The first thing you will need to do is make a list of all your debts, the amount due, and the amount of your monthly payment. Managing debt takes a lot of hard work so you need to be completely focused on clearing it. Also, be sure that you are making equal payments since not paying a debt results in the amount due growing exponentially.

Before you contact any of the debt collection agencies, you should outline a payment strategy on how you are going to pay off your debts. Go over your budget and try to find places where you can cut back so that you can make more money to compare with the minimum of the debts. You should analyze why you are in this situation and make full sacrifices so as to stay afloat.

You can cut back. If you are living in a home that has high interest rates, now is the time to get it lowered. You should find out if consolidating your loans will lower your payments enough to save you from drowning. Consolidation will often save you money as long as you get a loan with a lower interest rate. But even if you don’t get a low rate, you may find that the amount of money you have to repay on a monthly basis is lower than what you have been paying so far.

But if consolidation isn’t an option, then the only thing you can do is pay more than the minimum amount each month. Make a budget and stick to it. If you are cutting back, make sure that things get replaced with the cheaper brands of certain things. Add this money to the payment of your debt and pretty soon you will have acquired momentum and be able to get rid of the debt easily. It is not necessarily about the amount that you pay and how hard you try to pay off debt- but it is more about the fact that you can manage your money and creditors will love you for it. People that become Stone Age victims find it hard to get along with modern-day culture.

Find a way to make extra money. You can get a second job or have a garage sales. If you are looking for second job, you might want to check the work hours of your current employer first so that you can try and get the job without having to spend any extra income on rent, gas, and other expenses.

With a garage sale, you can turn the items you are willing to sell into instant cash, but make sure you don’t try to sell your unrecoverable items. This can be tricky because there’s always the possibility of buyers having no interest in your particular items.

You can give up certain activities such as golfing or playing golf. This is especially great for the little guys since it eliminates their expensive golf equipment from the home.

Try to go green. Instead of driving and hitting the court, go on a pleasant walk or drive. Use the time to get your mind away from the finances that are burdening you. This is especially great for people who have children. It is like a physical bleach and helps you forget about what you are doing.

Be honest with your partner, family or friends. I know that can be hard as none of us want to own up to our mistakes or be seen as a screw up. But it takes a strong person to own up to their own faults. Your partner or loved ones will be mad at first, but they will understand and will support you. And that is what you need most of all, support to help you through the dark times. They can even help you formulate a plan to budget and handle your money better.

Another thing is to see yourself in your minds eye paying off your debts. I know I might be veering off into Law Of Attraction territory here. But it helps in the long term to focus on the end result rather than the problem itself. It will keep you going.

Lastly, keep going and don’t beat yourself up. Many of us were never taught proper money management. Its not really a skill that can be learned and taught. Experience is usually the best teacher. And the lessons of debt will make you more better at handling and respecting money.