2 ways to reduce debt

The number 1 goal of most kiwis is to reduce debt. The ‘trick’ is to mange it. Here are a few tips that could save you thousands:

FIRST, list all your debts in order of SIZE. Ignore interest rates. Pay them off in order of smallest to biggest by directing all spare money to the smallest and then the next one and so on. This way you see quick progress and will be encouraged to continue. SECOND, if you have savings (apart from a small emergency fund) use it to pay off debt. Why earn 3% when paying 23% on a credit card?!?



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