We’ve all heard the same advice about paying down credit card debt: Pay the minimum on cards with the lowest interest rate and funnel all excess money to the one with the highest balance, once that’s paid off repeat the process. That’s sound advice. So why are so many people still struggling?

Well, it might be sound advice, but as always, it’s easier to give advice than it is to follow it. If you are struggling to credit card debit where are you supposed to get this extra money? I’ve heard borrow from your 401(k ), Get a home equity loan, (although I don’t know how smart it is to get a secured debt to pay off an unsecured debt , but I’m not expert),  borrow against your life insurance, cash out your savings account etc… Chances are that if you have these options you are not drowning in credit card debt.

So, what can you do? The simple answer is that I don’t know. Unfortunately you may have to file for bankruptcy. Should you do this? Again, I don’t know. I believe in repaying your debts but if bankruptcy is your only option, it’s your only option. There are 2 options, chapter 7 & 13 which I will not explain but here is a link on bankruptcy information.

So if I have any sage advice it would be: “Learn to live within your means”. If there are things you want, fine. It’s okay to spend money, but not to spend money you don’t have. Currently I drive a beat up 1993 Mercury Grand Marque. Would I like a newer car? Yes. But not so much I’m going to get in over my head.

If you don’t have debt, the smartest thing you can do is keep it that way.

So what are some realistic ways to save money?

1)      Stay as healthy as possible. Becoming ill is probably one of the most expensive things that could happen to you. There is no sense in smoking, over-drinking, both of which cost money, eating garbage and not exercising. (Work out information will be provided)

2)      Cook bulk meals on the weekends. (see my other posts under the healthy meals categories)

3)      Use coupons for necessities. Dry cleaning, car repair, home services and if you go out to eat, restaurants of course. See these restaurant coupons.

4)      Learn minor home repair. You can save substantial amounts by learning how to hang a light fixture, replace dry wall or build a cabinet yourself as well as update the look of your home, at least to a degree. (As I do these projects around my home, I will produce videos which will be available here. –Ps. I learn as I go!)

That’s about all I have for now. Stay tuned for future articles and videos. Thanks for reading and have a great day!

 If you have any ways of saving money please leave a comment and share it with all.

Tweet This Post