If you want to reduce the debt that you are dealing with in your life, there are various ways that you can do this task. While it may not be easy to cut your debt, it will be worth the effort in the long run. Here are four ways that you can apply to reducing your debt. Using these methods could also lead to wiping your slate clean of all your debts. 

1.      Pay by Debit Cards, Cash or pay from your bank account only: One way that you can drastically reduce debt that you have is by using cash to pay for your purchases. Further, there are many sites which accept debit cards which you can use. There are apps linked to your bank accounts called Unified Payment Interface which can be used to pay directly from your bank account through online, through mobile number of the payee or through scanning their code. If you continue to use your credit cards all the time, you will only build up more and more debt. As the debt piles up, you begin to lose control, and find yourself behind on your monthly payments. 

Instead of reaching for your credit card, start buying only what you can afford with the cash you have on hand and in bank account. Often, this will mean making do with less. But a small sacrifice can prevent financial disaster in the future. 

2.      Get Rid of High Interest Credit Cards: If you want to reduce debt that you already have, you need to get rid of those high interest credit cards that you are carrying. Many times, you are barely paying off the interest each month with your payments. But if you get a card with lower interest rate, more of that monthly payment will pay off the original amount you owe. If you need to have a credit card for emergencies, make sure the card is a low interest one so you will not have to pay much interest costs. 

3.      Do Not Avoid Your Creditors: Fear may tempt you to avoid bill collectors and credit cards companies who call wanting payment. But you can benefit from talking to them. Often, if you talk to your lenders, you can let them know you are doing your best to pay your bills, but with much difficulty. 

The lender may then propose a settlement that could provide some relief from your debts. This could mean offering a lower interest rate or having you skip one or more payments. Creditors like to know that you are working to pay your bills, so take the initiative and talk to them personally. 

4.      Decide on a Budget: Another way that you can reduce debts is to come up with a reasonable budget and stick to it every month. This will help you to live within your means so you are not always spending more money each month than you make. Make sure to budget in payments for your bills as well. And if there is any extra money, you may want to pay more on loans or credit cards that have high interest rates. 

Families need to work together to reduce debts that you have built up. Usually, there is a way that everyone can help. Whether it is by watching the grocery spending or cutting down on what you spend on movies and entertainment each month. If you want to reduce your debt, it will take work and perhaps even sacrifice. But in the long run, it will be worth it to see your debt come down with each passing month. If you work at it, you will be debt free.