13 Plans to Pay Off Debt and Take Control of Your Budget

Recently, debt has become a part of our financial life that you hardly see someone that doesn’t owe some money. The problem most debtors face is that they have no idea on how to pay off debt.

Whether it’s a student loan, credit card debt,  car loan, or whichever debt, getting out of debt can be very tricky. However, if you adopt the right plans, you will pay off your debt fast and with little stress.

High interest is a significant problem, and most people struggle with it for years. It’s therefore essential to get out of debt as fast as you could because it also limits further credit.

Although there is no magic method to erase your debt, that doesn’t stop you from strategically planning your way out of debt.

The last time I took a loan was a house loan, and the payment was fast because of the interest. I had to devise ways through which I can clear off my debt and get hold of my budget back. It was a hideous task, and I sacrificed a lot, but, it all aided my quick payment.

So are you struggling with loan payment or you don’t know how to pay off debt? Are you ready to get off debt and get your budget back on track without breaking a bank? This post will help you with some plans you need to get off that hook.


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Honestly, human beings might not be able to live dependent on their income alone. There are certain things that we need to take loans to achieve them. Like I do say, debt is not an issue. However, it becomes an obstacle when the payment is taking too long.

Most people don’t think it’s possible to get out of debt totally, but I’m telling you this moment that it’s possible. I was able to pay off a loan of $100,000 in two years without any illegal moves.

So, when I tell you, there are ways to get off debt, trust me. Various plans can help fast in recovering from debt without much stress, but it takes some effort.

According to Ogden Nash,

Some debts are fun when you are acquiring them, but none are fun when you set about retiring them.

This is to tell you that paying off debt is no joke. Whenever you are ready to take it off your neck, you have to give it what it takes. The following are the 13 plans I used in paying off my $100,000 debt in two years and I hope they help you too.


Read Also: How to Increase Credit Score Fast + 5 Tips To Be Debt Free


1. Have a Budget

For every healthy finance, budgeting is imperative. If you want to save more, you need a budget, to live a smart life you need a budget, so to get off debt too, a budget is essential. If you are willing and ready to pay off your loan quickly, then you need a proper budget.

The budget is the plan that guides your spending journey. Without a reasonable budget, you can land yourself into deeper debt.  So the first thing to do in erasing off your debt is to come up with a reasonable budget. 

Look out for categories in your budget where you can cut down costs and expenses. According to former U.S. News contributor David Bakke,

If you don’t scale back your spending, you’ll dig yourself into a deeper hole.

Therefore, there is a need to cut down certain things, look out for things that are not essential, reduce the items on your budget and minimize cost.


Have a Budget - How To Pay Off Debt and Take Control of Your Budget


Some personal finance tools can be used to create a budget, pen down your monthly expenses and income.  This was the first step I took when I was about paying off my loan, and it was beneficial.

If you are planning to get out of any debt in no time, then you must work with a standard budget.


2.  Note Your Total Debt and Pay off the Most Expensive Debt

A lot of people run away from calculating their debt. Most people are afraid of their total debt, so they avoid the calculation. The moment you are ready to clear off your debt, you need to write them out and calculate the total.

Is it a credit card debt? Or is your name attached to any unpaid loans? Do you have any medical or utility bills you can’t remember? Just have a good thought and try writing out all your debt from the high ones to the low ones.

You can use a credit report card like credit sesame to note your debts.

When my debt was piling up, I was scared off calculating the totality of it, but I can’t run away from it. I had to write them out and get a total of everything. After getting the overall, I started with the highest debt, and I moved down to the smaller ones later.

So the next step to pay off debt after creating a reasonable budget is to point out your debts and clear off the most expensive ones to reduce the burden on your finance.


3. Pay at Least the Minimum Balance of Your Credit

Another plan of paying off debt fast is by paying at least the minimum balance of your credit card. That should be the least you should pay, although the best is to pay more than that.

Instead of paying debt monthly, to make it fast, you can pay weekly. Just because you are trying to pay off the expensive ones you should not neglect your minimum payment as that might incur extra to your debt.

Whenever you get your credit report card and the minimum is like $400 you can pay about $600 or even double it to $800 if you can. This reduces your debt and also shortens the time of payment.

To get out of debt faster, you need to pay your minimum balance often and also try to pay more than it if you can.


4. Earn More to Clear Off Debt

Ordinarily, if your income was enough, taking loans would never be an option. You, therefore, need to look out for other means to make more money for a balance to occur.

If you don’t get another source of income, you might go deeper into a debt maze that you cannot afford. 

A side hustle is a must if you want to take a walk out of debt. There are a lot of opportunities for you to explore. You can try out different side hustles, and you will make enough money during your free time.

Side hustles like virtual assistants, bookkeeping, online tutor, blogging, driving, transcriptionist among others will earn you money to settle some billings.

With the money from your side hustle, you don’t need to tamper with your initial budget. Even after settling billings, you might still have enough to save or invest, and this will prevent you from credit in the future.


5. Ensure Spending Lesser Than you Earn

Another thing to take cognizance of the moment you decide to go out of debt is spending lesser than your earnings. That is, in no case should your monthly expense be more than your income.

You need to adjust to the shift. Your budget each month must respect your debt so anything you have in your budget will amount only after paying off your minimum credit payment.

You need to adjust your budget to accommodate your debt and reduce your expense. The primary cause of debt is living beyond your means, and the moment you decide to pay off a loan, that must stop.

Shop with what you have not what you are expecting. Avoid buying more than what you can pay off unless you want an accumulation of debt. This is another significant step when paying off debt.

Remember you have some credits on the ground, so to avoid more ensure you live within your means, don’t spend more than you earn. Never spend more than your earnings affords you to. 

To take off dent from your debt, you should reduce your expense to the minimal. That is a sacrifice you must make!


6. Shop Smart

Wondering what that is? You can shop and save. I often say that we are at a point where you don’t have to stress yourself on where to buy goods. You can buy everything you need online and still get cashback as you shop.

There are sites where you get specific discounts for using their app, get percentages back from buying from them, and they still give gift cards for your next purchase. Isn’t that interesting? You are saving as you are shopping and there are many cashback applications.

On Swagbucks, Shopkick Ibotta, and many more, you even get a certain amount of dollars for signing up. Whenever you buy items through the app, you get specific percentages back.

Also, for an e-commerce site like Amazon, there are gift cards, cashback using the app and signing in, sales, deals, and many other things when you shop.

So when you are trying to get out of debt fast, you need to buy smart and in a way you reduce the cost of shopping. Plus you get some money saved for you against your next purchase. This implies that shopping is almost free.


7. Stop Certain Habits

Although people go into debt for different reasons which cannot be avoided, the critical thing is to look out for ways to escape it next time. One of such ways is to leave certain unwise financial decisions behind.

Some habits are not healthy for our finance. These habits can make us run into bankruptcy, and the first thing to do here is to fathom what led you into debt.  When you know how you got yourself into debt, the next thing is to avoid that path forever.

For some people, their daily habits led them into debt. If you don’t eliminate these habits, no matter how much you invest, save or earn, debt will keep accumulating.

Get the practices that you know cost you more and are not beneficial to you. Try and put an end to them to get out of debt.

When you are in debt, the following habits should generally be embraced:

  • Avoid chasing Luxury
  • Never try to impress
  • When you have a high loan already, and you need another one for something important, go for a lesser one.
  • Never take tons of loans after losing a job
  • Avoid taking a loan as much as you can when you live on an irregular income
  • Never live a life you can’t afford
  • Avoid reliance on expected funds.
  • Leave expensive things that you can alternate for cheaper ones

There are many habits to avoid when trying to get out of debt, you can, however, read further on these bad habits here.


8. Adopt Frugal Living

Living a frugal life doesn’t mean you are living cheaper, No! You are instead living smart. In a case where your monthly income from your regular job, as well as a side hustle, satisfy just your needs yet you want to pay a debt, then you need to live frugally.

It is imperative to be prudent when you have a pile of debt to get off your neck. Some frugal living tips will significantly be of help when you are trying to clear loans. These tips will limit your spending and also help in exploring alternatives that you might never think of.

The following are some frugal living tips that will assist considerably in getting out of debt:

  • Turn Debit card into a cash reward card
  • Try Sweatcoin app
  • Utilize Local Library
  • Use Shopping list always
  • Work out at home instead of gyming
  • Play card games instead of visiting an arcade
  • Go camping instead of expensive vacations
  • Replace juice with water in the house
  • Cook at home instead of eating out

With these tips above and more, you will save than you can ever imagine and still enjoy life at it’s fullest without regrets. So this is another big plan when trying to clear off debts.


9. Stop Credit Card Spending

When you do a lot of shopping online, your information is saved, thereby making checking out and payment easy, so you need to hold on and delete the data. You also need to leave your cards at home, pay cash as much as you can.

Although you have rewards from credit card, you should avoid using them till your finance is stable, and you are off debt.

Credit cards can lead you into more debt because you will keep buying without feeling the impact of paying directly, but your purse is feeling it. You might even run out of your budget when you use your credit card.

So till you clear off your current debt, retire your credit card, and you will see the effect on your expenses.


10. Sell off Unused Items You Own

Why congest the house with things that are not in use when you need money to clean up your financial mess? To declutter the home and make money, look for unused electronics, clothes, furniture, jewelry, and other things, sell them off and clear of your debt.

There are many market places where you can sell used things in the home and get your money securely without stress. Apps like Depop, Kidizen, ThredUp, Poshmark,eBay, and many others allow you to register, showcase what you have, and sell to people online quickly.

With the money you make from doing this, you can clear off debts even if not all, maybe the major ones. All you need is for the item to be in good condition, take a nice shot of it, post, and leave the rest for these sites to finish for you.


11. Target Incentives Toward Debt

Most jobs give employers bonuses and incentives after a certain period; although you might need to work hard to earn it. When you get incentives at work, channel it into debt payment. This, in a way, gets some burden off your income.

When you are in debt, determine to let go of luxury and vacations. So, if your bonus used to go into the purchase of jewelry, you need to sacrifice that for the debt.

Also, if you get a travel allowance that goes on vacation, endeavor to use that money to clear off the debt. When you are out of debt, you can go for your vacation.

Remember I said earlier that the moment you decide to clear off debt, you must be willing to make certain sacrifices?

Yes, we all want to look good, travel around with friends and family, but that can only be effective when you have peace of mind. Who has peace of mind with creditors on their necks?


12. Lower  your Interest Payments

Another vital thing to look out for when clearing off debt is interest. The initial loan payment might not be burdensome, but the expected interest payment is often outrageous. Hence, you need to look out for it.

To save as much as you can on your interest payments, negotiate on your credit card loans. To do this,  call the company, and bargain for a  lower interest.


13. Never see Debt Payment as a Punishment

Last on our recommended tips to pay off the debt in no time is to never see a debt payment as punishment. Most people, when they are paying off a debt think it is a big punishment; when in the real sense, it is not.

You won’t be able to clear it off earlier when you see it as a punishment, as it will feel like a burden to you. Yet, the moment you see clearing off debt as an accomplishment, you will be motivated to pay off, and you will feel successful.

So whenever you clear off debt instead of seeing it as getting out of debt, measure it as an accomplishment and you can treat yourself to a nice meal for doing that. But always ensure not to bite more than you can chew. You can go camping with friends to loosen totally from the burden of that debt.

Whenever you set a goal for yourself on debt, and you do it, please encourage yourself by celebrating that victory. You just achieved something some people are still battling with for years.


If you are looking to pay off debts and get control of your budget, you are not alone! Paying off your debt is rewarding! Here are 13 plans that answer the question of how to pay off your debt. #HowToPayOffDebt #DebtFree #Budget



Clearing off debt can be worrisome when you don’t know the right plan to work it out. Now that you know 13 plans on how to get out of debt, what are you still waiting for? Get your budget, identify your debt, calculate them, and work your way out of it.

I often say that debt is normal and typical to everyone. Even successful people run into debt sometimes, but they try their possible best in getting out of it. So if you have a loan or you owe a debt, it is not an issue, but carrying it for too long is the problem.

Remember, debt is not the end of life. You can still owe and still be on top of your games, you only need the right plans to guide your way out of it. I hope the ideas above will be of great help to you as they were for me.

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About Author

Olutooni Ijila

Olutooni Ijila

Olutooni Ijila is an advocate for Health & Wellness. She is an expert contributor on nutrition, health, fitness, and overall wellbeing!

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