• Pay off credit card debts monthly instead of just making the minimum payments allowed. Making minimum-only payments costs you a lot in extra interest and keeps you in debt for many years. • Avoid “guilt spending” on yourself and your kids (if applicable). • Stash money in an emergency fund and then use it only for true emergencies. Three months’ worth of expenses is a good buffer; six months’ worth is better. • Control your spending plan, even if you control nothing else. It’s the single most important element in your overall success. • Make paying student loans a priority because even bankruptcy won’t eliminate them. • Communicate with your creditors because ignoring them won’t solve anything. Besides, you’d be surprised what people will do for you if you just ask them. • Keep promises to creditors and be especially careful to keep promises to yourself.
POINTS TO REMEMB O REMEMBER:
• Getting your personal finances under control could help get you out of a difficult situation and create a solid foundation for future success and homeownership. • To make your household budget work, you first need to take an accurate look at your income and expenses. Then look for opportunities to cut costs, earn more, and save more. • There are hundreds of online resources to help you manage your budget, find extra work, or even earn
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