If you are in debt, you may be looking for a way to manage your debts. If this is you, it is important that you look for real debt management, and not just what some sales rep has to offer. This means taking a real hard look at your debt, and looking for solutions on getting out.
Why Are You In Debt?
The first phase of real debt management is figuring out why are you in debt to being with? Is it poor money management habits? It is because of something life changing such as an unexpected medical event? Whatever the case may be, it is essential to figure out why you are in debt, so that you can look for solutions to get out.
Developing a Plan
Once you have identified the root cause of your debt, you can develop a plan to get out. This plan could cover many facets, but it really should go after your root cause.
First, if you have poor financial habits, you need to figure out how to overcome these. It could be by tracking your money more closely and see where you are spending the most. It could be by getting an accountability partner that can help you when you think you may be spending inappropriately.
If your debt is from something unexpected, you may look for resources that can help your individual situation.
Action Steps
The most important part of any plan is acting on the plan. Even the best laid out plans will fail if they are not implemented.
So, ask yourself, is my plan really actionable? Will I actually do the steps involved? If there is even a hint of hesitation, you need to go back to your plan, and re-work it so that you can follow through. Maybe you need to share your plan and get help from that accountability partner from the start? Maybe you have a friend that can help you setup a monitoring system for your money, such as using Mint or Quicken. Either way, make sure that you plan it out, and work your plan.
