It seems very nice to buy a new item or to wear a new piece of cloth but if it comes with a price which is more to the tag attached then it has no value. You should not show your image depending on borrowed money as that you not only lead you to a debt trap but would also affect your health adversely resulting serious problems like heart attack and stroke. It is better to collect things in cash more than in credit so that you can limit your expense to a considerable extent. You can limit your credit card use to a single one and freeze all the other and also use it for only in case of emergencies only.

Be More Realistic

You should be more realistic in making expenses and only stick to your needs more than your wants. It is also not wise to use the debit cardeven as that can also spur more purchase. You could focus on more tangible objects and since you would not have any plastic in your hand you cannot make any expenses for your wants. Also think and consider your affordability to go for that after work shopping spree or for that expensive lunch and then avail it. Think about the embarrassing moments and the uncomfortable situations when you have to admit your friends that you are in debt. All this realistic realizations would help a lot in shrinking your debt.

Create A Budget SpreadSheet

Be honest with you and crate a budget spread sheet in which you should include only those things that you need for a daily living and exclude those which you want and could easily do without. You should also be disciplined and diligent enough to stick to the budget and follow it precisely. Though there is no thumb rule for preparing such a budget as choice and needs differ from man to man, but skip those things which you can live without, at least till the time your financial health revives a bit. There are several such budgeting tools available for free on the internet which you can use for this purpose.

Record Your Transaction

For each monetary transaction you make, take a receipt and attaché it with your budget spread sheet. Insist on a copy of the bill every time you visit a coffee shop, a gas station or the local grocery store. Look at those receipts and you would be at times embarrassed at yourself to see how much extra you have spent which you really did not have to. You would realize that you have spent the earnings of may be a week’s extra work for which you did not get any payment. Such uncomfortable feeling would help you to move along your financial journey.

Set Aside Some Money

As soon as you get the paycheck, you should keep aside the whole amount of money that you would require to pay off your monthly bills. This way you would not have to consolidate credit cards to pay off the debt. It would limit your spending ability as well as make you satisfied to see that your debt level is slowly but surely shrinking in front of your eyes. Click here to learn more.