DebtFreeIQ.com: debt free guide to freedom

With the hustle and bustle of the daily grind, becoming debt free should be your number one priority, even when it is to easy to lose track of finances and wind up in over your head. Most of America can sympathize with the frustration that accompanies such a spiral. Eliminating debt is an admirable goal, if only so that one can regain their momentum.

The best place to start is by paying off the debt you have with the smallest balance. Once that‘s been eliminated, take what you have left to start covering other loans you may have. If this type of regimen is faithfully followed, the debt will begin to disappear before your very eyes. Coming up for air after drowning in debt can be utterly refreshing, and give you a different perspective on life. If someone is willing to apply themselves, they can get fairly simply. This is not to say that it is a painless process; it can seem difficult at times. However, in the long run, dropping debt it’s more than worth it.

It‘s crucial to avoid being taken aback by continually looking at the total amount of money owed. Looking at things on a micro-level makes it a lot easier; taking smaller bites makes it easier to chew. This kind of steady, even payment progression gives one a sense of accomplishment and a step closer to becoming debt free. After the debt is gone, and the credit score goes up, and interest rates go down… you’ll begin to feel like a new free person. Just make sure that this new person doesn’t fall into the same bad spending habits as before.

Impact of Overwhelming Debt

When debt gets to a certain point, it becomes too difficult to even consider trying to get debt free. This is bad, because it indicates to the world that the consumer is overburdened. That kind of indicator means lenders in the future won’t be willing to take the risk of extending capital. Those willing to take the risk will make the interest rate attached to the loan astronomical in order to minimize any potential losses. Someone with less debt will pay less on the loan amount than someone with a large amount.

Sure, bankruptcy may seem like an appealing option. It gets creditors off your back, no one is hassling you, and it appears to be a fresh start. Still, this is not the best option if it can be avoided. It will follow you for ten years. You won’t be able to get a loan very easily in the future. It doesn’t have to be that way. A responsible approach to the debt you have can make it go away, and after experiencing a bankruptcy, most people agree that they wish they’d have considered their other options.

Here are some more debt free resources...

7 Ways to Spot a Credit Repair Scam
If you've recently had an application turned down because of bad credit, you know the importance of good credit as well as anyone. Having bad credit can make life a little inconvenient. You might find yourself paying high security deposits or getting turned down for credit cards, loans, and even jobs....<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/27/7-ways-to-spot-a-credit-repair-scam.htm">Read Full Post</a>
12 Reasons Your Budget Isn't Working
Are you about to give up budgeting because you can't get your budget to work? Check out these <a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/od/reducingdebt/tp/troubleshoot-budget.htm">12 reasons your budget isn't working</a> before you throw in the towel. Usually when budgets go wrong, it's because of the method, not the budget itself....<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/25/12-reasons-your-budget-isnt-working.htm">Read Full Post</a>
Beware Email and Phone Credit Card Scams
Credit card thieves come up with more clever ways of tricking you into giving your credit card information. They like to pose as your credit card company, calling or emailing you to alert you to trouble with your account. Be suspicious any phone calls or emails you receive from someone claiming to with your bank or card company....<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/24/beware-email-and-phone-credit-card-scams.htm">Read Full Post</a>
The Debt Collector Could Be Checking Your Facebook
If you tell the debt collector you're about to file bankruptcy today, you probably shouldn't post pictures of your new Corvette tomorrow. Otherwise, the debt collector could use that information against you. The <a href="http://clk.about.com/?zi=1/1hc&zu=http://azstarnet.com/business/local/article_400b63da-f20e-5d16-900c-7bc6f2728a61.html">Arizona Daily Star</a> report tells of a the debt collector who discovered information on Facebook and used it to confront a businessman who'd lied about his inability to pay a $17,500 debt. That confrontation got him to pay up....<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/20/the-debt-collector-could-be-checking-your-facebook.htm">Read Full Post</a>
Could This Be the Best Cashback/Balance Transfer Card Ever?
How does this sound for a cash rewards deal? Five percent cashback on gas purchases, two percent on groceries, and one percent on everything else. What about a 4.99% interest rate on balance transfer for two years?...<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/15/could-this-be-the-best-cashbackbalance-transfer-card-ever.htm">Read Full Post</a>
Which Comes First: Mortgage or Credit Card Payment?
In this economy, more people are choosing to pay their credit cards over their mortgages, according to a <a href="http://clk.about.com/?zi=1/1hc&zu=http://www.marketwire.com/press-release/TransUnion-Study-Finds-More-Consumers-Making-Payments-on-Their-Credit-Cards-Before-Their-1111336.htm">TransUnion study</a> released in February. Traditionally, homeowners would pay their mortgages before anything else because they wanted to keep their homes....<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/14/which-comes-first-mortgage-or-credit-card-payment.htm">Read Full Post</a>
Looking for Money to Pay Your Debt?
If every penny of your paycheck is already dedicated to something else, paying off debt seems out of reach. You can come up with the money to pay off your debt, but you have to be creative. For example, have you considered getting a roommate or border? What about selling some old things on eBay or Craigslist? I have a list that includes 77 ways to come up with extra money for your debt. <a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/od/reducingdebt/a/moneyoutofdebt.htm">Check it out</a>....<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/13/looking-for-money-to-pay-your-debt.htm">Read Full Post</a>
Will a Magnet Stop Your Credit Card From Working?
I'm pretty sure some of you ladies have had a credit card stop working after you've put it in a purse or wallet with a magnetic closure. Apparently any type of magnet, and possibly even your cell phone, could potentially stop your credit card from working. Check out this article from CreditCards.com: <a href="http://clk.about.com/?zi=1/1hc&zu=http://www.creditcards.com/credit-card-news/magnets-wipe-out-credit-card-data-cell-phones-1272.php">6 answers about magnets' impact on credit cards</a>....<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/12/will-a-magnet-stop-your-credit-card-from-working.htm">Read Full Post</a>
The Credit Card Fraudster's Favorite Schemes
Credit card fraud has been heating up right along with the summer temperatures. It seems like there are more credit card fraud stories than ever. In all the fraud stories, there seem to be some types of schemes that credit card thieves like more than others. Perhaps these are the ones that are most successful. Check out <a href="http://clk.about.com/?zi=1/1hc&zu=http://www.cardratings.com/creditcardblog/2010/07/cards-scams-fraud-rings.html">Fraud Rings' Five Favorite Schemes</a> from CardRatings.com.
Police Find Credit Card Skimmers Equipped With Bluetooth
In a few Gainesville, FL gas stations, police have uncovered credit card skimming devices equipped with Bluetooth. This means the credit card thieves don't even have to get out of their vehicle to retrieve the credit card numbers picked up by the device. They just have to be close enough to the gas pump to connect via Bluetooth and then they can download stolen credit card data to a cell phone or laptop computer....<a href="http://clk.about.com/?zi=1/1hc&zu=http://credit.about.com/b/2010/07/09/police-find-credit-card-skimmers-equipped-with-bluetooth.htm">Read Full Post</a>