Now, I’m guessing that you’ve landed on this page because your finances are in a mess, you’re broke and you don’t know what to do about it.
Well, help is at hand and all it takes is some organisation but don’t let that word scare you off because it doesn’t need to.
1st thing to do is grab a piece of paper and something to write with, up top of the page put today’s date. `i’ve gotten myself into this habit and everything thing I write down , no matter what it is gets dated because in time you won’t have a clue when you wrote that note and knowing the date of writing it could be more important than you think, even if it is just for your own reference.
Ok, start making a note of ALL the people you owe money too, especially if you plan paying it back at some point, even if you borrowed it years ago with the intention of paying it back but never got round to it. This is more directed at family and friends as oppose dot banks and credit card companies because the latter will never let you get sway with it.
I recently started this exercise because as of 2019 I owe a lot of money to various financial organisations, and my parents. The fact that I owe money to my parents is the most embarrassing part because they’re deep into their retirement and I want to be able to pay them back fast enough so that they can still enjoy it while they have their health.
Once you’ve got your list of everyone you owe money to and how much, next contact each company directly to make sure that you’ve not defaulted on any repayments and that you’re not still paying interest on any of your loans or overdrafts. If you are , you need to get this stopped or put on hold or paying back the money you owe will just take even longer.
Make it clear to watch of your creditors that you are in the process of organising your finances and will start to make payments back to each of them beginning with your first payment the next month.
Now depending on which debt advice or repayment source you ask you will get different opinions, this is especially true with impartial advice, for example, if you owe various different amounts to various different companies, some would advise you to decide how much you will repay each month and then split that between your creditors
Company (A) $200
Company (B) $450
Company (C) $875
Company (D) $1500
Company (E) $4520
Each of these are broad and picked out of thin air and are very different to mine, in particular one of the companies I owe is double what is shown in Company (E)
Now say a debt management organisation that i completely neutral were to support your repayment plans, they might suggest that if you paid back $250 per month if this is what you can afford then you split it equally between your creditors so all of them are getting something back, with each debt being gradually reduced.
Personally I disagree with this idea but for the sake of this exercise I will use the same figures, but I am also keen to reduce the amount of creditors I owe so my repayment plan would be as follows. I will use the assumption that I’m paying back $250 per month but I would pay company (A) $200 straight off and then that’s one debt immediately retired leaving me $50 for the remaining 4.
I would either split the remaining amount equally between the amount of companies make $12.50 each or I would put $40 into Company (B) and then the remainder against companies (C,D,E)
The following month I am left with Companies B,C,D,E so would pay a further $200 of company B taking my debt down to $230 and again split the remaining $50 between C,D,E thus further reducing these.
For the next month I will pay $230 from company (B) therefore retiring this debt too and splitting the remaining $20 equally between C,D,E.
In just 3 months I’ve retired 40% of my creditors with Company (C) being the next one to be retired potentially in the following 3 months.
It is worth noting that each time you clear a debt, this will so some way to improving your credit score, eventually giving you more control and flexibility over your own finances.
For what we’ve discussed so far, based on current repayments, all debts should be retired within 2 years!!
My next thought is : Why wait that long? Anything could happen during this time, health issues, family bereavements, job changes.
The rest of this post is focused, not on retiring existing debts, but on maximising income and this is where the fun and good times begin, assuming you have access to a device, preferably a computer and WIFI somewhere.
This is where thing are really going to change for you and for the better but what you are going to need to do is commit your time to it.
Have you every considered working online in order to earn spare cash, like a side hustle? Did you know that a lot of people who earn money as a side hustle, in time actually replaces their day job in time and money. This is 100% true and if done properly can propel your finances into something you’ve only ever dreamed of.
It all starts with a niche, all a niche is, is a group of people looking for something, so as a really quick example, you may be interested in cufflinks for business shirts, this is a niche, and a particular kind of cufflink would be considered a niche within a niche and would on it’s on be lucrative.
One niche which is very lucrative, especially in this day and age, is making money online, now because if how many billions of people there are around the world who all want more money and have internet connectivity, the MMO (Make Money Online) niche is VERY competitive, that said there are so many different facets to this that ANYONE can still make money. I’m actively pursuing it because it stated earlier on in this post.
There’s THOUSANDS of ways to make money online, thousands of legit ways and thousands of scams out there just waiting to trip you up.
One of the best ways to make money is too write a blog about something you’re passionate about, like before when I said about cufflinks, that’s just one example but it would work.
Writing a blog and earning money from it always starts with buiding a website, you can get started on that right now by typing a name for your site in the box below.
SiteRubix is free to use and the most powerful site builder software online today, it is super rich with an abundance of features which are taught to you using crystal clear written instructions with video training so it actually feels like you are getting 1-1 training from the outset.
If you want to know more about how to do this, just drop a comment in the box below