How to Pay Off Bills Quicker

Debt and bills are a huge problem for many families. Many bills, with the exception of bills related to living expenses like electricity or gas, are the result of debts of some kind. Lowering expenses and getting rid of the debt is the best way to pay off the bills quickly and end up with more money going into the pocket every month.

Instructions

1

Lower living expenses as much as possible. Though some expenses, like electricity and groceries, are necessary, cutting some of the extras can result in high savings over the course of a month. Cut out the extras, and then put the saved money toward bills. Write out every penny that is spent for a month, and then write out what is necessary, like groceries, and what is an added expense that can be cut completely or cut back on, such as coffee outside or restaurants. Set aside a specific amount of money for extras, and put the rest of the extra money toward bills.

2

Pay extra money every month to high interest debts like credit cards. Paying the minimum ensures that only the interest is being paid, or very little over the interest is paid, which results in paying back huge amounts for debts over time.

3

Avoid spending with a credit card. Spending while trying to pay off a credit card results in higher debts that cannot be easily paid off. Only spend on a credit card if the amount can be paid in full by the next month. Use cash or a debit card for most spending.

4

Pay the normal 30-year mortgage rate until other debts are paid in full. Mortgage interest is generally much lower than other debts, which means that paying it first makes very little sense. Pay off the other debts before tackling the low interest ones like mortgages. The only exceptions are adjustable rate mortgages, which can rise to very high interest over time.