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https://www.elitecashwire.com/EliteDebtCleaner/If you have decided that debt settlement is the best option for you but you don’t want to pay a debt settlement agency to negotiate on your behalf, you can attempt do it yourself debt settlement. Do it yourself debt settlement works for many people, and even if it does not work, it may be worth your time and energy to attempt it on your own since there are fees associated with working with a debt settlement agency. How successful you are in negotiating a settlement on your own is directly related to how prepared you are.

When you want to settle with your creditors you need to have all of your ducks in a row, so to speak. You should have a copy of your current bill, written letters from the creditor offering a settlement, as well as the specific amount that you are able to pay upon settlement. This amount can be a lump sum or a monthly payment. Once you have all of this information prepared you are ready to make a call to the creditor.

When you make a call you should immediately ask for someone who is in charge. Many times the operators who pick up the phone don’t know about or are not authorized to make debt settlement offers. Asking to talk to someone in charge will usually yield you much better results. Be clear and concise about what you are willing to do. If the call gets tense, thank the individual for their time and hang up. If calling is not successful, write a letter to the department manager or president of the company providing your offer for debt settlement and outline the dates that you will be making payments.

Many times if you go about debt settlement in a clear and concise manner you will be successful in doing it yourself. Most people who are successful will be able to settle for 30 to 40 percent of their original balance, which will make paying off the debt so much easier. If you are not successful, it may be time to get a debt settlement agency involved on your behalf.

Read more about becoming totally debt-free at:
How to Negotiate Debt-Settlement on your Own

1. Budgets are a necessary evil.

They’re the only practical way to get a grip on your spending — and to make sure your money is being used the way you want it to be used.

2. Creating a budget generally requires three steps.

– Identify how you’re spending money now

– Evaluate your current spending and set goals that take into account your long-term financial objectives

– Track your spending to make sure it stays within those guidelines.

3. Use software to save grief.

If you use a personal-finance program such as Quicken or Microsoft Money, the built-in budget-making tools can create your budget for you.

4. Don’t drive yourself nuts.

One drawback of monitoring your spending by computer is that it encourages overzealous attention to detail. Once you determine which categories of spending can and should be cut (or expanded), concentrate on those categories and worry less about other aspects of your spending.

5. Watch out for cash leakage.

If withdrawals from the ATM machine evaporate from your pocket without apparent explanation, it’s time to keep better records. In general, if you find yourself returning to the ATM more than once a week or so, you need to examine where that cash is going.

6. Spending beyond your limits is dangerous.

But if you do, you’ve got plenty of company. Government figures show that many households with total income of $50,000 or less are spending more than they bring in. This doesn’t make you an automatic candidate for bankruptcy — but it’s definitely a sign you need to make some serious spending cuts.

7. Beware of luxuries dressed up as necessities.

If your income doesn’t cover your costs, then some of your spending is probably for luxuries — even if you’ve been considering them to be filling a real need.

8. Tithe yourself.

Aim to spend no more than 90 percent of your income. That way, you’ll have the other 10 percent left to save for your big-picture items.

9. Don’t count on windfalls.

When projecting the amount of money you can live on, don’t include dollars that you can’t be sure you’ll receive, such as year-end bonuses, tax refunds, or investment gains.

10. Beware of spending creep.

As your annual income climbs from raises, promotions, and smart investing, don’t start spending for luxuries until you’re sure that you’re staying ahead of inflation. It’s better to use those income increases as an excuse to save more.

http://money.cnn.com/magazines/moneymag/money101/lesson2/index.htm

Imagine being free of debt — no more sleepless nights over mounting credit card balances, no more ball-and-chain of debt feeding your anxieties, and no chance of threats from dreaded collection agencies. You can do it! Here’s the scoop — in one minute flat.

0:60 Resolve to spend less than you make
Make it a habit as fundamental as stopping for red lights. Realize once and for all that if you can’t pay for it today — you can’t afford it.

0:55 Distinguish between Bad Debt and OK Debt
OK Debt has an interest rate well under 10% — preferably with some tax advantages to boot. In the best case, what you bought with borrowed funds will appreciate in value. Home mortgages and student loans are examples of OK Debt. Automobile loans are on the border: They often satisfy the low-rate piece, but automobiles almost never appreciate in value. Bad Debt is everything else — from your titanium credit card to the 35% loan from Larry’s Kwik Kash.

0:50 Pick a winner
Out of all your cards, pick the one or two major credit cards that feature the lowest annual interest rate. Resolve to use those cards for emergencies only. As for all the other plastic pals in your wallet, remove temptation by taking them out of your wallet. Throw them behind a major appliance, freeze them in a bowl of water, or decoupage them to a shoebox. Do whatever it takes not to use them.

0:41 Gather the latest bills from all Bad Debt accounts
Line these up on the kitchen table. Find the minimum monthly payment for each account and then add these up to get an overall monthly minimum. Pledge to pay this overall minimum PLUS a hefty additional chunk every month — enough to make a solid dent in the outstanding balance of at least one account.
If you can’t pull this off, you’ll have to make a drastic move to increase your income or lower your expenses. It’s harsh, we know, but it’s also an inescapable fact.

0:34 Pick the highest interest rate account and: Attack!
Next, order the latest bills according to annual interest rate charged. Apply the “hefty additional chunk” (beyond the minimum) to the highest rate account(s). Repeat this process monthly until the last Bad Debt account is paid in full.

0:26 Ask for a lower interest rate
Grab a bill from any account charging you more than 14% interest. Dial the toll-free number on the bill and ask to have your rate reduced — say, to 11%. Tell them that you’d really like to stay with them out of customer loyalty (embellish according to your acting skills), but that you have received offers for much-lower-rate cards. Expect to be made very uncomfortable, but stand firm and remember that, to them, you are both a customer and a profit center. You also stand to save a bundle. The more calls you make, the more persuasive you’ll become.

0:18 Be prudent
Be aggressive in paying down Bad Debt, but don’t get so ambitious that you risk missing minimum payments on your mortgage, automobile, or any other secured credit account. (Secured means that if you miss enough payments, the bank can show up and take away your stuff.)

0:12 Commiserate with others 
Find a discussion board, you’ll find plenty of emotional support and great ideas. Help others celebrate their debt-free “happy dance.”

0:05 Dance, Fool!
You’re done when the Bad Debt is 100% exorcised and you can make remaining OK Debt payments with ease, leaving plenty of budget room for savings.

Got another minute? Need help in simplifying your finances? Then click here.