Learn Debt Discipline by Starting Small

Has this tough economy gotten the better of you and now you have a pile of debt to payoff?

I know the feeling as I was just like you not too long ago. I tried many of the well known high finance methods to getting out of debt and they just did not work for me.

The common wisdom is that you need to payoff the high interest debt first. This is fine if you have the will power and discipline to actually do it. But really, did we not get into debt in the first place because we lacked discipline?

Here is the secret I learned to paying off my debts quickly. Pay down the quick debts first.

This seems strange but I learned discipline by paying off some of my lowest debts first. That rights, I ignored the common advice of paying off high interest rate debt and working my way down to the smallest. By paying off my small loans first it felt like an instant victory and personal reward every time I closed out a debt.

This felt absolutely fantastic, and you know what it did? It gave me incentive and encouragement to keep paying off my debt, and by doing this I developed the discipline necessary to pay down all the money I owed.

After I had canceled off many of my small loans I now had the will power, drive, and determination to take on the high interest loans and really start get out of debt. Before I knew it time had passed and I was debt free.

You can do this as well. If you are like me you need a system to learn some self control and will power when it comes to paying off your loans. Starting small and then building some momentum to the larger beast of your debt profile will give you the encouragement and will power you need to finish it all off.

Here is one thing that I did that really helped myself out. Once I had paid off some small loans and had will power to pay off the rest I decided to put all the rest of my debt in to one loan. I was able to secure a bad consolidation debt mortgage and all of those monthly payments were put under one loan. Now I just had one payment to make every month and it was at a much lower interest rate as well.

After you develop some discipline with your debt payoff you could benefit from a bad debt consolidation loan too. Remember, if you have a hard time getting start, then begin with the small debts and pay them off one by one. As you do this you will feel good about yourself and believe you have the will power to pay off the rest.