How to Start Saving Money?

Continue Paying Off Debt

When you're facing debt, reducing your expenses should be a motivation to get that debt paid off quicker!

If you have credit card debt, do whatever you can to pay more than just the minimum monthly payments. If you can find the extra money in your budget, pay as much as you possibly can every month toward that debt to get it paid off as quickly as possible.

Here's how: Make a list of your debts in order of interest rates. Start with the credit card that has the highest interest rate first- and put as much money toward that debt as you can each month, while still paying the minimums on other debts and also setting aside money for your rainy day and emergency funds. Then once that card is paid off, move to the card with the next highest interest rate, and so on.

One way to reduce credit card debts is to transfer that balance to a card with a lower interest rate or to a card that offers a 0 percent interest period. But you should really only do that if you know you can pay off the total balance during that initial 0 percent interest period.

Important note: When you pay off a credit card, do not close the account- that will hurt your credit score. So once the card is paid off, just let it sit at a balance of $0.