Being in debt can often be a worrying and distressing time, depending on how much you are in debt and how in control you are of your finances. However, the good news is that it’s always possible to get out of debt. With time and effort you can get through the pain of being in debt. You do need to realise you have a debt problem and face up to the fact that you will have to change the way to deal with your finances. Follow these tips to take the steps to get out of debt:

1. Prioritise your debts. If you have more than one debt then pay them in order starting with your mortgage followed by your utility bills.
2. You must organize your income and outgoings by drawing up a budget plan. This will highlight how much money you have left at the end of the month.
3. Switch to a cheapest interest credit card. If you shop around, there are many low interest rate deals around such as 0% interest balance transfers.
4. Stop using your card until your debt is cleared. But if this is not possible you should consider switching to a card with a low interest rate or 0% balance transfer.
5. You should be cutting up your old credit cards if you don’t need them anymore as this will avoid temptation to use them. Cut up your store cards too and make sure you write or call the company to cancel them else you will be sent replacements when they expire.
6. The quicker your debts are paid off, the less they will cost you in interest – speed up your repayments if you can. Don’t just pay the minimum repayments as the debt will take years to pay off.
7. Consider moving your mortgage if you are on the lender’s standard variable interest rate as there are better deals around. The money you save by moving your mortgage could be used to reduce your more urgent debts.
8. Try to look at ways that you can increase your income. Try to work longer hours at work or get a second job.
9. If you get into trouble with your repayments it is important to let your lenders know your situation. They may be able to help by allowing you to delay payments for a month or two. It may affect your credit score if you do not keep up your repayments and do not let the lender know.
10. Don’t be afraid to contact a debt counselling service for help. Some find it helpful to contact a representative from a organisation dedicated to helping people face their financial problems.