How soon and what method makes money quickly for me to pay off my credit card debt?
1 Like
I understand how badly you need to pay off your credit debt. No one is happy with having a credit debt. But wait a moment. You might need to slow down a bit. So you don’t get into a get rich quick scheme. And lose your money instead.
You can pay up. But you know that might not be instant. It might take a while but it’ll happen. What are you currently doing?
How are you trying to raise money to pay your debt?
We can probably start from there.
Starting with advice to help your scale what you are doing to raise enough money to pay your debt and move on.
I always recommend starting off by tracking your spending and then creating a budget. This way, although it is not instantaneous, you know what you are working with. It’s not fun for sure, but doing these basic (but not easy!) steps can completely change how you deal with your money.
1 Like
There are many methods to pay off debt. Each has pros and cons. The snowball method allows you to pay off your smallest debts first. You take the minimum payment from a debt you pay off and roll it into the payment of the next smallest debt, thus creating a snowball of money. Pro: you get the little stuff out of the way first, which gives you less payments to worry about. Con: You’re not tackling the higher interest debt, so you may add a few more payments to the process.
Higher paid interest first: you get the interest out of the way, but you may get discouraged in the process, depending on the size of the debt.
Highest debt first: You get the big ones out of the way first, but can get discouraged because it seems like the process takes FOREVER.
Some people do a hybrid method, knocking specific things out of the way first, such as anything past due and government owed debts (such as the IRS) first.
If you do a search for “Debt Snowball Methods”, you can see all the methods in detail. Some folks utilize the practices of Dave Ramsey. You might want to check out his page as well.
Whatever method you do, you need to fully commit to it. If you just give a half baked effort, you are going to get half baked results.
Hope this helps you.
1 Like
Dave Ramsey recommends a budget outlining your monthly expenses and income. The next step is $1000 in a starter emergency fund (Baby Step 1). The next is paying debt from the smallest to the largest debt(Baby Step 2). The steps are to be in order, and no new debt. Plastic surgery on your credit cards are necessary.
