Debt and credit

Smart Ways to Pay Off Debt Quickly

The debt load on a common man is increasing day by day. Each person desperately wants to get rid of their debt as quickly as possible. Even in ancient scriptures, having a debt on your head is mentioned as one of the worst things that could happen to a person. Often in an attempt to clear one kind of debt a person accumulates another kind of debt and the vicious cycle continues. It doesn’t matter whether you have a small amount on your credit card as debt or are trying to cross a mountain of financial responsibilities; debt is the main reason the financial dreams of a person are destroyed. If you are looking for quick ways to get rid of the debt which you have accumulated, the following smart ways will, certainly, help you to do the same, but it requires utmost dedication, determination, and persistence on your part.

  • Stop Utilizing Credit Cards Immediately

Credit cards are one of the major reasons a person comes under a mountain load of debts as a majority of persons get carried away when they know that they have money in their hand and will pay off to the bank next month. However, next month another financial obligation strikes and instead of paying the complete balance on the credit card, only the minimum amount is paid. Resorting to paying the minimum amount on your credit card each month will lead to a high amount of liability on your credit cards, since the interest rate charged on credit cards is high, and you will get trapped in a dangerous and never-ending cycle of debt.

If you cannot resist utilizing your credit card then it is best that you pay the entire amount and get the credit card account closed.

  • Take a Personal Loan

The personal loan here will be more of a debt consolidation loan. If you have debts from multiple instruments, it is ideal to get a personal loan to clear off the entire debt at once. Of course, you need to have a good credit score for that, so, if you have defaulted on your credit card or loan payments, you might not get a personal loan. But, if you manage to get one, you can pay off your entire debts at once especially the debt which you have on your credit cards. Thereafter, you need to worry about a single installment each month. You can compare personal loans online to find the loan offers that suits your financial situation.

  • Cut Down on Unnecessary Spending

Sit, relax and analyze where your money is going each month. Easily you will find certain areas which can be skipped. For example, if you are eating food daily from your favorite food station then it is time that you stop doing that and add that money in your savings. Over time, enough savings will be accumulated and you can use the same to pay off your debt quickly.

  • Use Bonuses to Clear your Debt

It may happen that your company credits to your account a bonus amount as a reward for your hard work and endeavors towards the company. Also, employees do get a festive bonus. It is easy to get carried away when you get some unexpected cash, but, you must refrain from spending it. You must keep in mind that your first obligation is clearing off the debt which you have accumulated. The peace and happiness which a person achieves after paying off his/her entire debt are unparalleled and unmatchable.

  • Get a Side Job

Nowadays, so many freelancing portals are available. If you are good at something then you can register your skills on a freelancing portal and make some extra bucks in your free time. Of course, this means you need to sacrifice your weekends but it is, undoubtedly, worth it. For example, if you know graphics designing, writing or video editing you can utilize the same skills to make some side income. Here also it is easy to get carried away with extra money in your hand but one must remember that paying off debts is the first obligation that he/she has.

  • Sell the things which you don’t require

Everybody has certain things which they either don’t use or use only for a limited time. Consider selling those things to get some extra bucks. Use the same to pay off your smaller debts like if you owe some amount of money to a person, return it back.


If you view your debt reduction activities as a sort of punishment you can easily go astray from your goal and would never be able to steer clear from your debt. Hence, create milestones in your debt reduction process. Whenever you manage to reach a milestone reward yourself. For example, if you owe money on three credit cards you can first concentrate on clearing one out of the three. As and when you are successfully able to completely pay the balance on one of your credit card, give yourself a pat on the back.

When you finally decide to pay off your debt, you are, undoubtedly, required to make some lifestyle changes but you are not required to make your life depressing. You can, certainly, go for your favorite movie but avoid spending on the popcorns. Moreover, you must convince your mind that all these changes are temporary. Once you are able to clear a major portion of your debt you can start putting back the activities, which you have removed, in your daily routine. Of course, you can take the popcorns then. You will realize that there is a sense of peace in your mind and a strange feeling of happiness that you have never come across earlier, once you have cleared all of your debt. Hence, be determined and very soon you will attain your objective of being debt-free.

If you have any questions, please ask below!