Especially with the recent turn of economic events, more and more Americans have become heavily dependent on credit. Unfortunately, the combined effects of an economic recession have, for others, quickly bloated their debts to extremely huge numbers. In such situations, many people have looked into re-financing, re-negotiation of terms, availing of secured or unsecured debt consolidation loans, and seeking financial counseling from companies offering various debt consolidation services to salvage their financial situation. However, many people feel that these could be last-resort options for them-albeit successful ones. Along with a debt consolidation loan, here other top strategies to get you out of debt in no time.

1. Initiate a Rigid Pay Down Scheme

Paying off all your debts is the best way to achieve a debt-free life. Although it is amazingly simple, many people cannot afford to do so because of the amount of debts they have accumulated over the years. However, these debts will not magically go away, you need to pay them off as much as you could. One way to initiate a pay down scheme is to renegotiate with the creditors for better terms such as reduced interest rates or longer loan terms. You may also want to take care of debts with the higher interest rates first and work your way from one debt to the next.

2. Consolidate Debts

If you haven’t yet, you may consider debt consolidation services as effective tools to help you implement the first strategy above. With either secured or unsecured debt consolidation loans. Although you may think that borrowing money to pay for debts is a bad idea, debt consolidated loans make this pay down scheme simpler and less complicated. Apart from the advantage of having a simplified payment scheme to deal with, availing of such loans could also lower interest rates and monthly payments. This is because the lending agency or company has more leverage when it comes to re-negotiating your loan terms for you.

3. Stop Accumulating More Debts

If you want to be debt-free, then one of the easiest strategies is to simply stop accumulating any more debts. For some this could entail simple things such as changing one’s spending habits, not dining out or going to movies more often, not buying stuff that are not needed, or even re-purposing and recycling in order to save a few hundred dollars a month. With discipline and determination, you can train yourself not to use credit cards, for example, as much as you have done in the past. Another strategy to stop accumulating more debts is to use cash instead. The less frequent you use your credit cards, the less debt you will have.

4. Initiate a Savings Plan

As you seek the services of companies that offer either secured or unsecured debt consolidation loans, you will discover that they also offer other services such as financial counseling. With expert help, strive to create and initiate a savings plan that will help you spend less, save more, and set aside money to pay for your previous debts.