Debt management

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Permalink Reply by Berrak Sarikaya on January 24, 2009 at 5:42pm

Well, I recently blogged about this.

I think using cash and cancelling out the reliance on our debit or credit cards definitely helps with management of finances. This is the approach I'm taking now to clear my debt in a timely manner while saving money.

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Permalink Reply by JackoStain on January 24, 2009 at 6:19pm

well your approach to this rely on the amount of debt that you have consumed, So i will take into consideration hat your just out of college so i am going to assume that you have a student loan, about 3 credit cards, and a few other minor debts.

just for a simple and short answer, i would suggest that you pay your debt that will ruin your ability to regain these debts your trying to reduce.

such as student loan, make sure you pay it on a timely basis, if you have not already makes you when you pay your student loan you try to put a little extra so that the principal is be hit, because often we pay say 300 a month for student loan and what we don't actually know is that we are just paying interest, so call up your bank and ask that more be applied to your principal when this happen your will get that out of the way in a timely manner.



Credit Cards-This is just a pain in the ass right? actually the persons who abuse them, are actually more the ass.
its a simple formula for credit card don't spend what you don't have. I know times are hard and the economy continues on its downward spiral. But the best way to avoid Credit Card problems.

For who are already in deep with this credit card issue, Don;t be afraid to call up your bank and ask them to reduce your interest rate, trust me they will. Often time we sit home and wonder while the interest keeps piling on, contact your personal banker and let them know your situation and i am sure they will be pleased you assist you in any way passable.

The same principle applies for the Credit Card, please try to pay as much as passable on your debt>
Most times we forget to pay our credit card well we have no more excuses set up auto pay. trust me it will make a difference.I recommend it to my Co-worker was wondering why his credit score was going down instead of going up, the thing is his bills was always late.

BUDGET BUDGET BUDGET- you know your take home 4K every two week, if you want to be able to be financially sound , stick to your budget, it could be just a note book your write down all your expenses in, or it could be a spreed sheet. jot it down it works, try meet all due date.

We all have a bunch of clothes and shoes that's in our closet that we don't even ware so instead of going out and getting those news ones i know its tempting but, we can all could go back to the days we were on campus with no income as a reminder. That we can do without buying a shoes or a new thing every pay period. Save any little extra cash you come across, because the way the economy is going you will definitely need it.

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Permalink Reply by Cee on January 25, 2009 at 8:39pm

I think it's very important for people to have an emergency fund (4-9 months of expenses).

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Permalink Reply by phampants on January 26, 2009 at 3:34pm

you already know my response. =)

and i cannot more strongly suggest www.mint.com as much as i am careful w/ my money, i'm even more careful now that i know where everything is going

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Permalink Reply by Katie on January 27, 2009 at 11:15am

As much a Suzie Orman's personality annoys me, she knows what she's talking about. Go to the library and check out her book, "Young, Fabulous, and Broke". It's a good, plain English explanation of how to manage all kinds of debt for people our age. There's a whole chapter about how to get yourself out of credit card debt that's really helpful.

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