If you enjoy being heavily in debt, you’re the member of a very tiny minority. Most people who are heavily in debt hate it. They hate the harassing phone calls, the sick feeling they have in the pit of their stomachs and that big black cloud that’s always hanging over their heads.
Why a debt consolidation loan may not be the answer
The problem with a debt consolidation loan is that it does nothing to eliminate your debt. It’s the same as consumer credit counseling in that it just moves your debts from one group of creditors to another. Most credit card consolidation loans turn out to be secured loans, that is second mortgages or homeowner’s equity lines of credit that take anywhere from five to seven years to pay off. The debt management plan you would get if you chose credit counseling would also probably take at least five years to complete.
Get a second job
The only real way to get rid of debt is to pay it off. You could do this by finding ways to increase your income and use the “new” money to pay off your debts. One tried and true way to do this is by getting a second job if you can work this around your current job. I read an article recently about a couple that had been $120,000 in debt but paid it all off in five years through a combination of tight budgeting and second jobs.
Sell unused items
A second way to earn extra money is to sell unused items. If you look around your house, you’ll probably find a number of things you could live without. eBay is a great place to sell things like this. Or you could have a garage sale. I know of families who have made $500 and more over a single weekend with a garage sale.
Find stuff to sell on eBay
When it comes to selling items on eBay, you don’t have to limit yourself to just your own unused stuff. Shop other people’s garage sales and you’re almost sure to find items you could sell on eBay. It’s the old “one man’s trash is another man’s treasure” thing. Just because a person is selling things cheap at a garage sale doesn’t mean they might not have good value to someone else. However, before you run out and dump $50 on garage sales, spend some time on eBay to learn what’s selling and what it’s selling for. Otherwise you might just end up with more worthless junk sitting around your house.
Freelance work
If you stop to think about it, you might have some skills you could sell online. There is a high demand for copywriting, web design and software development. Many people are hiring Virtual Assistants (VAs) to help with their online businesses. This is the equivalent of being an office admin accept you do everything via the Internet.
Become a tutor
If you’re good at math, language arts or some branch of science such as physics, you could earn extra money by tutoring students. Or, depending on your skills, you might be able to tutor kids on the ACTs or SATs.
Do odd jobs
Are you a handy person? There seems to be an almost limitless demand for people to do odd jobs such as painting, plumbing repairs, house-sitting and carpentry. One good way to find these jobs is by advertising yourself on Craigslist. In fact, depending on your skills, you could run just one ad and be overwhelmed with job opportunities.
Ask for a raise
If you haven’t had a raise recently, ask for one. However, before you do so, be sure to spend a few months documenting what you’ve done to help the company. Be as specific as possible. It’s just much easier to support your case for a raise if you have details that “prove” what you’ve done.
Let us help
If there are reasons why none of these tips would work for you, call our toll-free number and let us tell you about debt settlement. We’ve helped thousands of families reduce their debts and become debt free in 24 to 48 months and it’s likely we could help you as well.
