles?

Here are few of the best guides to get out of debt in year 2013 to live free and happy life.

List All Debt Problems and Plan Accordingly

Starts by listing down all debt problems you are involved in. Make a list of all debt you have from small to larger and sort it out with the most trouble ones at the top and less ones at the bottom. List down all sources of your debts those in the form of credit cards, home loans, car loans, or personal loans etc. Make your best plan to get rid of troubles by considering the higher interest rate debts first and try to reduce higher interest charges through consultation and negotiations with the debt lenders. Plan to pay off all debts gradually in monthly regular instalments and where possible add your monthly savings to next month instalments as it reduce your debts as well interest charges on it. Remember an effective planning get you out of depressions and troubles earlier and open new ways to pay off your debts.

Adopt Frugal Life by Budgeting, Savings and Reducing Costs

Live frugal life until you pay your all debts by making best monthly or weekly budget plan. Don’t exceed your budget rather try to cover your all expenses within your budget. Save more money by spending less on your day to day expenses and abandon your all extracurricular activities. Try to buy cheap items and go for reasonable branded shopping those under your budget. Change your spending habits as much as you can and avoid all unnecessary activities – will keep us right back  on our track.

Reduce Credit Cards Spending and Avoid Further Debts

Why not to go for using cash instead of credit cards. Avoid spending through credit cards and adopt habits of spending either through cash or using debit cards – as one of the most convenience way of debt free spending without using cash or credit cards. If necessary go for cheap credit cards with minor interest charges on total spending and have no hidden charges.

Willing to reduce your debt by borrowing additional high interest debts will indulge you in more debt problems. Avoid additional debt to pay your current debts and kept eyes on unlawful charges on your overall borrowings. However, you can go for Government’s interest free social fund or low interest borrowing to cover your existing debts.

Consult with your Lenders and get Credit Counselling Help

Best and most suitable way to come of out of debt problems is to consult with your lenders before you will be regarded as a bad creditor. No doubt many lenders help you to get bad credit loans but on higher interest charges with high security deposits. If you need a loan with bad credit you will have to follow the guidelines and requirements of lenders to build trust.

You can get help from your family members, relatives, friends, or through free credit counseling organizations operating within a country. Credit counselling agencies negotiate with your lenders for debt removal or ease in interest charges and also help in stopping debt collect harassments.           

Change your Lifestyle and Thinking

Live a unique and simple life without using any expensive things or luxuries. Live simply by figuring out all unnecessary requirements and expenditures. Try to wear simple, eat simple, travel within our budget or even plan your whole life within your budget in simple ways. Change your way of thinking by giving importance to each penny you have and try to save each dollar where possible.

A dramatic change in your lifestyle, thinking, and by following guidelines above helps you to tackle all debt depressions and long term problems to live happy and prosperous life in year 2013.