Debt Consolidation USA Uncovers the 6 Steps Towards Debt Elimination

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Debt Consolidation USA publishes an article on their website to discuss the 6 steps that will help consumers totally eliminate debt.

Some consumers can easily get out of debt if only they have an organized payment plan to follow.

One of the leading sources of debt relief information released an article on their website last October 7 to educate consumers about debt elimination. Entitled “6 Steps To Eliminate Debt,” Debt Consolidation USA gave specific steps that debt ridden consumers can follow to help them achieve freedom from their credit obligations.

The article begins by acknowledging how consumers dream of a debt free life. Unfortunately, debt freedom is not a reality for most people. Debt sometimes start as early as college. But while consumers are forced to take in debt just to have better opportunities in life, the article reveals that there is a way to eliminate these necessary credits.

The article reveals that these 6 steps will not give the consumer a debt reduction. That means, they should have the means to pay off their debts. Debt Consolidation USA believes that some consumers can easily get out of debt if only they have an organized payment plan to follow. Given that idea, they provided these steps:

1. List all debts. The consumer is encouraged to list all the debts that they owe. The article suggests that details like the amount owed, creditor, monthly contribution and other information must be listed.
2. Make a budget. Next, the article suggests that consumers create a budget. This will help them determine if their income can afford to pay for their monthly expenses - including debt payments. The article explains that consumers must separate the wants and the needs. In case the budget is not enough to cover the debt payments, some of the wants must be sacrificed.
3. Come up with a debt payment plan. The third step is to come up with a debt payment plan. The article instructs consumers to rank their debts according to priority. This can be done by ranking the debts either by highest interest or lowest balance. The debt payment fund stated on the budget will be distributed based on the minimum payment requirements of each. Anything extra will be placed on the priority debt. Naturally, the first debt will finish faster. The article then advises consumers to rollover the amount from the first debt to the next priority. This will be repeated until all the debts are paid off.
4. Grow the emergency fund. Once the payment plan is in place and the consumer begins to follow it, the article urges consumers to squeeze out a portion for the budget to grow their emergency fund. This is necessary to stay away from debt.
5. Stop taking in more debt. Debt Consolidation USA believes that debt elimination means consumers must refrain from getting credit. They advise consumers to practice smart spending habits. Consumers are encouraged to pay for expenses in cash.
6. Enjoy rewards every now and then. Lastly, the article stresses the importance of motivation. This is why they encourage consumers who are going through a debt elimination process to reward themselves. They advise against being too strict with the budget. If there is a milestone achieved in the debt payments, the consumer is encouraged to celebrate - as long as it does not cost too much.

Debt Consolidation USA also discusses how debt elimination is really more of a personal choice than effort. To read how it can be a choice, visit their website or click on this link:

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Adam Tijerina
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