Manage Your Debts With These Easy Steps: Jones Law Firm

woman sitting on floor going through bills
Bills are piled on your countertops. Past due notices are hung by magnets on your refrigerator. Final notices are being sent. Falling on hard times can happen to anyone, and when it does, it can feel isolating and overwhelming. No matter the number of debts you owe, or the time frame in which you hope to pay them down, managing your debts is an important step to take to help ease the worry that weighs you down. If you are ready to take control of your financial future, take a look at these debt management tips from the Jones Law Firm.

Make a List of All Debts Owed and To Whom

It can happen to any of us: you take a look at a credit card statement and wonder why your bill is so high. Only then do you remember those emergency purchases you had to make or the bills you paid using your credit card. This is why it’s important to make a list of all your debts. Include the name of the creditors, the total amount of debt, the minimum monthly payment, and the due date. By having this list in front of you, you can do a quick total of all debts owed, as well as what your monthly expenditures are. It’s helpful to keep this as an updateable document so as you make payments, you can change totals. This will be particularly helpful as you also come up with a budget.

Make a Monthly Budget and Stick To It

We know how hard it can be to stick to your budget, especially in unpredictable times. But having a budget in place can help you make smart financial decisions and make payments on time. By having a budget, you can factor in all of your bills, necessary expenses, and hopefully, have a buffer you can utilize in savings or pay off debts quicker.

Create a Payment Calendar

You have a calendar to keep track of appointments and meetings, so it only makes sense to have one so you can pay your bills on time, too. Whether you have it posted somewhere you can see it every day, or you keep it next to your checkbook and computer, it’s important to keep a note of the calendar so you aren’t paying late fees.

Pay Your Bills On Time, Each Month

We know, easier said than done. But it’s important to pay your bills on time each month to avoid missing payments or adding late fee charges to your debt total. Though you may feel burdened by the grand total of the bill, even paying the minimum is working towards getting that total down.

Make a Priority List of Your Debts

Once you’ve taken a good look at your debt list, make another list prioritizing which debts you would like to pay off first. It is recommended that you take a look at interest rates on your credit cards and pay the highest amount down first. Those interest rates will only get harder to work down, so starting with the most difficult is a smart way to tear away the debt bandaid, so to speak. In addition, take a look at which creditors you are still in good standing with. It may seem counter-intuitive, but if you are in a good place with one creditor, you don’t want to mess that up. Continue to make your payments and stay in good standing. The companies that are already beginning the collection process will be harder to appease, so try to stay in financial graces with the creditors that you can.

Know When to Ask For Help: Bankruptcy

If after following these steps your debts are still unmanageable, it may be time to seek financial relief. There is no shame in seeking bankruptcy to help get your finances back on track. Being able to pick up the phone to say enough is enough, is a huge step, and one we can take with you. Let The Jones Law Firm help you in your bankruptcy process. We can take a look at your debts and assets and help to determine if Chapter 7 or Chapter 13 bankruptcy is right for you. If you live in Columbus, Ohio, let the Jones Law Firm kick-start your financial future. Contact the Jones Law Firm today.
Categories: General Bankruptcy