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Luxuries to cut off to pay off your debt

When we have outstanding credit balances, we often panic and can’t see the forest for the trees. Most of what we buy can be considered wants, rather than needs. By limiting our spending on these things, it becomes easier to clear debt. Consider ways you can save money to pay debt off sooner. The sooner you pay off your credit debt, the less money you will have to pay in interest fees and the more money you have in your pocket! Consider the following luxuries that are easy to limit and could potentially save you thousands of dollars.
Buying new clothes Think a little shopping every weekend won’t damage your credit? Think again. Even if you only spend a small amount and use cash, it is still money that could have been used to pay off debt. Many people treat shopping as a form of recreation, but if you are carrying a balance on your credit card, you really have no business buying more of something you already have until you have paid off that balance. Unless you are buying something that you truly need, swear off all forms of clothing shopping until you get your credit problems in check.
Dining out Eating out is convenient and can help save time at the end of a busy work day. It is also very expensive. A week’s worth of groceries for a family of four costs about $150. A week’s worth of eating out for a family of four costs between $500 and $700. Choosing to eat breakfast, lunch and dinner at home will save you hundreds of dollars, whether you live alone or have a family. Making your own meals at home is one of the most efficient ways to save money for paying off credit debt. 
Holiday decorations and gifting Decorations and gifts can end up costing thousands of dollars. Rein in your holiday spending every year and you will not only find a way to pay off existing credit debt, you will also stop the accumulation of more credit debt in the next holiday season. 
Traveling Just because you get a week or two of vacation every year doesn’t mean you have to actually travel somewhere. A few years ago, the term “staycation” became popular with families who were looking for ways to enjoy vacation time without spending thousands of dollars on long-distance travel. Instead of booking a $6,000 trip to Hawaii, choose to spend your next vacation at home and allocate your savings to paying your credit card balance.
If your credit debt has risen to a level that is unmanageable, consider seeking the advice and guidance of a credit reduction or debt consolidation service. 
As a regular contributor to several finance websites, such as, Stella Walker uses her knowledge of economics, consumer trends and budgeting to help readers better understand their own personal finance issues. Feel free to leave your questions and comments for her below!


Michelle said...

We're definitely working on cutting out our eating out. It will save so much money!

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