Tag: ways to pay off your debt

Are you in debt? Maybe you’re finally in the headspace to start putting a plan together to get rid of your debt once and for all? Perhaps taking the next step is a bit unclear?

Well this video may just be for you.

In this video, you’ll learn about Dave Ramsey’s first 3 ways to pay off your debts, as he sets out in his Baby Steps and Debt Snowball Method. When you are looking to tackle your debt and looking for ways to pay off debts, sometimes you get overwhelmed and may not know exactly where to start.

This is not a how to video, so if you’d like more information, I encourage you to check out Dave Ramsey and his Financial Peace University with great content that may help you. Sometimes the most empowering thing you can do is to find a good place to start. I hope this video will help you start identifying the ways to pay off your debts. Let’s dive straight in.

Zero Based Budget

It’s interesting just how many of us have a very vague and general version of a budget, that ultimately doesn’t help or serve you with your money and spending habits.

Having the right budget is crucial. Here I talk about the ‘income minus expenses equals zero’ budget.

Emergency Fund of £1000

I find it interesting how this step is taken before you even start to look at making payments on debts. It’s great because having this pot of emergency money will stop you from reaching for the dreaded credit card for those unexpected emergency type expenses that arise. By the way, emergency fund isn’t code for ‘wow I can buy that handbag I’ve had my eye on!’

List your debts and tackle the smallest one first

This is interesting as I hear a lot of commentators encouraging making a start on the debt with the highest interest rate first. I talk about Dave Ramsey’s legendary debt snowball method.

I look forward to hearing how you get on.