Stick to your repayment plan at all costs

AIMING TO BE DEBT-FREE? | Consolidate multiple debts into one with a lower interest rate

- SANJEEV SINHA

DEPENDING ON HOW debt is managed and utilised, it can be a helpful financial tool as well as a potential risk. When used wisely, debt can help achieve goals and take advantage of opportunities. However, excessive debt, high interest rates and irresponsible borrowing can lead to financial stress and negative consequences.

It is essential for borrowers to carefully assess their financial situation, budget, and repayment capacity before taking on debt and use debt responsibly to achieve their financial objectives.

Sometimes debt can be a significant burden, affecting financial stability and hindering ability to achieve long-term goals. However, with discipline, determination, and smart financial planning, it is possible to overcome debt and regain control of your financial life.

Here are some effective strategies to clear your debt:

Create a budget

The first step to tackling debt is to create a comprehensive budget. List all your sources of income and track your expenses diligently. Identify areas where you can cut back and allocate more funds towards debt repayment. A well-structured budget will help you understand your financial situation and prioritise your debt-clearing efforts.