Skip to content
United Settlement
  • Manage Your Debt
    • get-startedGet Started
    • settlementDebt Settlement
    • consolidationDebt Consolidation
    • debt-managmentDebt Management
    • bankruptcyBankruptcy
    • credit-cardCredit Card Debt
    • businessBusiness Debt
    • car-loanAuto Loan Debt
    • student-debtStudent Loan
  • Understand Your Debt
    • credit-cardCredit Card
    • business-2Small Business Debt
    • medicalMedical
    • loansLoans
    • umbrellaCredit Card Relief
    • interest-ratesInterest Rates
    • student-debtStudent Debt
  • Tools & Resources
    • faqFAQs
    • credit-cardCredit Guidance
    • calculatorCalculator
    • call-usContact Us
    • contact-usAbout Us
  • More
    • Debt Settlement
    • Debt Consolidation
    • Reviews
    • FAQs
    • About Us
    • Contact Us
    • Blog
    • Sitemap
    • Debt Relief by State
Professional Debt Relief Programs
Logo
United Settlement
phone icon 888-574-5454
client icon Client Log In
  • More
    • About Us
    • Reviews
    • Contact Us
    • Debt Settlement
    • Debt Consolidation
    • Debt Management
    • Business Debt Relief
    • Credit Card Debt Relief
    • Debt Relief by State
    • FAQs
    • Blog
    • Sitemap
Qualify For Debt Relief
Professional Debt Relief Programs
  • Manage Your Debt
    • get-startedGet Started
    • settlementDebt Settlement
    • consolidationDebt Consolidation
    • debt-managmentDebt Management
    • bankruptcyBankruptcy
    • credit-cardCredit Card Debt
    • businessBusiness Debt
    • car-loanAuto Loan Debt
    • student-debtStudent Loan
  • Understand Your Debt
    • credit-cardCredit Card
    • business-2Small Business Debt
    • medicalMedical
    • loansLoans
    • umbrellaCredit Card Relief
    • interest-ratesInterest Rates
    • student-debtStudent Debt
  • Tools & Resources
    • faqFAQs
    • credit-cardCredit Guidance
    • calculatorCalculator
    • call-usContact Us
    • contact-usAbout Us
  • More
    • Debt Settlement
    • Debt Consolidation
    • Reviews
    • FAQs
    • About Us
    • Contact Us
    • Blog
    • Sitemap
    • Debt Relief by State
United Settlement » Debt Management » How to Get Out of Debt
admin March 11, 2018

How to Get Out of Debt

For many Americans, carrying high levels of debt has become a way of life and figuring out how to get out of debt has been put on the backburner. The American consumer remains on an unprecedented debt binge, as aggregate levels of revolving credit card debt now exceed one trillion dollars, with 38% of American households carrying some form of credit card debt (source).

Meanwhile, total household debt (including mortgages and car loans) now stands at 13.15 trillion dollars. And let’s not forget that total student loan debt in the United States now checks in at a cool $1.45 trillion. Whether it be through credit cards, home mortgages, auto loans, student loans, personal/installment loans – or some combination thereof – it’s clear that for many, a component of the American Dream, unfortunately, is the debt nightmare.

total-debt-balance

Total Debt Balance

In fact, a recent study from early 2017 indicates that approximately 73% of American consumers don’t know how to get out of debt and actually die in it!  If you’ve got a debt problem, don’t take it with you to the grave (source). There is no better time to figure out how to get out of debt than the present. With proper planning, guidance and dedication, you can find your way out of debt.

credit-card-debt-chart

Start by Formulating a Budget

Regardless of how deeply buried in it you are, getting out of debt quickly starts by taking stock of your current financial situation. Develop and maintain a budget that provides you with a sense of financial control and a foundation for financial wellness. All a budget really implies is that you should get a clear and written account of your expenses as they relate to your regular monthly income. A clear budget will provide you with a sense of control over your money and get you started on the path toward living a debt-free lifestyle. Simply gaining a clear handle on the level of your necessary expenses – housing, transportation, food, utilities, etc. will go a long way toward establishing a fresh financial foundation.

how-to-get-out-of-debt

Spend Less, Earn More

Common sense dictates that you must be willing to alter the spending habits that led you into debt in the first place. When it comes to spending less, cut out restaurant meals in favor of eating at home, brew your own coffee at home, look for bargains at consignment shops and thrift stores, find an alternative to that overpriced monthly cable bill, and cut out expensive sporting events and entertainment.

One simple rule that works – if you can’t afford something with the cash in your pocket or your debit card – don’t buy it! Think in terms of using credit cards only for emergencies. If changing your spending habits sounds like a difficult proposition, consider seeking help from an accredited credit counseling agency that can educate you while putting you on the right track to getting out of debt fast.

You may or may not have given much thought to taking on a second, part-time job that offers flexible evening and weekend hours. The fact is that restaurants, retailers and other service businesses (including driving for Uber or Lyft) are viable candidates for earning extra income. You may also want to consider looking for items around the house that you don’t really use and offering them for sale on Craig’s List, the Facebook Marketplace, or on eBay.

Examine Your Credit Reports and Monthly Statements

Request your credit reports from the three national credit reporting bureaus . Check for any inaccuracies that could be lowering your credit score (and preventing you from the benefit of lower interest rates) and dispute them with the appropriate agency if necessary. For all existing credit card accounts, get clear on your balances, interest rates and minimum monthly payments.

Prioritize your debts by their interest rates (from highest to lowest), and find room in your monthly budget to allocate additional funds toward the card with the highest interest rate. Don’t be afraid of directly contacting your creditors – particularly those to whom you have been making timely payments for a number of years – and ask to have your interest rate reduced.

Be Patient

Figuring out how to get out from under a significant amount of debt requires commitment, sacrifice and thoughtful planning. Be realistic about the time frame involved and be willing to commit to a 3- to 5-year course of action to get out of debt. Always pay your creditors on time and pay as much of your balances as your monthly budget will allow.

Additionally, as you achieve the victories of paying off various credit card accounts in full, be sure not to close any of them, as closing an existing account will have a negative effect on your credit score. If you still find yourself burdened by an onerous amount of revolving credit card debt after your best efforts, then the best option may very well involve you working alongside a skilled credit counselor from a reputable credit counseling agency who can help you tailor an appropriate solution toward getting out of debt.

Get Help If You Need It

The best place to begin sorting out your debt is with a credit counseling agency who can help you get your debt under control. In an initial 30-45 minute phone interview session, the counselor will ask questions relative to your income, expenses and debts, and can tailor solutions specific for your situation to help with debt relief. Among the more common solutions available is the Debt Management Plan (DMP), which involves streamlining multiple credit card payments into one simple monthly payment to the counseling agency.

Included in the advantages of enrolling in a DMP are lower interest rates and a lower overall monthly payment. However, if you’re already delinquent on some credit card accounts, Debt Settlement may be the best debt relief option for you, as it can result in creditors accepting lower balance payoffs. Or, if you have a variety of different creditors beyond unsecured credit card debt, it may be best to pursue a Debt Consolidation Loan, which is used to pay off all of your creditors and typically results in a lower blended monthly interest rate and payment. Contact us here at United Settlement to discuss your available options and get yourself going in the right direction financially – and on the road toward getting out of debt.

Related to: How to get out of debt

  • Debt Management
  • Plan Pros and Cons
  • How Does Debt Management Plans Work?

Are you in debt? we can help

  • Amount
  • Contact

How much do you owe?

Excellent
Based on 356 reviews

Overall 4.4 out of 5 stars

View All Reviews
December 28

Time and again, I did not know how to handle my debt

Time and again, I did not know how to handle my debt. Even when I paid my credit cards off, a few months later I was back in the same situation. But this year is different. I contacted United Settlement to see if we could work...

Buddy Ewing
December 27

Business debt relief is what I needed when I contacted the United Settlement crew

Business debt relief is what I needed when I contacted the United Settlement crew. They are committed to helping people like me who requires more help with business debt problems. I had several loans out for my deli, and these...

Lianne Finnegan
December 26

Student loan debt was the reason that I reached out to United Settlement

Student loan debt was the reason that I reached out to United Settlement. I had about 200K plus in student loan debt for my business degree. I recognized that I had to do something when I struggled to make the $1,000 student loan...

Wren Herrera
December 20

There is nothing worse than falling ill and then having to deal with super expensive medical bills

There is nothing worse than falling ill and then having to deal with super expensive medical bills that you really do not have the patience or experience to handle. I was pleased with my experience with United Settlement. They...

Jardel Shah
December 14

I took out a few personal credit cards to open my boutique

I took out a few personal credit cards to open my boutique. When than money ran out, I went on to take out more loans for my business. However, this quickly turned into a disaster. Today, I now have a mountain of debt without a...

Iain Holt
December 12

Who knew that auto loans were so negative for your credit lines

Who knew that auto loans were so negative for your credit lines? Especially, if they are not paid off right away. As a married couple, we had vowed to keep auto loan debt at bay. But, we found ourselves in a situation where we...

Avaya Adkins
December 07

I didn’t have a ton of debt when I contacted United Settlement

I didn’t have a ton of debt when I contacted United Settlement, but what I wanted from them was some information about how to handle my debt management. I knew that I needed some more information to get my business and personal...

Lucien Rojas
December 04

Federal student loans were the reason I ended up at United Settlement

Federal student loans were the reason I ended up at United Settlement. I had about $200K to pay back and I was not quite sure where to tackle that debt once I got out of school. But I reached out to that company and they provided...

Madiha Matthams
December 03

Everyone knows how horrible student loans are

Everyone knows how horrible student loans are. For me and my family, they had become more than just an annoying monthly bill. They had taken over our lives. That’s why I decided to take action and find a company like United Settlement...

Asim Horner
December 03

I wanted to be more informed about my own personal and business debt

The number one reason I chose to contact United Settlement was I wanted to be more informed about my own personal and business debt. When you have credit card debt, it can be extremely frustrating. Especially if you don’t know...

Frankie Mckee
November 29

I cannot believe I was finally able to find a company to actually help me pay off my debt

I cannot believe I was finally able to find a company to actually help me pay off my debt! I thought I would forever be chained to debt. But United Settlement offered me multiple solutions for paying off short- and long-term debt....

Justine O'Ryan
November 21

What your money can do for you.

The great reviews that you have thanks.

Jerry Conley
November 19

Dealing with high interest auto loan debt was difficult for me and my wife

Dealing with high interest auto loan debt was difficult for me and my wife. We thought we got a good deal, but it actually was a horrible loan. So, we reached out to United Settlement, and they got to work creating a debt repayment...

Cathal Brett
November 12

No one really wants to go bankrupt, and neither did my family

No one really wants to go bankrupt, and neither did my family. But fortunately, we did not have to go that route. It was our last resort, but United Settlement helped us figure out a way around bankruptcy for good. They gave us...

Aliesha Ward
November 08

I had been through about 5 different credit counseling agencies before I found United Settlement

I had been through about 5 different credit counseling agencies before I found United Settlement. I had read through their reviews and made the decision to move forward with them. I also was so impressed by their free information...

Filip Rosas
November 07

Save time and money

Just what I needed, already had a company I was working with and I switched because I was able to same some money. Brian and Alfred were really nice and helpful

Susanna Fasenmyer
November 07

As a business facing some unwanted financial difficulties

As a business facing some unwanted financial difficulties, we were at a loss for what to do next when our debt started to soar. We took a closer look at our financial situation by contacting United Settlement. These guys were very...

Warren Hutchinson
November 02

I had no clue how to create a debt management plan

I had no clue how to create a debt management plan and in fact, I didn't even know what a debt management plan was. Fortunately, I reached out to United Settlement before I had too much debt to tackle. I was so pleased with the...

Bobbi O'Quinn
October 31

Being burdened by debt is one of the biggest struggles we faced as a family

Being burdened by debt is one of the biggest struggles we faced as a family. But these people at United Settlement were very helpful in deciphering the different debts we had and then coming up with a debt consolidation planned...

Dawn Mercer
October 29

Student loan debt was my worst enemy before I ran into United Settlement

Student loan debt was my worst enemy before I ran into United Settlement. I really thought I would just have terrible credit for the rest of my life because I will never get out from underneath it. It was so stressful of an experience....

Forrest Guest
  • Contact Us
  • 241 West 30th Street
    3rd Floor
    New York, NY 10001
  • (888)-574-5454
  • [email protected]
  • Privacy Policy
  • Terms & Conditions
  • Debt Relief Services
  • Debt Settlement
  • Business Debt Relief
  • Credit Card Help
  • Debt Consolidation
  • Debt Management
  • Student Loan Help
Learn more about debt relief


    • facebook
    • Google Plus
    • Twitter
    • YouTube
    • Instagram
    • Linkedin
    • facebook
    • Tools & Resources
    • Contact Us
    • About Us
    • Blog
    • Debt Calculator
    • Frequently Asked Questions
    • Sitemap
    • Reviews
    • Client Login
    Free Savings Estimate
    Apply Here
    Clients who stay according to debt relief program can realize approximate savings of 50% before fees, or 30% including fees, over 12 to 48 months. All claims are based on enrolled debts. Not all debts are eligible for enrollment. Not all clients complete our program for reasons such as: their ability to save sufficient funds. Estimates based on prior results, which will vary based on specific circumstances. We do not guarantee that your debts will be lowered by a specific amount or percentage or that you will be debt-free within a specific period. We do not assume consumer and/or business debt, provide tax, bankruptcy, accounting, legal or credit repair services/ advice. Our program is not available in all states. Please contact a tax professional to discuss tax consequences of settlement. Please consult with a bankruptcy attorney for more information on bankruptcy. If you have any additional questions please contact us.
    Copyright 2020. United Debt Settlement, LLC