{"id":434,"date":"2018-05-10T04:42:02","date_gmt":"2018-05-10T04:42:02","guid":{"rendered":"http:\/\/www.development-work.com\/mydebt\/?p=434"},"modified":"2020-10-26T04:48:18","modified_gmt":"2020-10-26T04:48:18","slug":"how-to-live-your-debt-free-dream-focus-on-the-next","status":"publish","type":"post","link":"https:\/\/www.mydebtacademy.com\/credit-counseling\/how-to-live-your-debt-free-dream-focus-on-the-next\/","title":{"rendered":"How to Live Your Debt Free Dream &#038; Focus on the Next?"},"content":{"rendered":"<div class=\"fusion-fullwidth fullwidth-box fusion-builder-row-1 fusion-flex-container nonhundred-percent-fullwidth non-hundred-percent-height-scrolling\" style=\"background-color: rgba(255,255,255,0);background-position: center center;background-repeat: no-repeat;border-width: 0px 0px 0px 0px;border-color:#e2e2e2;border-style:solid;\" ><div class=\"fusion-builder-row fusion-row fusion-flex-align-items-flex-start\" style=\"max-width:1248px;margin-left: calc(-4% \/ 2 );margin-right: calc(-4% \/ 2 );\"><div class=\"fusion-layout-column fusion_builder_column fusion-builder-column-0 fusion_builder_column_1_1 1_1 fusion-flex-column\"><div class=\"fusion-column-wrapper fusion-flex-justify-content-flex-start fusion-content-layout-column\" style=\"background-position:left top;background-repeat:no-repeat;-webkit-background-size:cover;-moz-background-size:cover;-o-background-size:cover;background-size:cover;padding: 0px 0px 0px 0px;\"><div class=\"fusion-text fusion-text-1\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;\"><p>Your debts will never let you live in peace. Majority of consumers in our country can\u2019t lift their head up from the debt mess!<\/p>\n<p>It is time we should do something about it! Else not only us, but also our country, will suffer another financial crisis pretty soon.<\/p>\n<p>This post is designed to help you recuperate from all the debt related problems you have suffered till date! So gear up, and see how you can live your debt free dream, forget the past, and focus on what comes next!<\/p>\n<\/div><style type=\"text\/css\">@media only screen and (max-width:1024px) {.fusion-title.fusion-title-1{margin-top:10px!important;margin-bottom:15px!important;}}@media only screen and (max-width:640px) {.fusion-title.fusion-title-1{margin-top:10px!important;margin-bottom:10px!important;}}<\/style><div class=\"fusion-title title fusion-title-1 fusion-sep-none fusion-title-text fusion-title-size-two\" style=\"margin-top:10px;margin-bottom:15px;\"><h2 class=\"title-heading-left\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;margin:0;color:#37474f;\"><p class=\"title\">Why is it important to leave behind the past, clear all liabilities and breathe freedom?<\/p><\/h2><\/div><div class=\"fusion-text fusion-text-2\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;\"><p>You can do nothing by crying over spilled milk. You should be practical and stop thinking about your mistakes. Especially when it comes to debts, the more you think about what you could have done; you miss your opportunities of doing something now.<\/p>\n<p>So what\u2019s gone is gone, you should now focus on how you can pay off your debts, be debt free, and plan a financially successful future!<\/p>\n<p>It\u2019s one life you have got, the more you waste it on regrets and past, the little is left for the present and the future!<\/p>\n<p>I am giving you the very basic idea. You will have to clear your debts first. Then your next step will be taking care of your savings and investments.<\/p>\n<p><img decoding=\"async\" class=\" wp-image-570 aligncenter\" src=\"http:\/\/mydebtacademy.com\/wp-content\/uploads\/2018\/05\/savings-300x196.jpg\" alt=\"finance and savings\" width=\"457\" height=\"299\" \/><\/p>\n<p>So without any further ado let\u2019s see how to get you back on your feet, once again financially!<\/p>\n<\/div><style type=\"text\/css\">@media only screen and (max-width:1024px) {.fusion-title.fusion-title-2{margin-top:10px!important;margin-bottom:15px!important;}}@media only screen and (max-width:640px) {.fusion-title.fusion-title-2{margin-top:10px!important;margin-bottom:10px!important;}}<\/style><div class=\"fusion-title title fusion-title-2 fusion-sep-none fusion-title-text fusion-title-size-two\" style=\"margin-top:10px;margin-bottom:15px;\"><h2 class=\"title-heading-left\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;margin:0;color:#37474f;\"><p class=\"title\">How to clear your debts? Various suitable methods and how to apply them:<\/p><\/h2><\/div><div class=\"fusion-text fusion-text-3\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;\"><p>Actually, there are many ways you can be debt free. But the whole thing depends on how much debt you have in total. And\u00a0<a href=\"http:\/\/mydebtacademy.com\/types-of-debt\/\">what type of debts you have<\/a>.<\/p>\n<p>Also, you should take care of your credit score while you are on the debt-clearing escapade. So choose the methods that suit you the best.<\/p>\n<p>You have debt consolidation, debt settlement, personal repayment plans and obviously the last resort called bankruptcy.<\/p>\n<p>But no matter whatever you choose it should act as the one and only move that will wipe your debts.<\/p>\n<h3><strong>For unsecured debts and revolving credits:<\/strong><\/h3>\n<p>Unsecured debts are those that don\u2019t have any collateral attached to them. They fall under the category of consumer debts and are actually pretty easy to handle. Examples are credit cards, personal loans, payday loans, and any other loans or credits that have no backed up security.<\/p>\n<p>I always suggest that with these type of debts, it\u2019s better to stick onto <a href=\"http:\/\/mydebtacademy.com\/debt-consolidation\/\">debt consolidation<\/a> and debt settlement.<\/p>\n<h3><strong>How will debt consolidation help you to clear your debts?<\/strong><\/h3>\n<p>As the name goes, this debt relief option will bring all your debts together into one single place and help you deal with only one single monthly payment.<\/p>\n<p>If you approach a consolidation company, then they are going to help you consolidate your debts, and provide you with a nice and decent payment plan.<\/p>\n<p>All you will do is pay the consolidation company a fixed monthly amount, and the company will,\u00a0in turn, disburse the amount to all your creditors.<\/p>\n<p>If everything goes well, it\u2019s even possible to save a good amount on your debt payments. You can use the\u00a0<a href=\"https:\/\/www.ovlg.com\/calculators\/debt-payoff.html\" target=\"_blank\" rel=\"noopener\">online debt payoff calculator<\/a>\u00a0and see how much money you can save.<\/p>\n<h3><strong>How will debt settlement clear your debts?<\/strong><\/h3>\n<p>In plain words, the\u00a0settlement will reduce your overall debt amounts up to a great extent. It\u2019s tough to use this method on your own. It\u2019s better if you take help of a settlement company.<\/p>\n<p>The company will talk to your creditors and will negotiate your account balances. A lump sum amount will be proposed, and if you are lucky you will be able to settle your debts with pennies on dollars.<\/p>\n<\/div><style type=\"text\/css\">@media only screen and (max-width:1024px) {.fusion-title.fusion-title-3{margin-top:10px!important;margin-bottom:15px!important;}}@media only screen and (max-width:640px) {.fusion-title.fusion-title-3{margin-top:10px!important;margin-bottom:10px!important;}}<\/style><div class=\"fusion-title title fusion-title-3 fusion-sep-none fusion-title-text fusion-title-size-two\" style=\"margin-top:10px;margin-bottom:15px;\"><h2 class=\"title-heading-left\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;margin:0;color:#37474f;\"><p class=\"title\">For secured debts like mortgage, car loan and all:<\/p><\/h2><\/div><div class=\"fusion-text fusion-text-4\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;\"><p>These loans are really tough to deal with. Normal consolidation and settlement procedures are not possible, as it has collateral attached!<\/p>\n<p>If you don\u2019t pay off the balance then the lender will take away the property from you and get the loan amount reimbursed!<br \/>\nHence in such cases, it\u2019s better to talk to your lender straight away.<\/p>\n<p><strong>Go for a\u00a0loan modification, or loan refinance<\/strong>\u00a0and see if it can help you with such debts. In modification, you will adjust the loan terms and rates. Whereas in refinance you will pay off your existing loan balance by taking out another loan at the current market rates which are typically lower than your existing one.<\/p>\n<h3><strong>What about Student loans?<\/strong><\/h3>\n<p>I won\u2019t be talking much about student loans as this is a different topic altogether! If you have a federal loan then see\u00a0<a href=\"https:\/\/studentaid.ed.gov\/sa\/repay-loans\" target=\"_blank\" rel=\"noopener\">what student loan payoff option you have<\/a>.<\/p>\n<\/div><style type=\"text\/css\">@media only screen and (max-width:1024px) {.fusion-title.fusion-title-4{margin-top:10px!important;margin-bottom:15px!important;}}@media only screen and (max-width:640px) {.fusion-title.fusion-title-4{margin-top:10px!important;margin-bottom:10px!important;}}<\/style><div class=\"fusion-title title fusion-title-4 fusion-sep-none fusion-title-text fusion-title-size-two\" style=\"margin-top:10px;margin-bottom:15px;\"><h2 class=\"title-heading-left\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;margin:0;color:#37474f;\"><p class=\"title\">Other methods to be debt free:<\/p><\/h2><\/div><div class=\"fusion-text fusion-text-5\" style=\"font-family:&quot;Poppins&quot;;font-weight:400;\"><p>You can use a personal debt payoff plan and follow a budgeting strategy. I propose you the zero-based budgeting.<\/p>\n<p>Every month you keep aside a certain amount for your debt payments and then go on with your other expenses.<\/p>\n<p>The motto of this budgeting is to bring your income minus your total expenses to zero.<\/p>\n<p>So don\u2019t stop assigning your dollars a fixed purpose until and unless your Salary &#8211; Expenses = 0.<\/p>\n<h3><strong>Plan the future and focus on the next:<\/strong><\/h3>\n<p><img decoding=\"async\" class=\" wp-image-572 aligncenter\" src=\"http:\/\/mydebtacademy.com\/wp-content\/uploads\/2018\/05\/focus-300x200.jpg\" alt=\"plan and focus on next\" width=\"481\" height=\"320\" \/><\/p>\n<p>Once you are done with your debt liabilities it is now time to plan for a financially successful future.<\/p>\n<p>You should start doing savings and go for fruitful investments.<\/p>\n<p>Also take seriously your retirement accounts. They will be with you in your last days of life.<\/p>\n<p>So every month from your paycheck dedicate a minimum of 20% to savings.<\/p>\n<p>\u201cEventually the more the better\u201d<\/p>\n<p>But only building savings won\u2019t be enough. You should also not incur more debts in the future. Mend your spending habits and understand the difference between your needs and wants.<\/p>\n<p>Use credits sensibly and always try to maintain a good credit score. Having a good credit portfolio is as much important as having a well-diversified investment portfolio.<\/p>\n<h3><strong>So here\u2019s the end-note summarization:<\/strong><\/h3>\n<ol>\n<li>Continue to maintain a budget even if you have cleared your debts.<\/li>\n<li>Use credit cards only when it\u2019s necessary. Its better you use them only for emergency purposes.<\/li>\n<li>Stay fit and healthy to avoid medical debts.<\/li>\n<li>Get yourself insured, and stay protected financially in times of unfortunate events.<\/li>\n<li>Never hesitate to go for a financial therapy, or financial counseling, as it will really help you to understand which parts of your finances need improvement.<\/li>\n<\/ol>\n<p>That\u2019s all, hope you are now smart and will do all it takes for financial freedom, and the peace of the mind!<\/p>\n<\/div><\/div><\/div><style type=\"text\/css\">.fusion-body .fusion-builder-column-0{width:100% !important;margin-top : 0px;margin-bottom : 20px;}.fusion-builder-column-0 > .fusion-column-wrapper {padding-top : 0px !important;padding-right : 0px !important;margin-right : 1.92%;padding-bottom : 0px !important;padding-left : 0px !important;margin-left : 1.92%;}@media only screen and (max-width:1024px) {.fusion-body .fusion-builder-column-0{width:100% !important;order : 0;}.fusion-builder-column-0 > .fusion-column-wrapper {margin-right : 1.92%;margin-left : 1.92%;}}@media only screen and (max-width:640px) {.fusion-body .fusion-builder-column-0{width:100% !important;order : 0;}.fusion-builder-column-0 > .fusion-column-wrapper {margin-right : 1.92%;margin-left : 1.92%;}}<\/style><\/div><style type=\"text\/css\">.fusion-body .fusion-flex-container.fusion-builder-row-1{ padding-top : 0px;margin-top : 0px;padding-right : 0px;padding-bottom : 0px;margin-bottom : 0px;padding-left : 0px;}<\/style><\/div>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6,9,11,17],"tags":[],"_links":{"self":[{"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/posts\/434"}],"collection":[{"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/comments?post=434"}],"version-history":[{"count":0,"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/posts\/434\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/media?parent=434"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/categories?post=434"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mydebtacademy.com\/wp-json\/wp\/v2\/tags?post=434"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}