Debt isn’t something that you usually get into deliberately. Instead, you go through life, earning a regular income, but something goes wrong along the way. Sometimes, it is frivolous spending. But, more often than not, it is merely a consequence of living in an expensive world. Just getting to work, for instance, can set you back thousands of dollars per year.
A lot of people are currently buried under a mountain of debt – and it is a massive drag on their wealth. Interest payments eat into their spending ability. And they wind up under more financial strain than if they’d never gone into debt in the first place.
Getting out of debt, though, is something that anyone can do. Here are some innovative strategies to make it happen and take back control of your life.
Negotiate With Creditors
Creditors will often try to play games with you and extract as much interest as possible, under the guise of a “contract.” Don’t be fooled, though – they know it’s a risky business. You could declare bankruptcy at any time, and they’d get very little – if anything.
Therefore, it’s a good idea to negotiate with creditors, either directly or through a trustee. Lenders would prefer to get some money out of you than none at all, and so they’re willing to entertain new terms. If your debt is genuinely overwhelming, you can make a strong case to reduce payments and get your finances under control. Often creditors will lend greedily and excessively to the point where there’s no chance of paying it back.
Discharge Your Debt
Debt consolidation and settlement plans are two common routes people take to reduce their overall borrowing. But both of these methods still imply that you have to pay back a considerable sum of money. They make it more manageable, but they don’t give you the freedom you deserve.
Debt discharge, however, is entirely different. This facility allows you to pay off what you owe, without being saddled with things like wage garnishment. Remember, you’re trying to achieve financial freedom. Creditors shouldn’t have taken advantage of you in the first place.
Sell All Your Old Possessions
Over the years, we accumulate all sorts of things that we really don’t need. And sometimes, we hang onto them for longer than we ought.
Holding a fire sale of all your old possessions, therefore, can be a great way to build up a quick cash lump sum to pay off debt. Here, you’re not losing any money or even spending your time making more. Instead, you’re just decluttering your home and making a profit in the process.
Today, there are dozens of apps, all geared towards this goal. You can simply post adverts online and watch the money come in.
Upgrade Your Work
Think you’re stuck in a dead-end job? Unlikely. There are always opportunities for better pay and promotions. Don’t stick with the status quo. Keep your eyes peeled for new economic opportunities and take advantage of them in whatever way you can.