How Do I Get Out of Debt?

This is a question that is on the mind of so many people who are hurting financially during these tough economic times. There are several marketing schemes for getting out of debt available today.

Let me share five of these schemes with you.

The first scheme that seeks to address the question, "how do I get out of debt?" Consists of finding loopholes or ways to avoid paying your bills altogether. This can damage your reputation, ruin your credit, and bring lawsuits against you...Or worse ruin your life.

The second scheme that seeks to address the question, "how do I get out of debt?" Consists of filing for bankruptcy. This is an available option, provided you want to risk treading the economic waters for the next 7 to 10 years. Your credit and your ability to finance a home and car will be gone for 7-10 years; maybe much longer.

The third scheme that seeks to address the question, "how do I get out of debt?" Consists of consolidating all of your debts. While this is a little better than many of the so-called debt reduction methods, this one will only have you paying your bills to a different creditor. And sure, you may lighten the load a little bit, but not by much. Instead of taking 35 years to pay off your mortgage and other debts like it takes for the average family, you might only shave off a few years.

The fourth scheme that seeks to address the question, "how do I get out of debt?" Consists of turning your financial affairs over to nonprofit-organizations. You may have seen their ads claiming they'll help you become debt free. Let me ask you a question. If they are really going to pay all of your debt off, how do you think they could remain in business? How could they afford to continue to advertise their services? It is just another cleverly disguised pitch to consolidate your debt so you pay them the accruing interest owed.

All of these schemes involve letting someone else take control of your finances to help you get out of debt. There is another way, however, to address the question, "how do I get out of debt?" And that is to take control of your own financial destiny and to educate yourself on how to get out of debt. Educating yourself on getting out of debt involves learning how to list your income and expenses, eliminate unnecessary spending, prioritize your debts, and implement a repayment plan.