Pay Off Debt In 2015

With the New Year just around the corner, a lot of people are busy making those annual
goals and resolutions. And for many, improving their finances is at the top of the list.

Getting out of debt can be a big and almost overwhelming goal. It’s not a fast process
and it takes a lot of dedication, but it is worth it in the end!

So where do you begin?

First start by getting an accurate picture of where you stand. Gather up all of your
recent debt statements. This includes credit cards, car loans, student loans, any
personal loans or other big ticket items, and your mortgage.

Run your credit report. You can request a free copy every year at from all three credit bureaus. This is a great time to check
for any mistakes and make sure that every debt on your credit report is included in your

Make a debt payoff plan. Create a spreadsheet with all of your debt information.
Include the name of the debt, total balance, interest rate, and minimum payment.

The best method around for paying off debt efficiently is the debt snowball where you make minimum payments on all debts except your smallest debt, which you put all your extra money towards. Here’s the trick: Once you pay off your smallest debt, combine that payment with the second debt. Now you’re paying a lot more than the minimum and it just keeps growing as you go!

The Debt Snowball is a favorite of Dave Ramsey and Robert Kiyosaki, also known as the author of Rich Dad Poor Dad. Both provide insight to the method with their unique perspectives.

Look for ways to keep throwing money at your payoff. Sell unused items around the
house, have a yard sale, clip coupons, or get a part-time job. Just do whatever it takes
to keep your momentum up!

Get the whole family involved. Make getting out of debt a family goal! Put your payoff
on the fridge and count down. Let the kids help with the family budget. When everyone
understands what you’re working toward, they’ll be more likely to cooperate when the
budget is tight.

And how can you find a few extra dollars toward your debt payoff? Save on your
monthly insurance costs! We can help. Call us at 360-452-9200 for a quote on your auto, home and life insurance today.


Matt Elwood

Matt Elwood grew up in Port Angeles, graduating from the high school before moving south to attend Pepperdine University in Malibu, CA. While earning his Business Administration he secured an internship at Northwestern Mutual and started his financial career. After graduating from Pepperdine, Matt built a successful Insurance practice in Los Angeles while earning his investment licenses. After a decade of being away from family, Matt decided to move back to Port Angeles and purchase his mother’s Agency. The Helen Elwood Insurance Agency has been an established Allstate agency in Port Angeles for many years. Matt purchased the business in January 2011 and renamed it Elwood Benefits. Matt is focused on growing the business which leaves him little time for anything else. When he does take a break you’ll find him enjoying his family or out on the golf course.