# Please help me out for paying off heavy debt



## Roter (Jul 29, 2015)

Hey guys, I need some advice regarding heavy debt
I am suffering from debt and how I pay off $36000 dollars.
I am having a hard time doing this and maybe all of your suggestion can help me.:upset:
Thank you in advance.


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## RBull (Jan 20, 2013)

^if you provide some more details on your debt type, terms and your income etc, some people on here may be able to make useful suggestions.


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## MMcLaurent (May 1, 2015)

An idea of your current income, any interest on the debt, how much you currently pay off etc - would be extremely helpful.


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## Oldroe (Sep 18, 2009)

Start with a journal of expenses right down to coffees.

List all debts and interest rate. Get your credit file.

List all available money rrsp,tfsa,cash.

Start with highest interest and get after it.

You might be able to move higher interest to lower interest.


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## tygrus (Mar 13, 2012)

You have a strange idea of what a heavy debt is.

I carry more than a million in debt on my business.


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## cashinstinct (Apr 4, 2009)

tygrus said:


> You have a strange idea of what a heavy debt is.
> 
> I carry more than a million in debt on my business.


For someone with possibly no assets in relation with that debt (Example: consumer debt / line of credit / credit cards), $36,000 can be a lot of money...

That's why the context is important to know. The amount itself does not mean much.


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## dougboswell (Oct 25, 2010)

Good suggestions given. Are you able to increase your income by getting overtime or taking on a part-time job? The other option is to lower monthly expenses where possible and apply savings to debt.


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## tenoclock (Jan 23, 2015)

-- negotiate the cheapest interest rate possible
-- find ways to increase income, your have 15 hours a day that you can work, 7 days a week. That's $5,000 a month at minimum wage. And that means less than a year before you are debt free (much much earlier in case of income higher than minimum wage)
-- sell assets that are non-income producing and that you do not really need. 

Good luck.


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## JessicaMack (Jul 30, 2015)

Same situation I have faced a year ago. But now I am debt free. I preferred to pay off all the higher interest first. I did minimum payments on the student loans and car loan, and put all our extra money onto the credit card debt. 
Once that was taken care of, we moved on to the car loan then student loans. Now it’s a great feeling for cleared all of my debt.
If you’re drowning in debt and looking for an easy way to out this I have heard about the McGuire Financial Group their services and financial advisor help is something you can use right now to relieve all of your heavy financial pressure.


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## Barwelle (Feb 23, 2011)

tygrus said:


> You have a strange idea of what a heavy debt is.
> 
> I carry more than a million in debt on my business.


You're right, a million is a 'heavy debt' compared to just a measly 36k. But to be fair, that million is money borrowed to make more money, you probably have more than a million in assets to balance that liability, and you probably have somewhat of a business plan to pay off that debt. Presumably OP's debt is consumer debt, it will not pay for itself, it will cost them non-tax-deductible interest, and judging by the post, OP is nearly financially illiterate. It's all about perspective.


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## nathan79 (Feb 21, 2011)

tygrus said:


> You have a strange idea of what a heavy debt is.
> 
> I carry more than a million in debt on my business.


You're out of touch with the normal reality then.

On a $36,000 debt the interest alone is $540 a month @ 18%. You need to put on at least $700 a month to start making any progress, but even at the rate it would take years.

Most people who are supporting a family can barely put a couple hundred a month into savings... if that. Tell me where the average person is supposed to come up with $700.


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## Oldroe (Sep 18, 2009)

That's why you journal your expense's "Everything". 

You are currently not living with in your means. And this is were you are going to make the adjustments necessary.


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## tygrus (Mar 13, 2012)

If this is consumer debt on a cc or something or short term, then go to the bank and get a credit line off of something, your home or even unsecured and get it moved over there. Cut your interest rate down below 5%. Now it costs you $150 to service it and then just start picking away a hundre a month or so extra. You can save that easy or even get a few hrs of work to cover it.


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## Rusty O'Toole (Feb 1, 2012)

Make a list of all the debts. Figure out which ones have the highest interest. Pay them off first. You must cut your spending to the bone and start paying down debt, once you pay off the first one you will have that much more to pay each week on the next.

Do you have any "toys" you can sell like a boat, motorcycle, etc? Get rid of them and pay down your debts.

I know it is hard. You have to revise your whole way of thinking and living. Once you start paying off debt and thinking of ways to reduce spending, you get better at it and the whole process goes faster and faster.


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## nathan79 (Feb 21, 2011)

Here's a calculator where you can enter all of your debts and calculate how long it will take to pay them off. Play around with some different monthly payments.

http://www.credit.com/tools/credit-card-payoff-calculator/


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## CalgaryPotato (Mar 7, 2015)

Step 1) Make sure your debt is at the lowest possible interest rate. Talk to a bank, see if you can consolidate it all. It may be hard to get a LOC for that much if you have no assets though. You may be able to talk to the credit card companies and find one willing to take it all on and consolidate it at a lower rate though.
Step 2) Stop incurring more debt.
Step 3) Start paying it off. Whether that means cutting spending, selling things, or getting another or a new job I don't really know.

Pretty generic but it's tough to give advice with no details.


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## indexxx (Oct 31, 2011)

Roter said:


> Hey guys, I need some advice regarding heavy debt
> I am suffering from debt and how I pay off $36000 dollars.
> I am having a hard time doing this and maybe all of your suggestion can help me.:upset:
> Thank you in advance.


#1- If you drink and/or smoke, stop immediately. (couple of thousand $ a year, or more if you imbibe heavily at bars)
#2- take out a low-interest line of credit (save a few hundred a month in interest)
#3- don't eat out at restaurants (couple hundred a month)
#4- cut your cable TV off (how much is it? I don't know as I haven't had cable for 25 years. $65 a month maybe? x 12= $780/year)
#5- shop at Value Village and Superstore (lower your monthly food and clothing bill, use Superbucks to gain 7 cents/litre on groceries- about 5% depending where you live)
#6- if you drive a nice car and/or have car payments, sell it and buy a decent used car for a couple of grand (use the difference against your debt)
#7- put everything you can towards your debt, every week. 
#8- Consider getting a roommate for a period if you don't already have one. (Cut your rent in half)
#9- take a second, part-time job. Even something like delivering pizza or flyers or working for a cleaning company on weekends will really add up- you could pull in $500-800/month

People often get discouraged by either a large debt or by a large weight loss- they see it as starting to be insurmountable, that the little bit they do today does not make any noticeable difference. However, in truth it is EXACTLY those small incremental amounts that add up over time- in the same way that you don't eat yourself 40 pounds heavier in 6 days, you can't pay off a debt in a month. You will do it, but it takes discipline. The interesting thing is that this psychology is reversed as well; once you start seeing results, you get excited and increase your efforts in order to see more results faster. Make sense?


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## supperfly17 (Apr 18, 2012)

2 pages and no sign of op


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