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What is the best approach to deal with overwhelming debt?

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What is the best approach to deal with overwhelming debt?

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  1. Going with a debt consolidation company as they are the specialist of this field and so they can help you to pay off your debts by providing you an affordable debt management plan after negotiating with your creditors.

    Here is the source of a debt consolidation company named http://ezconsolidation.com for your reference.


  2. The best option for debt trouble is negotiating your debts with your credit companies to keep the payments from swallowing all of your income. Typically, you have to get a counseling agency to call on your behalf. If you try to work with them yourself, many of them will not cooperate with you because you are not enrolled in credit counseling. Try http://www.womenindebt.info. Good luck!

  3. Step 1:  Sit down and WRITE a list of EVERYTHING you owe.

    Step 2:  WRITE a budget for THIS month. (Repeat EVERY month.)

    Step 3.  Your priorities are NECESSITIES, NOT debts.

    Step 4.  After cutting necessities to the BARE MINIMUM, make minimum payments on all but the smallest debt.

    Step 5:  Dump every available penny on the smallest debt.

    You can speed up the process by SELLING everything possible and or getting an extra job.  Until you are out of debt, you officially have no life.

  4. What's the first thing one should do when they find themselves at the bottom of a big hole? Stop digging. That means stop all non-essential spending and be more careful when buying things that you must. The next thing you have to do is start filling up the hole so you can get out. That equates to earning more money. More hours at work, a part time job or a new job which pays more. Finally when you get close to the top, you need a ramp to help you get out. That involves paying off the debt you've accumulated (the most expensive debt first) and looking for more ways to save even more. Maybe taking in a roommate, trading in an expensive and fuel inefficient car, turning down the thermostats in your home, buying those fluorescent bulbs, etc. Good luck.  

  5. With optimism. Speak with a financial advisor and try to get your debt consolidated, you will save a bunch of money on interest payments.

  6. Dave Ramsey has a system for handling debt. He calls it the Baby Steps.

    Baby Step 1 is to save up 1000 for an emergency fund.

    Baby Step 2 is paying off your debt. He outlines a way to do it called the "Debt Snowball".

    I highly recommend you check out his books and radio program.  

  7. when my first husband left me with all the bills, i went with consumer credit counseling company, it was not another loan, but they worked with  the credit cards and loans lowered the interest rates and payments, i made one payment to them, they made all the payments for me, and with in a time frame all the bills were paid off.  i had to filed bankruptcy on the home, i could not keep up the mortgage it was too much for me, i did not know he had taken out a 2nd.  you could try that.  

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