Debtors fight really hard to be free from the existing debt with
the help of good credit counseling firms. Even most of them get
success with ease. It makes people feel good to see sleepless
nights with headaches, anxiety and worries are vanished and they
are free from all the debts. But that's not the end, because
money is needed in every step of one's life. Therefore people
again tend to borrow money to fulfill the needs whether it is
basic or luxurious needs. And it's obvious. But this time one
has to be more careful in borrowing money from lenders. I got
some healthy tips which will definitely lead to a brighter
financial future and let you be free from debt trap.

Just put your little efforts and be debt free in your life:-

1. Stop unnecessary expenses and plan monthly budget:
i) Make a monthly budget for every individual in your family. Avoid
all unnecessary expenses. If your expenses exceed your income,
take a step back.
ii) Make the habit to pay with cash.
iii) Just note down all expenses so that you can work on it in upcoming
months. If you find anything stupid just cut that from the list.

2. Pay your bills on time/make payment of your all bill in time:
This would be your prime focus, if you are using credit cards.
Making payments in time would help you establish yourself as a
responsible, creditworthy individual in the society. Try to use
only one credit card especially which offers the lowest possible
long-term interest rate. Do not use your credit card until it is
an emergency. Most importantly try not to using the full credit
limit, which may affect your credit negatively.

3. Work on your credit report: It's necessary to keep your
credit report fair, which affect your ability to purchase a home,
buy a car or even get a new job. Further requesting and reviewing
your credit report regularly which helps you to confirm the
accuracy of the information being reported by your lenders.
Because there are some cases where it's found that someone with
a similar name had defaulted on their home loan in a different
state, but the report is reflecting on someone's report with
similar name. Go through your credit report carefully, if you
find anything wrong in the report. Inform to the credit bureaus
immediately. There are three major credit bureaus, which help you
to get your credit report like Experian.com; Equifax.com,
TransUnion.com. Be sure your credit reports are corrected as soon
as you inform them. It's important to keep up good credit past
records to secure future credit, loans and mortgages. Even after
you think that your credit history is strong and problem-free,
because human makes mistake.

Sarah Jones is a contributing author and working for Michigan Debt Consolidation Program.