Tips on how to pay off your debt, increase your credit score and how to keep yourself from going back.

Lets start with the basics

Step 3: Start a savings

I know this is a hard thing to do when you may not have a lot of money. What you need to do is sit down, if you have a spouse then sit down with them come up with a plan to save some money. I would recommend for those of you who make over $40,000 a year to try and go for $1,000.00 dollars in a savings account. If you make less or equal to $40,000 a year then start off with $500, and if you can do more then do more. But this will be your emergency fund which you may use if you have something happen in your life.

I personally use multiple savings accounts as an envelope system. As an example for food, I have money I put over every paycheck using automatic transfers and when I spend money on food, I transfer the money from the food savings account back up to may main checking account where we used our debit cards. Another way to do this is to take the money out of your account, and put it in a safe. There are reasons why it is good to take the money out is you know you have the money for spending, but you also know for a fact that you won't over spend.

I also explain more in my ebook on best practices. Register Here