It is very important that people understand how to properly manage their debt so that they don’t end up getting bad credit. Here are 15 steps that anyone can take to get out of debt and gain control over their finances.
1) Understand Your Debt – Before you can begin to pay down your debt you need to understand where your money is going in the first place. 
2) Categorize Your Debt – Not all debt is equal so it is a good idea to put your debt into two categories, debt that is needed and debt that is not. Necessary debts would include your mortgage and auto title loans. Unnecessary debt would be major credit cards and store credit cards. 
Pay Off Debt
3) Make A Plan – Once you have determined which debt is needed and which is not it is time to come up with a plan to pay off as much debt as you can to get better control over your finances.
4) Get A Loan – It may sound strange to advise getting a loan when you are trying to pay off debt, but if you can get cash loans that have a lower interest rate than the credit card you want to pay off then it will save you money in the long run. You can do a search for online loans percentage rates to find out how this option can work for you.
5) Consolidate Your Loans – Put all of your debt together with a lower interest rate to save money and pay down your debt faster.
6) Pay The Highest Rates First – When you are paying off your debt start with the ones that have the highest interest rates first.
7) Move Your Debt – Get a card with a lower interest rate and move your debt onto that card to save money on interest payments.
8) Don’t Just Pay The Minimum – Ever. Don’t ever just pay the minimum amount due on a credit card. Often the minimum payment only covers the interest. Always pay extra.
9) Snowball Your Payments – Once you have paid off one card or debt that doesn’t mean you now have more money to spend. Apply that money to the next debt to pay that down faster.
10) Cut Expenses – This one seems obvious but needs to be stated. If you want to reduce your debt you have to stop spending money you don’t have.
11) Use Your Savings – Most people don’t like dipping into their savings. But it is smarter to pay down your debts first. Once you have your debts paid off you can start saving money again.
12) Downsize – Get rid of extra things and payments that you don’t need. Cut the cable, lower your cell phone plan, and stop eating out. Do whatever you need to do to cut your spending and put money towards paying down your debt.
13) Ask your Creditor for Help – Sometimes if you call and ask them to lower your interest amount they will. It never hurts to ask.
14) See a professional – A financial planner can help you come up with a plan to get out of debt and stay out.

15) Stick With It – Don’t give up! Getting out of debt can be a long process but it is worth it. 

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