Tackling that Holiday Debt #creditchat

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​Enlightening people on how to save and when to save is one of my passions. I recently was able to contribute to the Experian #creditchat on Twitter where we discussed planning to tackle holiday debt. As we enter the new year, some of us are still feeling those holiday purchases. The holiday season is always fun, but the after-effects on our bank accounts… not so much. If you don’t pay it off, you end up having to pay back more and creates more stress on you for the following year. Let’s talk about five things you can do starting now:

1. Take a deep breath! You are not alone. Once you have a clear mind you can begin tackling bill by bill!


2. Organize bills and understand the numerical amount of debt you have. This will make it easier to create a budget. Using a debt tracking toll will make the process easier. Grab a debt tracker. Electronic envelopes can help you with that. Try QubeMoney.


3. Create a budget! If you have not done a budget in the past, I encourage starting using pen and paper as that helps you become intimate with your money. I have free budget sheets on my resources page. 

4. Use Other Resources! There are so many ways, free resources, podcasts, blogs however be sure it is of a trusted resource or professional. If needed, you can contact me for financial coaching here!

5. Pay a lot on one credit card as well as the minimum payments on the others. If you have a lot of credit cards, and a plan to pay off the debt, paying the minimum on all cards then more on the balance of one of them is when paying the minimum is good.  The biggest fact to know when paying the minimum is, you will pay way more than the purchase price due to interest. 
 
And a bonus tip, don’t add any new debt. Organize your bills, find the due dates, balances, minimum dues, and interest rate. Determine which pay-off method you will use and make it happen. You can do it! Also, learn to appreciate delayed gratification as opposed to immediate gratification. This will help contribute to spending less. And as always, remember you are not alone!