Maxed credit cards signal a problem, one which needs to be addressed immediately. It's a sign that all is not well with your spending. Here are some things you can do to address the problem.
Coming up with a bare necessity budget
If no action is taken, things will go from bad to worse. One action that you can take is running on a bare necessity budget, prioritizing your spending and ensuring that you are spending on only the most necessary things. This situation should continue until you have cleared a good portion of your debt. Your budget during this time should cover items such as rent or mortgage, utilities, food and transportation. Even with these items, adjustments should be made, for example stop eating out, use public transportation and cut out some of the unnecessary utility bills. Entertainment and clothing allowance can be cut out for a short period until the situation is back to normal.
Prioritise on the payments to make
There are some things which are essential in life while others we can do without, at least for a short period. This is a period when you will have to prioritize your spending and payments. If there is an item that you do not need to buy, don''t buy it, rather use the money to make a necessary payment. Do basic things, avoid luxuries or spending which you can do without, for example paying for television.
Find a way to earn extra money
If you try the above and still things are not getting better, perhaps it is time to upgrade. Find a way to earn extra income. This will save you a great deal as you will be in a better position to pay off the credit card debts and also save for a rainy day. You can start a business or go back to college to improve your prospects for a pay raise or a better job. This will help you in the short and long term. While doing this, always remember what put you in that situation and try to avoid similar issues at all costs.
With these and many other tips, you will be able to deal with your spending problem, and avoid running into deeper problems.
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Note: The above is intended to be general information and not financial advice. Cashtillpayday does not give financial advice.