Are you set on getting out of debt fast? One of the quickest ways to do this is to go on a spending fast, otherwise known as a spending freeze or lock-down. This method was extremely beneficial to Wise Bread writer Anna Newell Jones:
By doing a spending fast, I was able to substantially improve my financial life by paying off $23,605.10 in debt in a matter of 15 months! Now I am able to live a debt-free and autonomous life, one where my goals take priority and the debt doesn’t.
Here are the 16 steps you can follow to attempt to achieve similar results:
- List your debts and their interest rates
- Ask your creditors to lower your interest rates
- Picture the life you dream of living
- Ask yourself if there is any way that you can reach your goal with you current debts
- Decide to be done with debt
- If you’ve got a partner, try to get them on board with the spending fast
- Declare your desire to be debt-free publicly
- Create “needs and wants” lists
- Spend money only on things from the “needs” side of the list
- Focus on the things you can buy rather than those you can’t
- Immerse yourself in a community of like-minded people
- Attack your debts
- Remain committed to the process
- Continue with your fast until you’ve reached your determined end date
- Be proud of your accomplishment, big or small
To read up on the specifics on each of these steps, head over to Wise Bread’s How to Do a Spending Fast in 16 (Easy!) Steps.