Home » Paying off debt » Eliminate debt

100 Words on Three Initial Steps Towards Debt Freedom


Start by understanding your financial situation.

List all debts, their interest rates, and monthly payments. This helps visualize your overall debt.

Next, prioritize. High-interest debts generally need to be paid first. However, the “snowball method” recommends paying the smallest debts first for motivational boosts.

Thirdly, create a budget. Allocate specific portions of your income to repayments. Reducing non-essential expenses increases the amount available for debt reduction.

Incorporating these steps into a strategic plan can accelerate your journey towards becoming debt-free.

Photo by Jeremy Bishop on Unsplash

Leave a comment