Getting out of Debt

A young couple we know had a goal to start a ministry, so shortly after they married, they buckled down and paid off over $12,000 of debt in just six months! It took teamwork and sacrifice, but they had a big and important goal, and that became the top priority—over dinners out or many other things.

You can do the same, if you set a goal together. Maybe your goal is to buy a house or have a baby in a year or two. Maybe its to live on one income. Here are some helpful hints to help you accomplish your goal:

First, stop adding to your debt. Buy only what you really ned or do only what you can afford, and refuse to put anything else on your credit cards.

Second, be strong and choose together to cut out all luxuries—cable, fine dining, new clothes. You may even trade in your expensive SUV and buy a more economical used car for cash. The more you can downsize your expenses, the faster you’ll get out of debt.

Third, get down to one credit card. Consolidate all the others to your lowest interest card. It helps you keep track of your debt and gives you the reality of where you are with your debt. If you can’t consolidate, pay off your cards from the highest interest card first until you only have one.

Fourth, once you’re out of debt, use your credit card only when you’ve budgeted for paying it off monthly or for a real emergency, such as a car repair or fridge giving out.