Many of the people who turn to us for assistance with personal financial planning struggle with debt. If you are in a similar situation and want to know how you can start getting rid of the debt that is weighing you down, here are some things you need to do to start the process.
- Gather Information. When it comes to personal financial planning and debt, it is important to know exactly where you stand. For this reason, before you do anything else, make a list of all of the debts you owe and who you owe them to. Remember to include loans that might not be listed on your credit card bills, such as medical bills or advances from family members.
- Try to Lower Your Rates. Paying high interest rates on your credit cards and other debts can only contribute to the amount of debt you have to pay back. Due to this, you should try to lower the interest rates on your loans. One of the ways you can do this is by directly calling your creditors and asking them to lower your interest rate, so you will be more likely to pay them back.
- Know Your Number. After you make a list of your debts and attempt to lower your interest rates during the personal financial planning process, write down exactly how much debt you owe. By knowing this number, you will have something to work towards and be more aware of exactly what you need to do to get out of debt once and for all.