Are you feeling like you are drowning under all of the bills that you have like your credit cards, your car loan, house payment and a variety of other things that you simply didn't think would get you to where you find yourself right now? Most people do have some sort of debts but there are those though that feel that they are so overwhelmed by it that they might have to consider bankruptcy or debt consolidation because there is nothing else they can do. Before doing that, you should try and get your finances back in order on your own if you can.
First thing you need to do is to sit down and assess your financial situation. You need to face your debt problem head on. Sure you are aware of how much you pay each month on each bill but have you sat down and added up all of the total balances that you owe? If not, then you need to do so. As daunting of a task you think this might be, you need to take all of your debts and add each and ever one of them together to see just how much your really owe all of the creditors out there.
Now that you have the grand total of what you owe everyone, you are going to need to set up a budget. This is going to help you figure out whether or not you are going to be able to afford to repay everything that you owe. So the first thing you will need to do is to keep track of every thing that you spend. You not only need to have the total for debts owed but other spending as well and this should include your utilities, your insurance, how much is spent of food, etc. After you have all of this, add it to your debt total and then subtract that total for the total amount of money that you make each month. This is going to show you how much money you have left, if any after you pay all of these debts and bills. If it turns out that you are spending more than you make you are going to have to come up with a quick solution to solve this problem.
If it turns out that you are spending more than you earn each month then you are going to have to try to figure out what expenses you can cut down on or get rid of altogether. For instance, do you really need that cable bill? Not if you are in the negative each month, so get rid of it. If you can't get rid of your Internet, you should at least downgrade to a slower service in order to save money. Stop going out to eat as much or just stop altogether until you have your finances in check. Anything you can do to save money is going to help.
Try to figure out a way to earn more money. You might want to consider looking into getting yourself a part time job. Even just a few hours a week is going to work wonders on you ability to pay your bills and get caught up on them. However, when you do look for a part time job, make sure that it is one that is close to home so that you don't waste money on gas.
Make a list of all of your debts and make sure that the debt you owe the most on and has the highest interest rate is the one that you put at the top of your list. Then pay just the minimum amount required on all of your bills and combine the money you save by doing that with the extra income that you are getting from the part time job and use that to pay on that one bill at the top of your list. The sooner you get rid of that one, the better off all of your finances are going to be.