Most people looking for ways to get out of debt feel like they’ve tried everything. They’ve applied for loans and been turned down. They’ve closed their high-rate credit cards, but they’re still barely able to pay the minimums. They’ve cut back on spending in order to put more toward the debt. Sometimes you need to do more.
Here’s 4 get-out-of-debt ideas that require a little more guts:
1) Get out of debt by spending more
If you’re in debt, try investing money and time into new ideas that will ultimately fatten your wallet. You’ve heard the old adage: you have to spend some to make some. Stop wasting your time worrying about paying your debt off. The best course is to stay positive and take some risks. You might try starting a blog about your financial woes, buying that new gadget that will make your work more productive, or if you own your own business, running a new ad campaign that offers discounts to your customers. In the short term, you may have to go deeper into debt, but in the long term, you’ll be thankful you did.
2) Seek something else
If the attempts you’ve made to get out of debt are not working, try finding something that will. You might think you need to work harder or longer hours to make enough money to pay off your debt – but truly successful people don’t think like that. The secret is – they seek new skills – relevant and marketable skills – that employers everywhere would need in their employees. So while you’re in debt, why not pick up a class or two or start shopping your resume around for a job in a different field. Find a worthwhile alternative and eventually your gutsy-ness will pay off.
3) Who said using your parents was a bad thing?
Just because you have too much debt to get a loan of your own, doesn’t mean you can’t use mommy and daddy’s good credit to get some. Many rich people probably used their parents’ accounts to finance themselves. But seriously, there are a couple ways your parents can help out:
a) Have your parents co-sign on a loan.
b) Have them add you as an authorized user on their credit cards, which still carries some weight on your credit score, and may give you that boost that will enable you to qualify for a loan.
c) Have them give you a zero- or low-interest loan (beating your other loan options).
4) Find some rich friends
Rich friends are expensive to have, but with some good ideas, you might be able to turn your expenses into revenue-rolling dough. So when you’re in great debt – try surrounding yourself with rich friends. You might find that some of their good fortune will rub off on you. Come up with a good business idea and your rich friends will become your greatest angels, investing in your business. Remember, if you scratch their backs, they will scratch yours.
Have any good, but bold ideas on how to get out of debt? Please share your thoughts with us.
Gobankingrates.com does not necessarily support or endorse the claims of this post. You should consult a licensed financial professional about your individual financial needs.