Image source: http://upload.wikimedia.org/wikipedia/commons/1/1a/Isoard2.JPG

You have to make sure that you surround yourself with the right people. If your partner is down all the time about the debt then try and radiate a positive vibe and push the importance of helping each other feel positive about the whole thing. If family members or friends are nasty or pick on you about the situation then they are not helping. I am not saying cut them out but don’t ask or take advice from them. They are not acting in your best interests.

Relive the shame and openly tell everyone close that you have a troublesome financial situation. Other people may have even been in a similar situation and can give you advice from their personal experiences. Once people know about your troubles they may go out of their way to help. Social situations may change. You may end up going to more dinner parties instead of going to restaurants or watching movies round each other houses rather than going to the cinema.

If you are depressed, see a psychiatrist. Your medical insurance should cover this and you can be referred by your doctor. Tell them about your troubles and be open. This is a common thing with them and they have developed many techniques and opinions to help you.

When you talk to a professional about your problems make sure that you have everything in order. You will feel less awkward if you can confidently tell them about your situation and they will be able to help get the best plan of action started.

Remind yourself that you are not alone. the total amount of consumer debt in the United States currently stands at nearly $2.5 trillion dollars. I am sure your debt is likely to be a minute chunk of this so you can see just how common your situation is.

So keep your head held high and ride your way out of debt with a smile on your face

As one of the best ways to start getting out of debt is to stop getting into more debt it is essential that you stop using and destroy your credit cards. The best way to do this is to cut or shred the card into small pieces and dispose of these.

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As satisfying as that is, it’s pretty tame and boring. We should be celebrating the birth of the new us and the credit cards should depart from this earth in style. Here are some creative suggestions for destroying your credit cards.

Make a credit card smoothie

Stick the little buggers in the blender, watch it swirl around and break into a thousand little pieces.

Burn Baby burn

Find a concrete surface, place the cards on the ground, get yourself a blow torch and burn the thing until it is a tiny little black husk of burnt plastic.

A message in a bottle

Get little pieces of your cards. You can cut them up, blend them, shred them or whatever. Split the pieces into 2 different bottles, add an amusing message or advice for the finder then toss them into the nearest ocean. You may end up saving someone from a similar fate! This could be counted as littering so think about it morally before doing it!

Light up the BBQ!

It’s a good idea when getting out of debt to cook at home as often as possible. One of the best ways to cook at home is the trusty BBQ. Wait until the charcoal is hot and throw the cards in…. wait until they are completely destroyed before cooking your food. You could invite friends over and celebrate the end of your heavy spending!

Strim them

It’s a good idea to do as many things yourself as you can so sadly the local kid who normally mows your lawn will have to find a new customer until you are in a better financial state. So make that first self mow a pleasurable one and use the mower or edge trimmer to cut the cards into as many pieces as possible.

Let the kids have them

Kids have the ability to destroy anything. Under your supervision give them the cards and tell them to find the best way to destroy them. You may be surprised at what they think up.

Put a cap in their…..

Hang the blighter’s up and see how many shots it takes to destroy them completely. This may be safest done at the shooting range!

Give them to the birds

Many species of birds adore shiny things… cut the card up into small pieces and cover them with aluminum foil. Leave them in the garden and wait. If a passing bird takes a liking to them, they may find a new owner and home with treetop views.

Do the witch test

In the middle ages they used to test if people were witches by tying rocks to their feet and throwing them in the river. If they sank they were not a witch, but would die of drowning! If they floated, then they were a witch and would be burned at the steak! Cut the chip and number from your card, cut and destroy them as necessary. Then tie your card to a rock and do the witch test. So the card will turn out to be innocent…. but at least you got rid of it!

OK, some of these are ridiculous but you can see how fun it could be… just be creative, celebrate the moment and dive into the new you in a humorous positive fashion.

1. Make an expenditure list

Write down everything you spend. You will be surprised at some of the things you spend money on, that you do not have to. Just think if you cut out the journey to the coffee shop every morning you could save anywhere between $10-$30 a week. That probably equivelents at least one debt payment per month. Once you have the information written down you will be much more motivated to not spend in certain areas. It may even help you become a gourmet home cook or cut down on smoking.

2. Make best use of credit cards

See if any of your credit cards have interest free offers or transfer any credit card debts to a new interest free credit card. The 6-12 months in interest relief could give you the money to pay off another debt.

3. Catch up on the world for free

Watch the morning news on the tv or read it on the internet. You will save around $5-7 dollars a week in newspapers.

4. Assess all your household bills and expenses

See if there are any cheaper suppliers. I know I save a bundle when I combined my gas and electricity payments. You may also be able to cut back on certain cable channels or even combine internet / phone and TV. You may be able to find a cheaper supermarket for food or buy your gas from another station on your daily route.

5. Budget for the coming month

Look at your household income and work out a reasonable budget and if you can include a little cash to spare for those “out of the blue” moments.

6. Separate your money from debt money

Create a new bank account or, if your account allows it, a new pot. That way you can easily keep track of how much is left as the month draws on.

7. Leave temptation at home

Leave all credit cards, debit cards and check books that are unneeded at home. If you never need these cards, keep the account details on file and cut them up. I always enjoy seeing how many pieces I can cut a card into!

8. Get a long term plan

If you are in a large amount of debt then there is no point fooling yourself into thinking that it will disappear in a flash. Set yourself up for the long haul and it will be much easier to stick to and not get depressed.

9. Join Ebay and have a yard sale

“One man’s junk is another man’s treasure”. Look around your home, if you have been there a while, chances are you have a lot of stuff that you really don’t need. Collect it all together and sell all the quality items by auction on ebay. The rest can be sold in a yard sale. You may end up with a bigger lump sum than you imagined.

10. Make some more money with your free time

With some of the free hours you have every week you could make some extra money from your hobby or find a part time job. I started blogging as a hobby and ended up making money on the side. Now it is my full time job. Your knowledge should not be undervalued. You may be an expert gardener or be able to create some great art to sell. Alternatively a couple of hours working at the a pizza restaurant or local store may actually be fun and prevent you from spending.

11. Ask for a raise

Most people feel undervalued at work. It is said “if you don’t ask you will not receive”, so ask your boss and you may be surprised. Company policy is often never to offer a raise unless asked.

12. Lose the shame of debt

Debt is very common and many people are in the same situation as you. If you let your friends and family know then the attitude towards you will be a lot more open and people will be more willing to spend time with you in non-spending situations. You may even be forced to take some free drinks from close friends on the occasional Friday night. Don’t be ashamed, these are your friends and you will be there for them one day too.

13. Speak to a professional

This is something that will go hand in hand with these tips and many professionals will give you many more ideas on top of these. You may be able to consolidate some of your debts or even wipe some off or propose settlement offers.