How to Pay Down Debt


Feel Like You\’re Drowning In Debt?

There are plenty of programs available for purchase that claim to have the cure all to getting you debt free, but at the end of the day you don’t need any of them! The bottom line is you need to work hard to make money to pay down debt.

There are decisions along the way that we will explore to help you get there faster but every situation is different. We highly recommend you sit down with a Certified Financial Planner and map out the best solution for you! 

Quicks Tips To Reduce Debt

Here are some quick tips you can use to get started:

Do you qualify for a zero percent interest credit card? If yes, then apply for one and consolidate as much of the highest interest rate credit cards you have. Then make a payment plan to get that paid off in the amount of time the 0% is granted for. 

Afterwards, move on to other offers to lower your interest rates. The purpose of balance transfers to lower rates is to give more of your dollars going to paying down principal. This will assist in paying down debt faster! 

Once you have maximized the consolidation for rate, then you need to develop a payment plan. Paying just the minimums will take years and years. We also highly recommend using an app, like Credit Karma, to track and watch your credit. These apps also send offers periodically to help you build your credit score or save on interest. 

Some studies have shown paying the smallest card balance off first is the best way to tackle debt. However, I am a numbers person and to me every dollar counts. I typically advise you start with paying down the highest interest rate card first. But again, there are other things you can do, so don’t go it alone! Make an appointment with a Certified Financial Planner like Haven Financial Planning!