Managing your finances

Managing your debt can be a challenge during the best of times. Yet, repaying your debt now can help you reach financial goals even faster. The first step towards getting out of debt is knowing how much you owe. Using your Credit Report to see all of your debts in one place is a great way to start. Review your Report, and order your debts from smallest to largest. Tackle the smallest debts first. Once a debt is paid off, add that monthly payment amount to the next smallest debt until eventually everything is paid off.

To most of us, bankruptcy is a scary word. Yet, for some of us it remains a viable option when our debt is spiraling out of control. Before considering bankruptcy, it’s a good idea to ask creditors to work with you by reducing your interest rates, waiving late fees, or accepting smaller payments until your situation improves. You might also try consolidating your debts to reduce the amount paid in interest. If your debts are still unmanageable, it may be time to contact a bankruptcy attorney.