How to deal with debt
Ray Langan has distilled what he calls his financial regeneration plan down to simple stages:
- Decide to get your financial house in order, and take responsibility for your finances.
- Dissect your debt into smaller, manageable amounts.
- Monitor your money. You need to budget, allocate your cash before you even get it.
- Cut the costs and eradicate the excess.
- Prioritise your payments.
- Re-negotiate with all your creditors and extend the terms.
- Build a cash cushion. Do this by saving €1,000 into an emergency fund.
- Do what you can to increase your income.
- Maintain a positive mental attitude.