How to live a debt free life


Being on a debt is one of the most stressful situations in life. In this article, I will talk about how to stay debt free today and forever. Please drop your comments and feedback if you have any in the comment section below.

My story

When I was in college, I struggled to pay my college tuition, so I had to obtain the student loan. Like everyone else, that immediately got me into a debt that I never imagined I’d have. I had credit card debts, personal loans, and more. I had to pay around $1000 per month just for minimum payments.

When I started working, all my paychecks were going towards paying the debt. I wasn’t able to save a penny like most people who have debts. I knew I had to do something to get out of debt. Today, I share with you the techniques that I used to get out of debt and live a debt-free life.


Never make the same mistakes again

Understand what got you in debt in the first place. If overspending got you in the debt, you must stop it immediately. If you are going to continue the things that you did in the past, you cannot expect different results. You must take some time to analyse and understand how you got in the debt in the first place to be able to make changes in your life moving forward.

Consolidate your student loan

Consolidating multiple loans into one is a single most effective way to minimize your monthly payment. You can combine a lot of loans into one and just make a single payment instead of worrying about making so many payments throughout a month. Of course, if you haven’t enabled the auto-payment options, you might be charged penalty and that could ruin your credit history. You can minimize this by simply calling your bank and asking them if they can offer loan consolidation.

Work extra to pay off more than the minimum payment

One of the fastest ways to pay your debt is by earning more money. You can earn more money by asking raise to your boss, asking for more overtime work etc. of course, this might not be possible in all workplaces but what’s the harm in trying. Of course, you may try to fill in your colleague if they want to take a leave or a day off.

every penny

Negotiate all your loans

This helped me a lot. Just pick up your phone and negotiate your bill. If you can’t pay your bill, you can’t pay your bill. Instead of not getting out of you, most creditors give your flexible monthly payment plans and sometimes reduce the loan amount. Call today and negotiate on your loan!

Improve your credit score

Improving your credit score might help you in getting loans that have lower interest rates. Companies like Lendingclub and prosper offer low-interest rate loans to consumers. Some of the ways you can improve your credit scores:

  • Pay your bills on time
  • Automate your monthly minimum payment online
  • Keep your debt to income ratio lower than 30%
  • Keep your total credit usage lower than 30%
  • Don’t apply for random loans and credit cards

Do not use credits cards for purchases

I’m dead serious. Do not touch credit cards at all. Credit cards offer great cash backs and reward points, but their goal is to get you in the habit of spending money. A lot of people think of credit card money as their money and not realize that the money belongs to the bank and they have to pay back interest on purchases. This psychological phenomenon gets people to overspend the credit card. Why do you think they spend millions of dollars marketing those credit cards?

Become a freelancer

Even if you have a full-time job, it does not hurt to have some side gigs on the side to give you extra cash. There are many freelancing services you can join to make extra money. Some of them are the following:

Be patient


Paying your debt off is a slow process and could take a lot of time. Often times when you are making smaller loan payments It might sound like you are not making any progress on paying off your loan, but over time, if you keep on paying smaller amounts(or as much you can and of course more than your minimum payment ), they add up. Therefore, you need to give enough time while making smaller payments. Be patient and discipline and you will be on your way to paying off your debt sooner than you realize. And do not forget to take care of your health.

I’m in my early 30’s and I enjoy a debt free life. My money is flowing to assets instead of liabilities. I do have a home loan; however, I consider that as an investment because the value of this asset class goes up over time.

If I can do it, you can do it as well. Stay calm and be debt free!

Hey before you go, check if you qualify for Loan forgiveness program

Feel free to write something

This site uses Akismet to reduce spam. Learn how your comment data is processed.