2018 has nearly come to a close. This new year brings with it new opportunities and possibilities. The start of a new year often carries plenty of reflection on what worked in the previous year and what to improve upon in the upcoming 12 months. When it comes to finances, this can certainly ring true. Debt can quickly pile up if a person doesn’t have a smart approach for getting out of a financial hole. If you owe more money than you’d like to and are seeking a way to pay down debt in 2019, there are a number of strategies you should consider implementing to reach a state of financial freedom.
Make a Debt-Free Resolution for 2019
Before a person can successfully climb out of debt, they must have the proper mindset to achieve their dream of not owing a cent to anyone. This can require a hard look into the patterns that created a negative financial position and what the underlying causes are. Often, a person reaches an unhealthy and unsustainable financial position because they haven’t developed an adequate budget which accounts for all of their costs. Other times, unforeseen expenses can leave a person incapable of making ends meet, causing them to use debt as a tool to cover their financial gap.
Whatever the reason a person went into debt, it’s important that they make the conscious choice to change their situation and to take the steps necessary to make this a reality. Making the resolution to pay down debt in 2019 is the first step towards achieving financial health and security. But simply making a resolution isn’t enough, as an individual needs to create a realistic plan and implement it if they are to achieve their goals.
Useful Tools for Getting Out of Debt
Sometimes, the most simple solution can be the most powerful. First, it’s important to create a budget that you can realistically stick to without feeling as though you are in a financial prison. Tightening your budget doesn’t need to feel like torture. Including entertainment within reasonable means is healthy for budgeting. The key component to making budgetary shifts a reality is to become disciplined and eliminate frivolous or impulsive spending habits.
Another simple, yet important method for getting out of debt is to make more than the minimum payments on your accounts. Paying more than the minimum will allow you to chip away at the principle much faster. Ultimately this will reduce the amount you have to pay in interest over the course of a loan. In order to do this effectively, you may need to temporary find ways to make more money. Look for opportunities such as engaging in the peer-to-peer economy through services such as ride-sharing, grocery delivery, or other on-demand services which allow a person to earn extra income around their schedule.
Many people are not aware that you can contact your financial institution to see if you may be able to renegotiate your loan with terms to be more favorable to you. Though it may seem improbable, oftentimes financial institutions are open to renegotiating your loan as it will make it more likely that you will pay them back. Reducing your interest rate or making your payment lower can be helpful ways of approaching your current debt load. The worst thing the company can say is no, so it certainly doesn’t hurt to ask.
Pay Down Debt in 2019 With Debt Consolidation
Utilizing the services of a debt consolidation company is an additional helpful method for getting out of debt. Debt management programs are useful for people who are overloaded with many different forms of debt. The best debt consolidation firms help a person merge all of their various forms of debt into one, manageable payment. A debt consolidation company will provide a loan to pay off all other forms of debt, allowing an individual to pay just one account instead of several. Often times, individuals fall further into debt because they forgot to make a payment on time, creating a cascading effect of compounding interest and late fees.
Consolidating one’s debt can eliminate the possibility of mismanaging funds as a person is able to juggle their finances much easier. A debt consolidation loan can be especially helpful if your interest rates are exceedingly high, which is typically the case when it comes to things such as credit card debt. Selecting a company with a reputable and trustworthy reputation is important to seeing your resolution through. Unfortunately, many companies on the market are looking to take advantage of customers through less-than-ethical predatory practices.
Thankfully, companies such as Christian Debt Counselors offer customers a trusted and principled path to debt consolidation. Our team of caring professionals are dedicated to taking a compassionate approach to those dealing with financial hardships. Guided by our Christian ethic, we are committed to helping our customers achieve the lasting financial freedom they deserve. Contact our team today to help begin the process of making debt-free living a reality.
With the new year comes new opportunities. Pay down debt in 2019 by using these tips and considering a debt consolidation program that fits your needs.