Once you get into debt, it can be remarkably challenging to get out of it.

Around 50% of all Americans have some sort of credit card debt, the majority owing between $1,000 and $5,000, but 14 million owing over $10,000.

And those who owe aren’t optimistic about their ability to break free of debt fast. Over 30% say it will take somewhere between two to five years while about 7 million say they think they’ll never get out of debt. 

The truth is that even significant debt can be paid off by sticking to a realistic but solid debt repayment plan. With comprehensive spending and savings plans — and unwavering commitment — you can get out of debt for good in just a matter of time.

Consolidate Debt

If you’re feeling overwhelmed by the sheer number of debt sources, there is a way to combine your debt into one payment usually paid in monthly installments.

Organizations like National Debt Relief regularly help those who hold over $10,000 in debt from a mix of sources, including medical bills and credit cards. The most successful consolidation plans can eliminate debt in two to four years.

Make Sure You Have The Best Insurance Rates

If you haven’t compared home, car, or medical insurance prices in a few years, chances are you are overpaying for your services. A simple online search can find the lowest insurance rates across multiple companies, with the potential to save you thousands a year — and help you get out of debt faster.

Ask For Tax Forgiveness

Taxes are a fact of life. So is tax debt. But did you know that the Internal Revenue Service forgives a large number of unpaid taxes each year?

Debt forgiveness is often an option for those who have failed to file taxes in at least three years and have tax debt totals of at least $10,000. By working with reputable companies, such as Easy Tax Relief, you can establish easy monthly payments or have your overall debt total reduced.

Pay More Than The Minimum

Most people with debt find it financially manageable to make the minimum monthly payments on their bills by their respective due dates, but that can take several years to pay off. An approach that helps you get out of debt faster is upping the ante a notch by paying more than the minimum balance on a few of your bills each month.

You may only be able to start with one bill, but once you begin, it’ll get easier over time, and paying more than the bare minimum on one bill will lead to paying more on others. 

Start An Emergency Fund

Everyone should have a savings account to go along with a checking account or credit card. Equally important, as part of your plan to get out of debt, is an emergency fund.

These funds add an extra layer of financial protection when unexpected issues arise, such as a medical injury or urgent travel. A good emergency fund goal to start with is around $1,000.

The key is to not dip into your emergency fund for everyday expenses, but instead use it solely for emergencies as you work to get out of debt.

Try The Snowball Method 

Once you have a good emergency fund, find the best debt payment plan for you. One popular option is the snowball method. Simply make a list of all of your debt from the smallest amount to the largest.

Then start paying off the debt by tackling the smallest debt total first, then the next, moving your way up to paying off the largest debt. 

Consider A Vehicle Title Loan

Getting out of debt is hard enough, but when you are hit with a financial emergency, a debt repayment plan seems entirely out of reach.

That’s where a vehicle title loan can help. A vehicle title loan is designed to specifically help those with financial emergencies, such as an emergency room bill or a vital repair.

They are easy to qualify for — taking as little as 30 minutes to get approved — and you are always able to keep your car and drive it as usual during the entire loan period.

You may qualify for a loan of up to $15,000 at Carolina Title Loans, Inc. Just head to our homepage to start. Fill out the short title loan form and we’ll give you a call to guide you through the rest of the loan process.

Once approved, you will get the cash you need either the same day or the next business day.

Get Started Today

While you’re working to get out of debt for good, South Carolina online title loans can help with any financial emergency that comes your way. Get started on our homepage, or you can give us a call or visit us at one of our locations near you. We’re always here to help.

 

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.