The most asked question when you find yourself in deep trouble because you have accumulated massive amount of debts is “how do I lessen my debts?” You may have seen multiple ads on TV that promises quick fixes and debt reduction programs that try to aid you in paying your debts in the quickest and best ways. But you can decrease your debt with just a little commitment and planning. There are a lot of ways that you can decrease your debts for free and efficiently. Now is the best time to start paying those balances.

Here are a few strategies you can do yourself to eliminate those debts:

Assess Your Budget

Your first step to reducing your debts is to collect information on your debts then examine your budget. List down your monthly budget after all taxes and bills are removed. Once all expenses are subtracted, determine how much funds you have left to pay your balances. If your budget is too little, look for other ways to lessen your daily expenses.  Try unsubscribing from monthly subscriptions such as gym membership, phone and cable services temporarily as you try and overcome your debts. The more funds you have per month, the more debts you can pay. This means you also can pay your balances quicker.

Try To Negotiate

Consider contacting your lending company to check if you can adjust your terms with them. Doing this may be able to decrease your interest rates or talk your way to a reduced total balance with their customer service. Most borrowers find it easy to negotiate debts that are dismissed by the creditor already. Also consider transferring your balance to a line of credit with a zero percent promotional rate for the first 6 to 12 months to avoid decreasing your credit score. While doing this, check if combining your balances into a personal loan could also help you.

Prioritize Paying High Interest Debts

It will be a smarter move to pay your balances on the card that has the highest interest rate. This may sound obvious but it is easy to get confused on which debt to prioritize if you are juggling your budget on multiple credit cards. If you are paying more than the minimum payment, direct all these payments towards the credit card with the highest rate first. By focusing on the card with the higher rate, you will be paying lesser interests and saving money at the same time. This strategy will aid you on hastily paying your debts and will give greater motivation. As soon as you see your debts start to decrease, will make you more focused and guarantee that you will never experience the difficulties of having debts again.

Use Cash More

Over the course of time, small purchases you didn’t thought mattered will become accumulated. If you are using your credit card as much as you are blinking or breathing, then you have to immediately stop. Just like any bad habit, this one can be easily stopped too. You might have noticed that credit cards are now more irrelevant as debit cards are now taking on their role. So, there is no longer the need to carry your credit cards with you every time you go out. Leave them at home and use your debit cards or better, your cash.

Follow Up Your Reduction Plan

Do the best you can to pay your monthly balances on time. It is okay if the amount you pay varies each month. Just focus on constantly paying your debts. Automate your payments and regularly check your progress to help you stay on track. Celebrate each milestone you achieve and before you notice it, you will be free of debt!