When you are in extreme debt it seems as though you’re being swallowed up in quicksand and you don’t have a lifeline. Debt relief services might sound nice and they may be just what you need. But just because you avail yourself of debt relief services doesn’t mean that you won’t be back in the same predicament again. Here are 5 useful tips to cure your spending habits.
Write Down: When you say to a spender that they need to carry a notebook with their wallet or purse and write down every time they spend, they may say that’s way too cumbersome! But that’s the point, isn’t it? If spending has gotten too easy for you and you’re in financial trouble, maybe spending should be a little harder. If you write down every penny you spend, then you are likely to be a lot more conscientious about spending anything at all.
Credit Lock: Lock up those credit cards. All of them: for department stores, electronics stores, the one with the funny design and the high interest rate, or the one with the rewards points and no credit available. Lock them up; if you have them, you will spend them.
Budget: Many people seeking help with debt relief don’t have any idea about how much money they make or how much money they spend. That’s likely the reason they are in need of debt relief to begin with. Make yourself a budget and you will be amazed at the things that you spend tons of money on. Expensive cell phones, swanky memberships, outdated subscriptions and your thoughtless weekly late night-club-dancing-drinking bender are likely a big reason for your debt drama. Pull your budget together, cut out the excess that you don’t need, and stop incurring new debt.
Allowance: Because spending is such a large part of why people find the need for debt relief, this can be tough. Once you’ve made your budget and you see where you can spend and where you need to tighten, then you can allot yourself an allowance. Bear in mind this allowance is totally dependent on bringing in what your budget says you will and by not overspending.
Cash Only: Turning yourself into a cash-only entity can help with overspending. It’s a radical idea but finding your way to true debt relief is contingent on not being able to swipe your way back into debt.