National Debt Relief Advises Consumers on How to Budget When They Are Broke
Dallas, TX (PRWEB) July 03, 2013 -- The leading debt relief company has their eye on personal finance when they published an article about budgeting. Entitled “Budgeting When Broke,” the article discusses how consumers can live on a budget when they are flat out broke.
Published on June 17, the article hints that being broke means the consumer is “just about out of money.” They debt relief company points out that this may be caused by lack of budgeting or one that is not realistic in light of the actual finances of the consumer. The article cites different advantages of living on a budget like prevention of debt or a bad credit score.
The BBB (Better Business Bureau) accredited company believes that budgeting can keep the consumer from a lot of problems financially. Here are the 6 steps that the article provided to help get the readers started on budgeting so they can avert being financially broke.
1. Request or create billing extensions or payment plans. If the consumer is on the verge of being broke, they may be faced with imminent eviction or penalties. They should ask for a reprieve before it happens by proposing a payment plan that they can afford. The same is true when they are about to default on any payment. Letting the creditor know about the situation and letting them know that you intend to pay what you owe will make them more amenable to help out.
2. Write credit card payments and their respective due dates to avoid being late on any payment. National Debt Relief believes that it pays to be organized if the budget is limited. This will keep the consumer from wasting money on any late payment fees and other penalties.
3. Prioritize bills. The article believes that prioritizing bills is an integral part of budgeting. It means the consumer must decide which ones should be paid first. The article suggests that a schedule must be made for each payment depending on the payday of the consumer. In case the payments are already late, the debt relief company urges the consumer to call their creditor for aid in getting payments back on track.
4. Analyze spending. The budget of the consumer will detail the expenses made during a certain period so it is the suggestion of the article that the spending must be monitored during the first month of budgeting. They have to see where the money is going and decide if it should go there. This will help make a more realistic budget as it is based on actual expenses and not estimations.
5. Cut back on unnecessary expenses. Based on the article, the whole point of budgeting is to review the spending categories to see where the consumer can cut back on. Ideally, entertainment expenses will be the first to go - at least this is the assumption based on the examples provided in the article. The article suggests that consumers will cut back on things that they will not miss.
6. Increase income. Budgeting also has to be partnered with additional income. National Debt Relief urges consumers to consider getting a second job to help loosen the restriction on the monthly budget.
National Debt Relief hopes that this article will help people make better money decisions through their budget to avoid getting broke.
To read the whole article, visit the National Debt Relief website or call their IAPDA (International Association of Professional Debt Arbitrators) certified debt experts through 888-703-4948.
Paul Ritz, National Debt Relief, http://www.nationaldebtrelief.com/, 1-888-703-4948, [email protected]
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