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Old 06-03-2007, 03:51 PM
Caveman Joe Caveman Joe is offline
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Join Date: Nov 2006
Location: Cheshire, UK
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As someone who's gotten sixteen thousand pounds of debt down to less than five in one year (the same year I became self-employed - decide for yourself whether this is a co-incidence or not), there are a couple of pieces of advice that I think are appropriate for anyone in a nasty debt situation.

1. Don't panic.
It does you no good whatsoever. Be fully aware (and thus, in tighter control) of the situation, but don't let it panic or depress you.

2. Spend less, earn more.
Which is kind of elementary, but you'd be surprised how many people totally ignore this rule.
Switch to the cheapest web host you can while still maintaining the required level of service and resources. (shameless plug for Hosting For A Quid, link's in my sig)
If you smoke, consider switching to rolling tobacco, which is a lot cheaper (and - I won't say "Better for you," but "Not quite as bad for you"). Don't try to quit cold turkey, though - do that when you've got less stress in your life.
Don't buy sandwiches for lunch - that ends up costing about a hundred pounds a month. Make your own instead.

3. Knowledge is power.
Know exactly which repayments are your most important ones. Know exactly how much you can push your creditors before they start biting as well as barking. Ignore the barking, by the way.
Get on a debt forum, meet the members, introduce yourself and don't be afraid to ask for help and advice.
Find loopholes and ways in which to help yourself. Remember that it's unlawful (at least in the UK) for a creditor to demand more money than you need to survive. If you're underweight, you're paying them too much.
If you have savings and debt at the same time, those savings are costing you money. The rate of interest on your debt is much higher than the rate on your savings. Use them to pay off the debt.

Hope this helps.
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