Do you want to reduce debt? One way that being popular in US is Debt Snowball Method. This method has been popular after best selling author, Dave Ramsey introduce the key to eliminating debt.
In his program, you need to do this :-
1) List all your debts from smallest to largest regardless of interest rate
2) Make minimum payments on all your debts except the smallest
3) Pay as much as possible on your smallest debt
4) Repeat until each debt is paid in full
You can look at the infographic from Daveramsey.com. Did it work?
It will work as this approach about behavior modification. If we find the results fast you’re more inclined to stick with the program until the end.
At first, it will hard to do it but after you making progress, it will give the results. This idea might be able to beat all of our debts and you get the momentum to finish it.
You can read the example on how Debt Snowball work at EveryDollar blog.
The important part is doing the list as you will have plan to finish first. The debt snowball method will free up our finance and we can focus on our retirement ,vacation and giving.
Let’s do it now..