Paying down debt is tough. It means tightening your belt for a few months or even years so that you can focus on becoming debt-free as soon as possible. However, overdoing budget cuts can also undermine your ability to live comfortably, so it’s important to find a happy medium.

Apply the Snowball Method

The snowball method is a useful technique for sequencing your debts in order of magnitude so that you can pay off the largest ones first. After all, it’s the really big ones that weigh on your mind the most, so the sooner those are gone, the better.

Simply compile a list of all your debts from largest to smallest. Then, be sure to continue making the minimum payments on all your smaller debts while focusing whatever extra funds you have on paying off your biggest debt as quickly as possible.

Once the biggest is out of the way, repeat the process with the next biggest debt, using the extra funds you now have after paying your first big debt.

This method helps you create a focused plan of action with tangible rewards and a real sense of progress each step of the way.

Don’t Deny Yourself All Joy

One of the most important aspects of debt recovery that too few people talk about is ensuring that you maintain a healthy and positive mental state throughout the repayment cycle. 

It’s important to set aside time and funds to focus on eating healthy, enriching food, exercising, engaging in your favourite hobbies, and spending time with friends and family. 

Don’t be ashamed to set aside a small bit of cash to reward yourself when you hit certain debt repayment milestones. This could be a dinner out, a new item of clothing, or even something like a slab of chocolate.

Just be sure not to overextend yourself in the business of pleasure and end up undermining all of your hard work. 

If you need help overcoming a seemingly insurmountable amount of debt, don’t lose hope. Speak to Zero Debt today and let us help you navigate your way towards financial freedom.