Money management has many components. To be able to spend wisely and minimize your debts, you need to look at every aspect of your earning and spending activities. Borrowing money can get us through some situations – like buying a car or a house, for education, paying off some old debts or even shopping. My Money Tips Blog offers some tips on how to lower the interest of borrowed money and manage high interest debt.
The very first tip is to review your credit card and bank account statements by looking back on what you purchased and what you charged to your credit card. Note your unnecessary purchases and list them down. Resolve not to spend for these items if you can help it.
Move to lower your monthly bills. Check if you are making the most of your cable TV, cellphone plan, internet and other services that you pay on a regular basis. If you think you can live with a cheaper plan, or do away with some add-on services, then opt to discontinue them.
An important tip is to save aggressively. Do all means possible to save. Instead of taking the car five times a week, try commuting for three days. Check out coupons for groceries, lower your air conditioner’s thermostat, and turn off lights that you do not need. Once you save on these things, add the amount you use to spend for them to your monthly payments.
Look for ways to go around some provisions of the IRS when computing for your taxes without committing anything that violates the law. Try to make the most from some possible deductions to your tax payments.
All these savings can add up to a substantial total that would definitely lower you debt payments
