Debt... how to handle it ?

I think every body have experienced of debt. Let's say debt of credit card, debt of cell phone bill, or debt of loan. Having debt or not-paid-yet bills is uncomfortable experience. We have to meet debt collector, arguments fighting, or even physical fighting with them, and answering rushed calls. When we have a debt, we're always thinking : it's so nice and peaceful without debt.

But how to handle debt ? Here is my suggestion. List all of the bills that you have to pay. List it from highest of amount ones to the lower. Then identify which ones are involve interest. List them from highest rate of interest ones to the lower. If you have debt without involving interest, such as loan from your parent, you can ask them gently to pending the due date. The most priority debts you have to pay are the debts which are involve highest rate of interest, such as credit cards. The interest of credit card are 3% to 4.5% per month ! This debt should be paid first.

If you don't have enough income to pay them, you have to think how to improve your income. But still, you have to press your expenses in order to pay your debts. Call the customer service, and tell your financial situation honestly. Best loan provider always welcome and help their customers in this situation. If you are not get solution, push your self to pay the debt and close the case. You can maintain good relationship with loan provider who give you the best solution.

I've experienced this kind of situation. I had 3 credit cards and used them to build my house. Then I should pay them back with their high interest. 2 years I and my family pressed our expenses to pay the bills. And thank God, 2 are fixed and closed gently, and 1 left in safe ratio. I realized that nowadays are difficult time for people not to get loans, since live expenses rises very fast. But still, we have to keep our financial resources in balance and safe ratio. Good luck !