How Can a Debt Reduction Spreadsheet Help You Get Out of Debt?
Are you someone who needs to make a debt reduction spreadsheet? If you are, the following situation might sound familiar to you. You started charging things on credit cards, and it was no problem paying it back. Possibly you were charging things that you really needed, or maybe the charges were things that you were simply buying for fun. The main thing is, you had it under control, you were making your payments on time, possibly even paying down your balances.
Then, it started getting out of control. Possibly this started happening little by little. A late payment here and there. Interest rates rise, minimum payments go up. Or maybe something big happened. Your car broke down or you got sick. Whatever the circumstances, the result was the same. You have now officially lost control of your debt management, and you are searching for ways to get that control back.
It’s a horrible feeling, being in debt over your head, and it weighs on you and gnaws at you day and night, making it difficult to laugh, relax, or even sleep.
In fact, it may have gotten so bad that you’ve stopped even opening the bills when they come, or even if you open them to see the minimum payment amounts, you have stopped keeping track of how much you actually owe!
That path is the opposite of the one you want to be on! It will lead nowhere but further financial ruin.
If you want to gain control of your debt load and start actually sleeping at night and enjoying life again, you need to sit down with all of your bills and make a debt reduction spreadsheet.
The columns on this spreadsheet should be as follows: Payee, Monthly Payment, Total Balance, Interest Rate, Terms, Notes.
These factors will help you to determine which bills you should focus on in which order.