Write down all your unsecured debt and monthly payments and select the one you owe and pay the LEAST. Double up (or as much as you can afford) on that payment only until you pay it off. Then pick the next lowest one and attack it the same way and so on. It's going to be TOUGH. While you are doing this, DO NOT incur any more debt and cut down to bare minimum all your discretionary spending (like Cable TV, dinners out, movies, etc). It's hard but it can be done. Good luck. jorge
When we were in a major pickle ~10 years ago, we did as Jorge mentioned and got out from under $18,500 of credit card debt and a bunch of medical bills!! We made the list of what we were bring in and every expense going out. After that, we got rid of cable,
never ate out (that helped a TON), and I sold almost every gun I owned. I'd drop your cell phone and if you want to let the wife have a cell phone for safety purposes, make it an "Emergency Plan". We made
very small but regular payments on the med bills and paid of each of the small CCs first and after we killed those, I paid on the "Big 3" according to their interest rates (mins to the lower two and max payments to the highest % card). As others have mentioned, we now use a CC for the cash back bonus (BP gas is 5% off!!) but pay the balance in full every month.
For a few years now, I've been keeping a running budget on an Excel spreadsheet that I keep on a flash drive in my pocket(and backed up on my laptop). I update this spreadsheet every day M-F and, for us, it's been a vital part of staying ahead financially (just looking at it is the biggest benefit). It's nice to see how spending today will effect our finances a 1-2 years out and the Excel formulas take all the work out it! In the past, we'd be running along fine and then have something like a car break-down, car plates, X-mas/birthdays sneak up on us and we'd have to break out the CCs. I now have funds set up and pay them regularly so when stuff like car/home repairs, X-mas, kids activities, etc. come along, we're paying for them out of the fund instead of going into debt.
Best of luck - you'll be very glad you took financial control of your life so KEEP IT UP!!!
