Expert Financial Tips: How to Get Out of Debt With No Money

We all know it isn’t always easy to be the responsible adult we always dreamed of being. Sometimes, we make mistakes along the road. Sometimes, those mistakes are financial and can cause serious headaches. 

Many of us in the United States are in debt, so don’t worry if you have some. You’re not alone in seeking to live debt-free as soon as you can. 

Perhaps you have a lot of student loan debt, which would be no surprise in this country. The unfortunate truth is that Americans have built up $1.5 trillion in student loan debt by the year 2018. Plus, there is mortgage debt, car debt, credit card debt, or even debt from financing that awesome couch recently. 

No matter what your financial debt looks like, there’s hope for you still, even if your income is meager. Continue reading to learn how to get out of debt with no money.

Start with Your Mindset and Your Current Status

It’s no secret that living under serious debt can be overwhelming in many ways. It’s common to feel stuck or debilitated. Those feelings, though, don’t have to last if you’re committed to paying off all your debt. 

You deserve to live a life of peace and financial prosperity – even if it doesn’t seem like it right now. Before you get discouraged with all the debt you have, take a good look at your future. 

Where would you like to be in five years, or even two years? How awesome would it feel to know you are financially free of debt, even if you’re still at a low-income job?

The good news is that if you’re motivated and determined, you can make that debt-free lifestyle happen. Instead of focusing on the difficulties of the next few years, remember how great it’s going to be in that debt-free future. 

To start, you need to get all of your ducks in a row when it comes to your financial situation. Organize everything that concerns your financial debt to get an idea of exactly how much you’ll need to pay off. Then, start making intentional progress to chip away at that debt. 

Reduce Your Expenses and Simplify Your Lifestyle

Once you know how much debt you have to pay off, take a look around. Are you making decisions on a regular basis that are continuing to put or keep you in debt? Are there certain habits that you’d be better off without while you’re paying off all of this debt?

The fact of the matter is that we could all do with a little less “stuff” around us – especially in the United States. If you need to readjust your budget to allow for more debt payment, that’s okay. It’s better to invest in a debt-free future than to eat at expensive restaurants you can’t afford every night. 

The good news is that there are resources available to help you simplify those expenses and budget. You might want to think about hiring a professional financial advisor. It’s understandable, though, if that’s something you simply can’t afford. 

You’ll be able to figure out what your lowest possible expenses would be if you work at it. Plus, you can use budget and spending trackers to help you stay on top of your weekly or monthly financial budget. In no time, you’ll be paying off your debt little by little, month by month. 

Work Some Side Hustles

Looking at your monthly budget and your monthly income might cause you some anxiety. Don’t worry, though. There are still more options that could help. 

If it’s at all possible, do your best to find some side hustles to increase your regular income. These side hustles can look like anything they need to look like when it comes to scheduling and type. It’s understandable that we all live busy lives, but you never know what you might find. 

Don’t Be Afraid To Ask for Help

Living in debt can be embarrassing for some people. That mindset, though, can hold you back from potential opportunities. 

If you haven’t already, it can be a helpful idea to reach out to family members and friends you really trust. Perhaps you know some of them who would be willing to help you pay off some debt on a personal loan, allowing you more freedom than a regular creditor would. Either way, it’s worth searching around for.

The Number One Strategy for How To Get Out of Debt with No Money

It’s okay to get frustrated when you consider how low your current income is compared with your debt. Perhaps the best thing you need to try to pay off your debt is something called the snowball method. 

The snowball method is tried and true, not to mention pretty popular. Debtors struggling financially start by only paying the minimum payments on all their accounts. Once one account is paid off, the money that was going toward that will start going to the next lowest account. 

So, over time, your accounts will get paid off one by one, though your monthly payment toward debt won’t change. Plus, the snowball method ensures that you won’t get into even further debt since you’ll be paying all the minimum payments. Read more here for more information about the successful snowball method. 

Stay Motivated So You Don’t Stay in Debt

You know that at the end of the day, your ultimate goal is to live in complete financial freedom. You look forward to the day when you have no debt clouding your thoughts or your future. We’re here to help you throughout that journey and hoped you’ve learned a lot on how to get out of debt with no money. 

We understand how important it is to maintain motivation and dedication to paying off that debt. We encourage you to do your best to stick with it – you deserve to live a fulfilled, debt-free life. In fact, start by reading this article on handling your debt so you can stay motivated and reach your financial goals.