The Most Important Part of Your New Year’s Resolution

Every year, we all vow to lose weight and pay off debt. We are very predictable creatures. Those are the top two resolutions for people who actually make resolutions. While it’s great to have a goal, many forget the most important part of reaching a goal: 

Create a plan! 

When it comes to debt, it’s very hard to pay off all of your debt if you don’t know how much you owe, what your options are, what you can do, and when you should do it. I often see people give up on their goals because the goal is so big that it becomes this overwhelming thing that you can’t even imagine. 

So, what does a plan look like? Where should you start? 

1. List out everything you owe, including balances and monthly payment amounts. This is the scariest step, but it really helps to figure out where to go next. 
2. If the list looks overwhelming, commit to getting yourself some professional advice on your rights and options (schedule with Jen Lee Law). 
3. Create a budget so you know how much you have to pay towards debt every month. 
4. Decide on the order you want to tackle the accounts. 
5. Develop a few milestone points where you celebrate what you’ve accomplished. 

Finally, remember that your plan has to be based on what works for you. There is no one-size-fits-all approach to accomplishing any goal (see last week’s post about more than one way to skin a cat). If you know that you need someone to keep you accountable, find that person. If you know that you have a weakness for online shopping, delete your saved credit card information out of the shopping cart (Amazon, I’m looking at you). If you know that numbers are not your friend, ask for help. You can always schedule an appointment on our website to review your budget and your rights and options. 

This is just a basic overview and is not legal advice specific to your situation. If you have questions about your rights when it comes to debt and credit, you should speak with an attorney in your area for legal advice. If you live in California or North Dakota and would like to speak with Jen Lee Law regarding your situation, please schedule an appointment.