Debt is a major issue in the lives of most Americans. Debt problems do not only affect your emotional life but many other areas of your life too. Debt issues can cause you increased stress, emotional turmoil and become mentally exhausting. It is important to deal with debt in a healthy manner so that it does not totally wreck other aspects of your life.
Here are a few ways that you can deal with debt that will keep you from pulling your hair out. Face your situation
It is important to remember that avoidance is no solution whatsoever. It will not do you any good to throw your mail away and pretend that your debt problems do not exist. You should be willing to tackle your debts head on. In order to be able to do this, you need to be aware of how much money you actually owe. A major step is opening up the mail that creditors send you and listening to the voicemails that are left. This will allow you to properly assess your debt issues.
Consider your options
There are a number of options available at your disposal that can help you deal with your debts and buy you some time. Mortgage companies offer loan modification programs that can lower your payment until you get back on your feet. You can apply for debt forgiveness for certain loans and have the interest taken away. You can make a settlement offer that will lower your total payment and help you clear up your total debt. Consolidating your debts is another option which may cost more over the long term but ease your debt burden now.
Make a plan
Most individuals that worry over debt do so because they feel helpless. It is important to look at your debts from a rational point of view and create a strategy. Making a plan may sound like a simple approach but the results of a good plan are far reaching. You can calm your nerves and give yourself peace of mind by creating a plan of attack. You will feel a whole lot more at ease knowing that you have a serious plan that works.
The important thing to remember is not to let your debt woes stress you out. If you use the steps above then your financial problems will be under control and you can alleviate a lot of stress from your life.
Mark Riddix is the founder and president of New Horizons Financial Management, an independent investment advisory firm that provides personalized investing and asset management consulting. Mark is a regular contributor to Seeking Alpha and has written financial columns for Baltimore and Washington, D.C. area newspapers. Mark publishes his own financial blog, BuylikeBuffett.com and has written the book Your Financial Playbook.