Quick Ways for Couples to Get Out of Debt

Marriage and Debt

Marriage and Debt

When you marry someone, it is a serious decision which you are making because you are not just declaring your love for this person, but accepting all of the baggage that comes with them. That baggage can arrive in the form of secret debt, or hidden spending habits that might affect your finances in the future.

They do mention “for richer and poorer” in the wedding vows because there is a chance that your spouse may be about to take you from richer to poorer! You have agreed to stay in the relationship even if your partner is a shopaholic or they have massive financial problems that you could inherit.

In the United States more than 40% of marriages end in divorce and many of those occur because of financial issues causing conflict within the marriage. So how do you avoid any problems related to finance? Well with any successful marriage, the key is honesty and clarity. You should go into a marriage knowing all of the intimate details about your partner including their bank statement and credit score!

Debt can cause stress within marriages and if one partner is bringing in thousands of dollars of debt that must be paid off by the other partner then the stress level is even worse. However if they know all about the debt levels before entering into the marriage, your chances of a happy marriage are much more improved – they are ready for the challenge.

Once you realize your partner is in debt and you have accepted it is your responsibility to help pay back the debt – action must be taken quickly. Here are some simple steps for people who have discovered their partner is in debt.

Contact the creditors

You should contact the creditors to find out all of the details of the debt. Make sure the debt is in fact your partner’s and not a mistake. After the Global Financial Crisis a lot of debts were sold on to debt collection companies and mistakes have been made, so make sure the debt is legitimately yours.

Then discuss what options you have with the creditor. They may be willing to provide a payment plan and reduced interest rate if you commit to making monthly payments on time.

Create a budget

Once you have found out exactly what debts are involved and how much money is required to pay them back each month, look at your entire budget. Create a spending plan that takes care of the debts and still leaves you with some breathing room for luxuries if possible. Don’t knuckle down too hard on repaying the debt because you most people won’t stick with an extremely tight budget for long. It’s better to intentionally give yourself some leeway in the budget and make debt repayment plans that are realistic.

Look for savings

As you create that budget, look at the expenditures column closely. Be honest about all of your expenditures and look for ones that may be unnecessary. Cable television, magazine subscriptions, cheese clubs, morning coffees, there are savings everywhere.

Increase your income

Look for additional work, additional hours at your current workplace, freelance work or a second job. By increasing your income you can pay down the debt faster and reduce any money related stress. Consider any special talents you have and utilise those for some quick money. You can also use the Internet to make money by doing things like writing articles for people.

Plan for your future

As you do all of this, consider your long term plans. Will you want to buy a house in a few years? Do you want to take a holiday overseas every year? Try to get those long term goals and lifestyle decisions working in conjunction with your spending plan and debt repayment schedule.

The key is to remain honest with yourself and your partner throughout the process. After all that is the foundation of a happy relationship!

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