Total debt now stands at $11.65 trillion
Phoenix, AZ (PRWEB) June 03, 2014
Debt Consolidation USA shared in an article published last June 02, 2014 how consumers can aggressively lower down personal debt. The article titled “5 Steps To Aggressively Lower Your Debt Balance” shared some tips and insights on how to achieve lowering down and ultimately paying off debt.
The article highlights the fact that Americans are still not over the hump of borrowing money. This has led to an increase in debt balance in the economy. It referenced the fact that coming off from the previous quarter, the total debt in the US went up by $129 billion. At the forefront would be mortgages with $116 billion increase. Total debt now stands at $11.65 trillion.
With this in mind, the article shares the most common steps to ensure that personal debt balance of consumers can be aggressively lowered down. The first one is creating a new budget. If debt is still increasing in the middle of an existing household budget, it warrants another look and do-over. It is beneficial to go through each line item and decide if the amount is justifiable or if the amount has to be decreased.
The logical next step is limiting household spending. As the budget is reviewed, it is great to focus on the expenses and determine where cuts can be made. This can also be the start of a adapting a frugal lifestyle. Living below the budget can free up some much needed funds that can be sent out as payments to debts and loans. The article also highlights the problem in consumer spending as most base it on earnings rather than on need.
The article also shares the benefit of having extra income. This is the monthly budget’s much needed shot in the arm as extra funds can do great things in balancing income and expense. The extra dollars can go directly to debt payment to lower down the total balance much faster. Being able to do gives consumers the chance to save up on interest payments as well.
Another idea is decluttering and selling items that are no longer needed. It has multiple benefits in several areas of a consumer’s life. It offers extra cash when the items are sold. This in turn can be used as payments for debt. It can also help in cleaning up the house and probably allow home downsizing which has numerous cost benefits.
To read the rest of the article, click on this link: http://www.debtconsolidationusa.com.