There are thousands of articles available online that offer amazing tips on getting out of debt quickly. However, most of them use the same information.
They tell you to get in touch with a debt consolidation company, throw your credit cards away, and reduce your monthly spending. The trouble with that advice is that it is common knowledge. People already know they have to do that to satisfy their creditors. So, we thought it was about time someone thought outside of the box.
Our suggestions today are by no means the same as those you might receive from a financial adviser. Even so, they have been proved to work in a number of instances. These ideas are for people who’ve tried everything else and seen poor results.
Presuming you still have some savings in the bank, you could play the debt collectors at their own game by making an investment in public debt. Tax liens are often issued when people fail to make their payment to the government. Once a lien is in place, it can be sold on the public market to anyone with cash to spare. You could make a huge profit and get yourself out of trouble by making an investment in other people’s debt. Best of all? The return in almost guaranteed. If that idea sounds appealing to you, it’s wise to search for a complete guide to buying tax liens online. Just like any other investment opportunity, you don’t want to rush in head first without doing some research.
Sell your home –
Selling your home might seem like a rather drastic move, but it could give you enough capital to get rid of your debt. Once you have paid the creditors, there is nothing stopping you from getting a new mortgage any buying the home back. So, you just need to find someone who is willing to purchase your house for a couple of months. You can avoid any interest charges if you act fast, but there is no way of getting around all the fees involved in a property sale. However, it’s worth paying those fees to help settle your debt quickly. That is especially the case if you owe substantial sums of money. Selling your home is a wise move if you are in debt by more than $100,000.
Auction your valuables –
For those of you with minimal debts, it makes sense to go through your possessions and see if you have anything valuable. Debt collectors will be unwilling to accept paintings or jewelry to settle the amount owed. However, there is nothing stopping you from selling them at auction and collecting the cash. Maybe a deceased relative left you their prize possession? Perhaps you have an extensive collection of comic books? Either way, you could be sitting on a gold mine without even realizing it. You can, of course, check online to find out how much each item is worth. Who knows? You might be surprised.
While those methods of debt reduction are slightly less formal than you might have liked, they could be the only concepts stopping you from losing everything. Failing to pay your debts will mean they increase at alarming rates. It’s a vicious cycle, and one you need to break as soon as possible by using your head.