Top tips to pay off your debts fast
Looking at where you could save money is a vital part of paying off your debts faster and not just swapping Waitrose for Lidl or swapping a Sky subscription for dusting off your old VHS player, but looking deeper can make a significant contribution towards debt repayment.
Have you considered re-broking your car insurance? What about your building and contents insurance? Taking a look at these outgoings (and even utility suppliers) could lead to you saving some significant money.
If you’re smart the debt itself can be reduced. For example, having a credit card debt is likely to be claiming a high interest rate repayment, it may be a better option to secure a personal loan that can repaid at a lower rate, and use the lump sum to pay off the credit card.
Plan the debt demolition:
Sometimes we’re comfortable just setting up a direct debit and knowing it’ll slowly repay our debts in the background over time. But we could take a proactive approach and ensure our debt repayment is planned.
Paying off the larger debts first will save you money in the long run, as there’ll be fewer repayments with the inevitable interest rates attached. Sometimes paying smaller debts first can inspire you to keep on the path to having your debts cleared though. The important part is to stick to whatever plan you make.