4. Start Communicating If you’re like many consumers with outstanding debts, last person you think about speaking with is creditor—the company you’ve been avoiding at all costs.

“Not contacting your debt creditors to discuss and develop a plan for paying, settling or reducing principal amount and/or interest on debt” is one of worst mistakes you can make, says financial expert Ivan Gelfand, president and CEO of Pepper Pike, Ohio-based Ivan Gelfand, Inc., and author of “Your Money, Your Future” (to be published in April).

He also recommends contacting relatives or friends for temporary assistance in reducing debt and making payments, which will lower your outstanding debts’ interest rate. 5. Conquer Denial—Today! Many consumers who recognize—and even accept fact—that they have a spending addiction refuse to address their problems, according to Stroh.

“Budgeting is not fun,” he says, “but dealing with creditors is even less fun. Many people will therefore bury their heads in sand, hoping their problems will go away. Unfortunately, outside of winning lottery or getting a windfall inheritance from a long-lost uncle, budgeting and consulting with a professional counselor are only ways to successfully resolve financial problems.”

--------- Fox Symes assists all Australians discover truth about their debts and how they can rapidly reduce them. There are methods available to Australian public and you can discover how to use these to assist you in reducing your debt with a free phone consultation from Fox Symes. Visit http://www.foxsymes.com.au or contact them directly on 1300 361 204.

The third step towards getting out of debt is to increase monthly payments. Paying more than minimum payment applies more money towards balance and costs an individual less in interest over long run. Adding even five additional dollars per payment can reduce number of payments made of a loan or credit card. Reducing number of payments made decreases amount a person pays in interest and fees.

Additional debt management strategies include seeking help from a debt consolidation agency, refinancing, or applying for a loan. When a person has several high interest loans, high interest bills, or higher interest credit cards, they pay more money for things they bought than those things were actually worth. High interest rates slow down dent made in principle owed, and can add years to repayment. Sometimes, one loan can be achieved at a reasonable interest rate, and can be applied to other debts. This reduces amount of monthly payments made, and decreases dollars each month spent vainly on interest.

Getting out of debt can be a life goal, or it can be a goal achieved daily through little steps. Debt can be manageable, but a person must be hands-on about their financial health. A hands-on, educated approach decreases confusion and increases speed at which debt dwindles and savings increase.