What to do When the Debt Relief Process Feels Burdensome

You’ve made the decision to work out your debt situation – congratulations! Choosing to tackle your debt head-on rather than procrastinating on your payments – or worse yet, denying it is all together – is a vital first step in the quest to regaining financial security. Nonetheless, navigating a debt relief plan has its own host of stressors and can feel overwhelming at best – or downright burdensome at worst.

First of all, know that you’re not alone. At any given time, help is just a click or phone call away – especially if you’re working with an experienced, reputable debt relief company. But even if you’ve decided to go it alone, there are a few things you can do to shave off some of the overwhelm.

Write a Budget

Creating a stringent (but still feasible) budget is the best first step when embarking on any financial plan. Understanding – and visualizing – your income streams, fixed monthly expenses, and variable (or discretionary) expenses will give you a clear picture of your financial health, from what you make, to what you have to spend, to what you can (and should) cut.

Make sure you’re realistic when crafting your budget. In other words, try to think of your variable monthly expenses as what they are – not what you would ideally like them to be. For instance, don’t aim to spend only 100 dollars a month on groceries if you realistically need to spend 400 dollars to feed your family of three. You will be far more successful in paying off your debt if you develop a realistic, grounded picture of what you spend each month. That said, though, keep in mind also that this is not necessarily the time to create a generous discretionary vacation item on your budget list! Be realistic, but also pragmatic, when setting your personal or family budget.

Control Your Spending

The next step is to rein in the habits and tendencies that got you into debt in the first place. Close any credit accounts that are tempting you to rack up charges. Resolve to live a bit leaner while you’re paying off your debt by saying no to lavish vacations or expensive dinners out. Unsubscribe from all vendor email listservs so you aren’t enticed by a semi-annual sale at your favorite stores. In other words, commit to doing what it takes to remove yourself from situations that will tempt you to burn through your money or worse, accrue more debt.

Build A Nest Egg

Some debt issues can be caused by unavoidable – or even worthy – expenses, like school loans or medical bills. In particular, the ever-increasing costs of healthcare can land many consumers in a tough financial situation, as can emergencies like a leaking roof, broken pipe, or the sudden breakdown of a vehicle that necessitates the purchase of a new one. To prepare for contingencies or emergencies, boost your emergency fund or overall savings to cover them. This will help you avoid having to rack up new debt for unexpected bills that land in your mailbox. With a reserve of 3-6 months of living expenses in your accounts, you should be able to knock out surprise bills without having to roll them into your pre-existing debt snowball.

Engage a Debt Relief Partner: Contact a Reputable Debt Relief Company

Finally, don’t shy away from help! A debt relief company or credit counseling agency can help you get back on track financially by putting you through a debt relief program. Typically, these programs will involve some form of debt consolidation (rolling your debts into one single amount owed and then entrusting them to your agent to pay your creditors on your behalf), or debt settlement (a process by which your representative negotiates with your creditors on your behalf to lower your principal and/or interest). It’s best to first make sure the company is accredited and reputable, as many will charge steep fees or fail to deliver the services they promised.