When you first decide to get out of debt, it’s common to spend a bunch of time analyzing your debts and trying to figure out the “best” way to pay them off.
Should you pay a little bit extra to each one every month? Should you focus on just one with the debt snowball method? Use a debt avalanche? Reduce your interest rates?
But there’s one critical thing so many people forget to even think about, let alone do.
Ready to start your debt payoff race? Here’s a surprising truth about that: It doesn’t start where you might think.
Ask someone how to get out of debt, and most people will start by telling you to make a list of your debts.
It’s no surprise that the typical approach to paying off debt focuses on, well, the debts themselves — their interest rates, what order to pay them in, etc — and often on ways to make extra money or reduce expenses.
But getting out of debt (and staying out of debt) is really about changing behavior. Change the behaviors that got you into debt in the first place, and you’ll have the hardest part licked. That’s where brainstorming your way out of debt comes in.