10 Important Tips to Handle Debt Stress

If your debt occupies your thoughts and causes you to experience stress, you may feel overwhelmed and like you may never get out from under it. There are some steps you can take that will help you take back control of your finances. Some of them may seem uncomfortable, but they will lead you to greater peace of mind and financial security in the long run.

You are Ready to Relieve Your Debt Stress. Now What?

Here are the top ten things you should do to alleviate stress about your finances: 

1. Take an honest look. List all your debts, the interest rates associated with each one, and the monthly payments. Note the accounts where you are up to date and those where you may be behind. 
2. Formulate a budget. Budgeting can be painful, but knowing what you have to do to get out from under your debt can be liberating. Fear of the unknown is more overwhelming than being armed with information.
3. Pay off accounts with the highest interest rate first. The high-interest-rate cards and accounts need to go. Reducing high-interest rates debts will save you money in the future.
4. Avoid taking on new debt. This may seem like a no-brainer, but there is a reason that the old saying, “You have to rob Peter to pay Paul,” exists. Often, a quick fix, like opening a new credit card, or taking out a payday loan, is tempting, but in the long run, it will only increase your worry over debit.
5. Consolidate your debt. If you lump your debts together at a better interest rate or a payment point that you are comfortable with, this can alleviate a lot of stress and make it easier to keep up with what you owe.
6. Communicate with your creditors. When you owe money you cannot afford, time and energy can be spent dodging your creditors. Confronting the situation can mean talking to credit counselors to see if they can offer you help. Creditors want to be paid back, so they will often make it easier for you because some money is better than no money coming their way.
7. Find ways to cut your expenses. Cutting expenses could mean canceling subscription services that you do not actually need, dining out less, or cutting out unnecessary purchases. Every little bit helps. 
8. Find yourself a side hustle. There may be ways to make extra money. Consider your talents and see what you can do to bring in extra income, then designate the money from your side hustle to paying down your debts, and you will be on your way to financial freedom before you know it. 
9. Seek help from professionals. There are credit counselors and financial planners with the experience and expertise you need to figure out a plan to clear your debts and start you on the road to financial prosperity. Use them. 
10. Accountability partners help. There is a lot of shame that comes with debt, so you may be reluctant to share your economic woes. But, a trusted friend or partner being aware of your financial stresses and holding you accountable when it comes to following through on the plan you make for yourself can be wildly helpful.

If you are in debt and need help figuring out what you should do, contact a Sharmin & Sharmin Florida debt defense lawyer for assistance. We can answer questions you may have and aid you in finding your way back to financial independence. Freedom from debt can change your life, and we can help. Contact us today.