Don’t Let Debt Get You Down

Don’t let debt get you down. Easier said than done right? When you have debt, it’s hard to stay positive. The reality is that you can’t actually save when you owe other people money. More importantly, when you have multiple credit card and loan payments due, your money seems to be spent before you have even earned it.

The only way to truly get rid of the negative feelings associated with debt is to pay off your debts once and for all. The CGS Team has a few tips to help you stay positive with debt and while dealing with debt! Also, check out CGS Podcast Episode #18: 5 Mindset Shifts that can Change Your Life and Money

Understand What You Owe

The first step in getting in control of your debt is to understand what you truly owe. This is a nerve-racking process, especially if you’ve avoided looking at all your statements for some time.

However, as scary as the number of your true debt may be, you need to face it. Pull out all of your statements and write down the following for each debt: outstanding balance, interest rate, minimum payment, due date and available credit. Once you know exactly what you owe, you can start knocking it out. Let the knowledge serve as motivation. You know where you stand and that means something.

Create a Game Plan

As mentioned earlier, once you know exactly what you owe and when it’s due, you can come up with a plan to knock your debt out, even if you start off will small payments. There are numerous plans you can follow to take care of your debt. One of the most popular is called the snowball effect. This includes paying the minimum payment on all of your accounts except the one with the highest interest rate.

Any extra money you have, after paying your living expenses and the minimum payment on all other debt accounts, should go to the account with the highest interest rate. Once that one is knocked out, move on to the account with the next highest rate and do the same thing. Continue this until all of your debt is paid off. If you need assistance allocating your money or cutting back in certain areas, check out the CGS Personalized Budget Plans.

Don’t Beat Yourself Up

It’s so easy to blame yourself for all of the debt you have accrued, but what good would that do? Over half of America is in debt, and instead of getting down and out, do something about it! Acknowledge and accept your feelings about your debt: regret, anger, fear, shame, or any other feeling. Once you accept these feelings, move on from it. It is what it is. Your debt does not define you and it does not control you. You got yourself into it and you can get yourself out of it; always remember that!

Keep the Big Picture in Mind

Think about the day you make your final debt payment. How does that thought make you feel? Probably really good, right? The day you pay off all of your debt, you will release the negative feelings and will have a whole new financial position. Why do you want to pay off your debt? What do you want to accomplish when you no longer have debt? Keep those answers in mind when you make those monthly payments. Stay focused, stay motivated. The bigger picture is your reason for becoming debt free.

Related: How to Tackle Your Debt Head On

Are you currently in debt? Or, have you recently paid off all of your debt? What feelings did you experience? Please share your thoughts and feedback with the community by leaving a comment below, or starting a discussion in one of the CGS groups!

-The CGS Team

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1 thought on “Don’t Let Debt Get You Down”

  1. I love this! It’s so easy to get negative about debt because it seems impossible to overcome, but it’s not! We have all been there and we can all get through it!

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