5 Tips on Paying off dept

Debt at this time is a common thing in the eyes of society. Coupled with the growth of people's income is increasingly unable to pursue increased costs. Currently, inflation is higher than the increase in income. Having debt is not a problem when managing good money. In sound financial principles, the maximum debt burden of each person is 35% of regular income. For those of you who are already tangled debt problems do not run from your debt, here are 5 steps you can do as a way to pay off debt so that your debt burden is lighter: 1. Use Assets for Debt Settlement How to pay off the debt that you can use first is to think of ownership of an asset you can use to pay off your debt. Think about whether you still have assets in the form of savings, deposits, gold, land, jewelry or other valuable assets and you can use to pay off debt. Maybe you feel affection if you sell the assets you have to pay the debt. However, this can be done so that your debts get paid or even paid off. Begin to save and build the assets back once all your debts are paid off. 2. Create a Priority Payout List The next thing you can do is make a priority list of your debts. Start from debt that has the most expensive cost or interest. After sorting, start paying by completing the debt with the most expensive interest first. 3. Negotiate with the Debt Holders When it has been trapped debt. Do not run away from your debt. Try to meet a lender, either a bank or another institution. Convey your current financial condition honestly and show that you are still committed to paying off your debt. If possible, ask for a solution from your lender. Negotiate with the lender. 4. Work Harder If you can not reduce your debt burden simultaneously, one of the things you can do is increase your payment capability by increasing your income. You can find a side job that can supplement your income. Work harder and smarter to have more income. 5. Stop Increasing Debt Do not add to your debt. There are some people who choose to make new debt in order to repay the debt previously. In the financial world, there is a refinancing strategy where you pay off old debts with new debt that is cheaper. However, if what happens is the opposite, that is your new debt has the same cost expensive or even more expensive than the previous one. This makes you add to the burden on yourself. Instead of reducing your debt, it increases. The most important thing you should think about is how you can repay your debt. Do not take the road that even more trouble you or increase your debt. This news is from line today