Being in debt is certainly no picnic. No one intentionally dips into this pool for a quick swim. It is just something which happens, inexplicably, almost like a gravitational pull over which you have no control. And girl, if you are one of those unlucky ones who have walked up the garden path of debts, fear not; there is hope for you…still. In hindsight, you think: if only I was aware of my spiralling finances and taken steps to counteract it. Ah! Hindsight is such a beautiful thing. But the intriguing part about debts is that we never realise it till we are neck deep in it. It might be complete ignorance coupled with overspending as in:
- Denny and George scarf - have to have it
- L K Bennett - a girl’s best friend
- Chrome kitchen ware at Harrods - jazzy
- Sushi at M&S- its a little luxury for a working girlSale at the quaint boutique- yippee…beam me up Scottie
Picture this: you get up in the morning and see a pile of mail at your doorstep. There is a tingle of anticipation as you pick it up. A lottery win…maybe? Yeah, fat chance. The envelope screams at you louder than anything you have ever heard - LADY, YOU ARE IN DEBT. Anyways, what’s done is done. Now it’s regrouping time.
Getting your finances in order takes time. Don’t expect anything to happen overnight. Your impending payments won’t conveniently get poofed away. You really have to work it girl. An ideal way to jump start your debt rehabilitation exercise is to get started on a self-repayment programme. Understand your current debt condition and work out the total amount to be paid to your banks and credit accounts. And last but certainly not the least, find out if you owe any mortgage payments.
It has been proven that women make great administrators, and you have to admit... we are great at making lists. So, for starters, make two lists; first one for fixed expenses, like rent, power, electricity, phone, etc. The second one for fixed expandables (which are equally important), like entertainment, take-outs, dinners, beauty therapy and so on…. (Don’t cheat). After that, note your monthly incomes from salary, part-time job or any other source.
In all probability, there is a sharp contrast between your financial incoming and outgoings. Now comes the tough part; tailoring your budget to suit your new debt repayment plan. All financial gurus (including me) will tell you that budgeting is an integral part of all self-help plans. And by the way, you would need discipline, a lot of it if you want to keep to the straight and narrow. Eliminate unnecessary expenses and reserve a portion of your monthly income for debt repayment. During these lean days, take care not to indulge in new debts. Follow the regime strictly (like a no-carb diet) otherwise you will be back to square one. If possible, look for other opportunities to increase your monthly income. Not good at this self-discipline thing? No problem - set up a direct payroll deposit and automatic payments with your bank. These steps will definitely help you get on the right track to overcome your debt problems over a period of time.
