
* Pay the high interest debts first – It is important that you pay down your high interest debts first. This is because the higher the interest rate the more amount of money you have to pay on interest payments. Thus if you pay the higher interest debts first you can save money on interest payments.
* Don’t use multiple credit cards – One of the main reasons for landing into debt trouble is using multiple credit cards. When you have many credit cards you tend to lose track on how much you are spending on which one. As a result of this, the bills on each credit card can add up to an amount which won’t be possible for you to pay in a month. As you continue with such habits, your debt amount increases too.
* Use as much cash as you can – When you are going out for shopping, it is best that you use cash instead of credit cards. This is because if you carry cash you will carry a certain amount that you can keep a record of. However, when it comes to credit cards, since they allow you to buy items on credit you can buy things that just catch your fancy but you don’t really require them. You can avoid such unnecessary buying when you have cash as by the time you are done shopping for your essentials most of your cash will be over.
The above tips can help you in saving money from the money that you earn every month. You can use this saved money to pay back your debts and get out of debt as soon as possible.
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