Photo by Ivo Gretener.

Stay Positive and Proactive

“You gain strength, courage, and confidence by every experience by which you really stop to look fear in the face. You are able to say to yourself, ‘I lived through this horror. I can take the next thing that comes along.”
- Eleanor Roosevelt

You’ve already filed bankruptcy; the worse is over and you can only go up from here. More often than not, you’ll be denied credit as you start your recovery from bankruptcy. Don’t let rejection put you down and certainly don’t give up.

Notify Creditors “Discharged in Bankruptcy”

One of the first and most crucial steps in the recovery process is showing your creditors your “discharge in bankruptcy,” meaning you’re no longer legally required to pay any debts that are discharged. This will protect you from any negative history showing up on your credit report.

Review and Rebuild Credit

Take a moment to review your credit score and report. Clean up any items that can legally be removed or updated. Also, check to make sure your personal information is completely accurate. It’s important to know where you stand and be prepared to dispute inaccurate information when the occasion arises. For a free credit report, head over to AnnualCreditReport.com; you’re entitled to one every year at no cost from each of the three main credit bureaus—TransUnion, Equifax and Experian—so it’s advised that you enquire one every four months. To receive a free credit score, check out Credit Karma.

During your recovery, the easiest way to begin re-establishing credit is by applying for a secured credit card with a bank or credit union. The notion of obtaining a secured credit card is that you’ll be giving the bank or credit union money, i.e. $500, and in exchange, get a secured credit card with a matching credit limit. Before finalizing the deal, make sure your lender reports the credit card to all three major credit bureaus. The reason why is that many lenders look at a “blended” score of all three bureaus and one bad score can significantly affect and disqualify you for any other loans you might consider taking out. Lastly, be cautious of ridiculous upfront fees; make sure you work with a bank or credit union that is genuinely there to help improve your credit and who’ll eventually give you an unsecured credit line.

Adopt a Budget-Friendly Lifestyle

One of the leading causes of consumers falling into the depths of filing bankruptcy is largely due to uncontrolled spending. Sometimes it’s superficial, sometimes it’s not. Whatever the reason, it’s in the past. What you need to do now is sit down, think back and pinpoint the mistakes you’ve made so that you don’t repeat it again. Adopting a no-frills lifestyle and practicing thrifty ways to get out of debt is a good, basic start.

Anyone facing bankruptcy need not worry. It may seem extremely daunting, but having the right attitude and course of action will help you plan your life after filing bankruptcy with ease. If you’re still finding yourself with unanswered questions, then seeking professional assistance can help. Fill out the form on the right and a debt advisor will contact your shortly to discuss your options and offer some guidance.

With the summer fast approaching, many people are looking to take long vacations and enjoy fun in the sun. One of the biggest concerns of many families is how to enjoy the summer weather without taking on massive debt. Here are five ways to beat debt this summer.

1. Cut Back on Frills

   Taking summer vacations can be ridiculously expensive. Many families use credit cards and other loans to finance luxury vacations, finding themselves digging out of debt for the rest of the year. This summer, plan a scaled down version of your normal vacation, or take a “staycation” and enjoy your break in your home town. Many amusement parks, resorts and hotels offer discounts to encourage travelers to visit. Avoid peak times by traveling during the week to save on travel expenses. Leave the credit cards at home and only carry cash or debit cards to discourage you from getting into more debt on your break. Shorten your vacation to a weekend instead of a week and you will see how easy it is to avoid debt.

2. Take a Trip to the Flea Market

   Clean out your garage, basement or attic and lug all of your outgrown clothes and toys to the local flea market. Set up a table and sell your old items for quick cash. Use the cash to pay off debt or to put toward the purchase of a big ticket item. Many people make living selling at flea markets. Take several weekends a month to sell your old items at the flea market and be gradually on your way to getting out of debt.

3. Request for Lower Interest Rates

   One of the best ways to cut back on your credit card debt temporarily is to contact your creditors and ask them to reduce your interest rates. You can also consolidate your debt into one manageable monthly payment. Many creditors will often negotiate and take less than the amount due in order to quickly settle a debt. So try asking to have fees reduced or eliminated to save money. Just keep in mind though that this is a short-term type of debt relief, ranging anywhere from two to six months.

4. Create a Plan

   Carefully map out a plan for how you will be able to manage your debt(s) this summer. List all of your unsecured debts and income, and make a plan to pay it off–even a small portion–immediately. While experts advise that it is better paying off debt with the highest interest rates first, many people start by paying the credit card with the lowest balances first. The psychological reward from having a debt totally paid off and seeing zero balance on your card is enough to motivate people to continue clearing their debt.

5. Keep a Log

   Many people get into credit card debt because they are unaware of where their money is going. Online budgeting sites, such as Mint.com and BudgetTracker.com, helps you see your finances at a glance and get a handle on spending. Designate several days a month as “no spending” days, and only spend in cases of extreme emergencies. Keep a tally of your receipts and add them up at the end of the month to see how much you’re spending and saving every month.

There are many ways to beat debt. From cutting expenses and increasing income, you can fight debt and win this summer. But, if you are still finding yourself struggling to get out of debt, then seeking professional assistance can help. Fill out the online form on the right, and a debt advisor will contact you shortly to discuss your options.

When I say do less laundry that does not give you the freedom to buy a new set of wardrobe and donate your used clothes to The Salvation Army. Logically, doing less laundry will mean wearing your clothes multiple times. Sound a bit too disgusting to deal with? Well, unless you fall into a mountain of mud, your clothes are probably not that dirty. For the frugal, sluggish consumer, here are five clever ways to keep your clothes clean while cutting back on laundry expenses.
 

1. Spot & Smell Check

   Carry around a good on-the-go detergent pen, like Tide stain pens, for spot checking. As for smell checking, basically, if it it’s not reeking, it’s probably still good to wear, but if you do decide to wear it, do everyone a favor a Febreeze the life out of it.

2. Don’t Wash Your Towels

   Before you start taking off, please hear me out. I’m not going to tell you to literally stop washing your towels, but rather just less frequently. Think about it. When you use a towel to wipe yourself after taking a shower or washing your hands, you’re wiping clean water off a clean body! Even though your towel is a bit wet, it’s still clean. So, consider using one towel per week, just remember to hang-dry it when it gets damp.

3. Categorize Your Clothes

   When categorizing clothes, separate them from “house clothes” to “going out clothes.” “House clothes” should be the same outfit that you are planning to wear over and over. Just make sure that it’s comfortable and fairly appropriate in case you get unexpected visitors. Unless you are truly living a funk, house clothes should typically last up to a week. As for “going out clothes,” always keep them hung up, away from dander and anything else that would get them dirty. Keep Febreeze and Tide stain pens on hand.

4. Hand Wash Unmentionables

   According to the U.S. Department of Energy, 90 percent of the energy is used washing clothes. Undergarments like bras, panties, boxers and briefs are great for hand washing in the sink, just like the old days. To do this, let your undergarments soak in hot water and some dish soap. After the water has cooled, swish it around for a bit, then rinse under cold water. Once you are done, hang-dry it. Simple enough, right?

5. Freeze Your Clothes

   It sounds silly, but freezing certain clothing items will help you save money and make life a little easier. Here are a few tips when it comes to freezing clothes.

   • If you have an abundant amount of wrinkles in your clothes, sticking them in the freezer will get rid of them.
   • To prevent runs in nylon stocking, try putting them in a freezer. It’ll minimize the chance of getting them and you’ll be able to wear them twice as long before buying new ones.
   • Consider putting delicate clothes, or clothes you’d want to last for a while in freezer. It’ll help increase the lifeline.

As you can see, you can be financially savvy and creative, even in routine activities like doing laundry. Simple changes like these can go a long way when done right. But be reasonable and don’t turn into a slob!

 
Thanks for sticking around and welcome to part 2 of “10 Thrifty Ways to Get Out of Debt.” Last month I discussed the various ways to get out of debt through smart, simple tactics like eliminating daily luxuries to opting for store brand names. The New York Times reported back in March that American consumer spending rose 0.7 percent in February. Since then, consumer spending has slowed in March despite a slight rise in income. The good news is that we’re spending less and bringing in more money. Continuing the countdown on frugal ways to get out of debt, here’s number six.
 

6. Where to Cut Costs

   In addition to eliminating daily luxuries, creating a food budget and going for store brand names, there are plenty of other ways to save a few hundred or a couple thousand.

   • Turn in your incandescent for fluorescent bulbs. Even though they cost on average $7 each, in return you can save up to $60 in electricity per light over their lifetime.
   • Did you know that 40 percent of your electricity is consumed when your appliances are turned off? You could always pull the plug, but that will probably get tedious. There is actually a cool device on the market called “Smart Power Strip” that stops drawing electricity when your appliances are turned off. Maybe something to consider.
   • Do a bi-annual furnace tune-up. You’ll save 10 percent on your heating bills.
   • Save 50 percent on your energy bill by switching to cold water for your laundry.
   • As if it wasn’t obvious, leaky faucets waste as much as 2,700 gallons of water every year. So make sure to check all rooms for potential leaks.

7. Going Green

   Leading an eco-friendly lifestyle can help you cut costs and get out of debt, all while protecting the environment. Focus on simple lifestyle changes, such as: driving less, switching off appliances (when not in use), paying bills online, using rechargeable batteries and drinking tap water.

   More specifically, you might be thinking, “I can’t believe you claim tap water is safe!” And you’re right, it’s not 100 percent safe, but did you know that 25% of bottled water is actually tap water? The best thing you can do is invest in a high-quality water purifier that will remove any chemical contaminants.

8. Buying Used Items

   It’s time to start getting chummy with some new friends: Craigslist and eBay. I found that during my time in college, utilizing these sites saved me hundreds of dollars in textbooks, furniture and electronics. I’ve graduated since then, but that still hasn’t stopped me from snagging great deals from these sites. Just remember to exercise good judgment when making purchases from these sites.

   • Check for the authenticity of the product/item.
   • If you’re planning to meet up, do so in a public place where there’s plenty of people.
   • Spot check for damage/wear-and-tear.
   • For expensive items, usually electronic, check to see if there’s still a warranty on it.

9. Attend Free Events

   That’s a word I really like: free. Going out with friends, family, colleagues or your spouse always prove (for the most part) to be fun and enjoyable, but sometimes at a hefty price. Fortunately, it doesn’t have to be and if you do a little digging around on the web, you’re bound to find many free events to attend. The social media realm is powerful and will help you a lot in this case. Sign up for Twitter and follow your favorite celebrities and organizations. Twitter is known for feeding users instant, short updates and many times will announce events/charities/parties for you to come out to. Another great resource is Yelp. Create a localized search and scroll down to the “Popular Events” section where users post cheap and sometimes free events.

10. Having a “Get Out of Debt” Mindset

    Getting into the “get out of debt” mindset is probably the strongest tactic you can employ. Carrying that motivation and commitment is what’s going to drive you pay off that debt. Patience and persistence is the key ingredient.

If you are still struggling to get out of debt, then seeking professional assistance can help. Fill out an online form and a debt advisor will contact you shortly to discuss your options.

Photo by jimmyj1640.

What to Look for in Debt Consolidation Companies

First, a debt consolidation company should do more for you than reduce you debt. One key component of debt consolidation is getting education. A reputable debt consolidation company should review your debt situation in detail instead of just assigning a monthly payment. They will ask details about your debt and income. Additionally, they will help you work on your budget.

You should also make sure you do research on any debt consolidation company before you do business with them. A reputable debt consolidation company will have a list of licenses and credentials. You can also check them out with the Better Business Bureau. There are a lot of debt consolidation companies out there that won’t always have your best interests in mind. Don’t fall for outrageous claims or vague testimonials.

If you are pursuing a loan, you want to look for the right bank. If you have a relationship with a credit union, that is probably the best option. Credit unions generally offer better rates than regular banks. If you don’t have a credit union, you can look at the bank where you got your auto or home loan. They will already have a good indication of your credit beyond your score. If that doesn’t work for you, keep your eyes out for banks that offer special promotional rates to attract new customers.

The Costs Involved with Debt Consolidation Companies

When you consolidate debt, there will be costs to consider. With a debt management plan, part of your monthly payment will go to the company. With a loan, you will be paying interest. For secured loans, such as a home equity loan, there will be closing costs to consider as well. When looking for the right company, it is important to keep this in mind. The best company for you is the one that can help you get out of debt at the best cost possible.

 
Attempting to lead a thrifty lifestyle does not have to be a dramatic change, nor drive you to the border of insanity; a few smart sacrifices here and there will go a long way and help you get out of debt. According to the New York Times, American consumer spending rose 0.7 percent in February after a 0.3 percent increase in January. Families from across the United States are faced with higher cost of food, living and energy. As daunting as that sounds, there are ways to beat the statistics. Here are 10 thrifty ways to get out of debt.
 

1. Eliminate Daily Luxuries

   Casual dining with your friends, personal-care services and getting your daily coffee fix are considered small luxuries. In December of 2010, more than 5,000 adult consumers participated in a survey conducted by the National Retail Federation, or N.R.F. Thirty two percent of those surveyed said casual dining was a necessity, in addition to 42 percent of surveyors requiring personal hair maintenance. For the caffeine-driven worker, you could easily spend anywhere between $960 to nearly $2,000; under the assumption that you spend on average $4 per day, five days a week for a year on lattes.

   These daily, or even weekly, luxuries can really put a serious dent in your wallet. Try cooking at home with your friends, doing each other’s nails and brewing your own coffee. These money-saving tactics can easily be done, save you thousands of dollars and help you get out of debt faster.

2. The Art of Extreme Couponing

   Couponing is so cool that it is even getting its own show on The Learning Channel, or better known as TLC. If I told you that you could save more than 90 percent on your grocery bills, would you believe me? Evidently, it can be done and the secret to that are coupons.

   Simple ways to get started in couponing is by subscribing to several weekend newspapers (hopefully inexpensive with good-quality ads) and surfing the web for printable coupons. Stay insanely organized, keep track of the expiration dates and check to see if there are some coupons you can use in tandem with another. Websites like plasticjungle.com offers discounted gift cards—up to 30 percent—to various restaurant chains and stores. Using coupons for your every day purchases will add up so quickly that you will be surprised at how much money you have saved.

3. 10 Percent of Your Income Goes to…

   Remember Friends, the episode with the prom video? No? Let me refresh your memory.

   Judy Geller: You were fired? What’re you going to do?
   Jack Geller: Judy, Judy, relax, this is our little Harmonica we’re talking about. We taught her well. Ten percent of your paycheck, where does it go?
   Monica and Ross: In the bank.
   Jack Geller: There you go. So she dips into her savings, that’s what it’s there for. She’s going to be fine, and if you need a little extra, you know where to find it.
   Monica: Anything larger back there?

   According to the financial rule of thumb and wise old, Jack Geller, it is best to save at least 10 percent of your after-tax income. After a good few months of practicing this, it will become second-nature to you. Once you get the ball rolling, explore savings alternatives, e.g. college savings, an IRA or other savings account. Especially considering the worst-case scenario, like Monica losing her job, having an emergency fund readily available will help avoid further credit card debt.

4. Create a Food Budget

   A recent survey conducted by the U.S. Dept. of Labor revealed that the average consumer spends roughly $3,500 annually on grocery. Next to housing and transportation, food consumption is probably the third-largest expenditure.

   Plan your meals ahead of time and create a food budget to avoid wasteful shopping—saving you time, money and energy. On top of that, cut out junk food and sugar; it will be better for your pocket and waistline. To take it even further, combine this strategy with extreme couponing; it is pretty much a win-win situation.

5. Opt for Store Brand Names?

   Buying brand name products from a renowned and reputable company gives us assurance. Though, the extra security comes with an extra price tag. How do you know when to stick with your usual brand names or when to opt for store brands at a significantly lesser price? After all, when you are drowning in debt, every penny counts, so knowing what to buy is critical.

   Lifestyle expert, Robyn Moreno, dished out on “The Early Show,” televised on CBS, what to buy and when to go for store brands. Generic pain relievers, for example, can safely be bought because it still has to undergo the same FDA approval process as its name brand equivalent. The reason why name brands cost more is because these companies spend extra time with research, development and advertisement. So to all you debt-ridden consumers out there, opting for some store brand names can offer a small sense of debt relief.

If you are still struggling to get out of debt, then seeking professional assistance can help. Fill out the online form on the right, and a debt advisor will contact you shortly to discuss your options. Stick around for 10 Thrifty Ways to Get Out of Debt (Part 2).

Debt Consolidation Advice recognizes your expectation of privacy and security and we greatly respect your privacy concerns. This privacy policy describes how we gather information, what we do with the information we collect and what steps we take to safeguard your privacy and protect your personal information.
 

What information do we collect?

When you visit this web site you may provide us with two types of information: personal information you knowingly choose to disclose that is collected on an individual basis and Web site use information collected on an aggregate basis as you and others browse our Web site.
 

Personal Information You Choose to Provide

This applies to personal information you provide to us on applications or forms when you request a product or service. This information may include your name, email address, your telephone number, etc. You may also be asked to provide additional information, such total credit card balance, interest rates, and other financial and personal information.
 

Web Site Use Information

Similar to other commercial Web sites, our Web site utilizes a standard technology called “cookies” (see explanation below, “What Are Cookies?”) and web server log files to collect information about how our Web site is used. Information gathered through cookies and Web server logs may include the date and time of visits, the pages viewed, time spent at our Web site, and the Web sites visited just before and just after our Web site.
 

How do we use the information that you provide to us?

Broadly speaking, we use personal information for purposes of administering our business activities, providing the products and services you requested, to monitor the use of the service, our marketing and promotional efforts and improve our content and service offerings, and customize our site’s content, layout, services and for other lawful purposes. These uses improve our site and better tailor it to meet your needs. Personally identifiable information or business information will not be shared with parties except as required by law.
 

What are cookies?

“Cookies” are small files that are placed automatically on your computer system when you visit a website. Cookies enable a website to recognize you as a return visitor and, by keeping track of your website activity, help us identify which pages to serve to you while reducing the time it takes for those pages to load. Cookies enable us to personalize and enrich your experience and are not tied in any way to your personal information. If you do not wish to accept cookies or if you wish to remove cookies that remain in your browser following the close of your browser session, you may adjust the settings on your web browser to prevent cookies from being placed on your hard drive. Please review your web browser “Help” file to learn the proper way to modify your cookie settings.
 

Sharing and Selling Information

We do not share, sell, lend or lease any of the information that uniquely identify a subscriber (such as email addresses or personal details) with anyone except to the extent it is necessary to provide services that you have requested.
 

How can you access and correct your information?

You may request access to all your personally identifiable information that we collect online and maintain in our database by emailing us at the usual address.
 

A Special Note About Children

Children are not eligible to use our services unsupervised and we ask that children (under the age of 14) do not submit any personal information to us. If you are a minor, you can use this service only in conjunction with permission and guidance from your parents or guardians.
 

Policy Modifications

We may change this Privacy Policy from time to time. If/when changes are made to this privacy policy, we will email users who have given us permission to do so. We will post any changes here, so be sure to check back periodically. However, please be assured that if the Privacy Policy changes in the future, we will not use the personal information you have submitted to us under this Privacy Policy in a manner that is materially inconsistent with this Privacy Policy, without your prior consent. This policy will be continuously assessed against new technologies, business practices and our customers’ needs. Your use of our website(s) constitutes your consent to the current version of our Privacy Policy.

If you find yourself in financial hardship, the worst thing you can do is ignore it until it spirals out of control. Educating yourself about the credit solutions available can help you decide what the best course of action is for your situation.

Photo by Nick Fletcher.

 
Basically there are five credit solutions to choose from, listed here in ascending order according to the severity of the debt problem:

5 Credit Solutions

1. Discipline and Thrift – Reduce your expenses wherever possible and save more money toward paying off debt. This may also improve your credit score.
2. Debt Consolidation – Refinance your home or take out a home equity line of credit (HELOC) and use the money to pay off your unsecured debt. Depending on how you consolidate your debt, there may or may not be an impact on your credit.
3. Credit Counseling (a.k.a. Debt Management) – This can lower your interest rates but will not reduce the amount you owe to your creditors. There is no negative effect on your credit.
4. Debt Settlement – This can reduce your unsecured debt significantly, lower your monthly payment and get your debt paid off quickly. However, there will be damage to your credit.
5. Bankruptcy – For consumers with no other viable option, bankruptcy is a last resort. Severe long-term damage to your credit, other possible ramifications.

Discipline and thrift are recommended for those concerned about the future of their currently manageable debt. Debt consolidation is a viable credit solution for those with significant equity in their home and who can qualify for a loan of this type. Credit counseling is a responsible credit solution tailored to those who can realistically pay off their unsecured debt in full, provided that they get some assistance with their interest rates. Debt settlement is an aggressive credit solution that has emerged as an alternative to bankruptcy for consumers with large debt amounts, since its downsides are less steep and long-lasting. Traditionally, the most severe debt problems had been handled through filing bankruptcy. The new bankruptcy laws passed in 2005 have made that option much more difficult and time-consuming, and now only the most extreme debt problems should rightfully be handled in this manner.

Which credit solution is right for you? Fill out the online form on the right and a debt advisor will get in touch with you to answer all your questions.

Photo by A Long, Lone Run.

Credit cards have brought about some radical changes both in our lives and in our spending habits, simply by making the entire process of paying and lending much easier and convenient. The more you become dependent on your credit cards, however, the more you will pile up your credit card debts. Fortunately, there are different debt relief programs available to eliminate or ease your debt loads. Credit card consolidation, for example, can help you reduce your credit card debts faster and has some added advantages over other programs.

What is credit card debt consolidation?

Credit card debt consolidation is a method in which someone who has credit card debt merges all of his or her balances into one debt and replaces it with a single repayment plan. Therefore, he now only has to worry about one repayment to one creditor instead of several different ones with different due dates. Apart from this, the monthly payment on the consolidated loan becomes much lesser in comparison to the previous monthly charges. This is because the new debt offers much lower interest rates than the individual credit cards. For those who are feeling stressed and struggling with their multiple monthly payments, credit card debt consolidation can be an enormous help.

Different Ways of Credit Card Debt Consolidation

When deciding how to consolidate your credit card debt, you usually have three options to consider. The most common option is to borrow a home equity loan and use it to pay off all your credit card debts. Since it is a secure loan, the interest rates are usually much lower in comparison to other credit rates, but you are also putting your home at risk. The second option is to take up a personal loan to deal with your due payments. However, obtaining a personal that is not backed by any collateral requires an outstanding credit rating. The last option is to find a low interest credit card which has a 0% introductory rate. Transfer all of your current balances to this new account and start making almost double repayments each month to make better progress on your debt.

Things to Consider

There are a few things you should keep in mind while opting for a debt consolidation program. Make sure you read every piece of information given on the debt consolidation contract. Sometimes credit card debt consolidation agencies demand transaction fees which later pile up and increase the total loan amount. Don’t forget to compare the average interest rate of your current credit card accounts with the interest rate of the new consolidated loan. See whether or not you are saving money on the new loan. Don’t fall into the trap of scam debt consolidation companies, which may offer you benefits too good to be true but in reality will put you in a deeper hole.

Limitations

Credit card debt consolidation has its shortcomings as well. In actuality, its purpose is to shift your debts, which you now have to pay at a later date. In addition, the loan payments are stretched out for a longer period of time, which means you end up paying more interest in total. Debt consolidation can also have some negative impacts on your credit score. This is because it often results in closed accounts and restricted access to new credit.

In spite of its drawbacks, a credit card consolidation program still has some attractive benefits. It can reduce your interest rates, lower your overall monthly payments and eliminate late fees and penalties from your account. Debt consolidation can help you pay off your credit card debt and help you secure your future financial freedom.

Marriages are stressful enough without financial problems; however, Americans who are overextended on credit card debt find that their financial hardships often result in divorce. It is important that couples in this position realize that they have options for relieving their financial stress, which in turn will alleviate the strain on their marriage.

Photo by elektra.

A Lack of Disclosure

Married couples who are undergoing financial problems often end up in divorce if they are not forthright in disclosing everything in regards to their finances. If a couple is not openly transparent when it comes to money, it can only lead to bigger issues of trust. The relationship may also suffer if the two spouses have differing viewpoints on spending and saving. When financial problems arise, another common mistake couples make is blaming each other for who was at fault. Instead of playing the blame game, the focus should always be identifying the problem and then fixing it.

The Steps to Debt Relief

As with most problems, the all-important first step is admitting there is a problem. From here it is important that both spouses are committed to being completely open about their finances. This means no more hiding credit card statements or throwing away receipts of the items you purchased. The next step is to review your budget. See if there is a legitimate possibility you can pay off your debts by eliminating unnecessary expenses. If you think that you have the income to support paying off your creditors in full, contact them and negotiate to have your interest rates reduced. If this does not work, try contacting a credit counseling agency. These agencies are typically non-profit, can usually get your interest reduced to around 9 or 10%, and can offer you credit card consolidation. If your financial problems are more serious, you may consider a debt settlement program. This is a more aggressive alternative, however, and thus has higher risks and greater credit damage associated with it. Debt settlement should therefore be approached with caution and be reserved only for severe debt situations.

Stay Disciplined

No matter what you do as a couple to deal with your debts, you cannot be successful without discipline. Stick to your budget and commit to your decision if you want to see results and put the difficult times behind your marriage.