For most people, escaping the pit of personal debt is not that complicated. You need to approach the task with a positive mental attitude and determine where you can generate savings.

Take a close inspection of all your income and expenses to understand why your hard earned income disappears. If month-after-month you are spending more than your income, then at least pinning down the root cause of a growing debt problem becomes apparent.

Credit Cards

On the surface, credit cards are like an endless means of purchasing needs and wants with or without available cash. However it's an illusion. At the end of the day, there is no free lunch, as we all need to repay credit card charges. If you don't pay back in full each month, then you accumulate interest charges on any outstanding amount.

Credit card interest rates are typically very high, except perhaps when you first receive one through a low interest ad that entices you in. Limit the number of credit cards that you carry since in the long run both your costs and administrative time will simply increase.

Additionally, you frequently have to pay annual or subscription charges on credit cards. So obtain one card that meets your personal needs and avoid the rest.

Loans

There are innumerable loans and hybrids for each type. A loan can serve as a bane or a boon. Whenever possible, take out a loan for larger necessities in life, such as a mortgage loan, car loan, and education loan.

Whatever you borrow for should be used to fund something that will increase in value over time. Though an automobile will rarely increase in value, for most of us it at least provides the freedom and flexibility for employment, which is necessary for paying expenses.

Shopaholism

If you are a shopaholic, you should to learn to tame your desires and purchase impulses. For example, high end boutique stores for clothes, shoes, and home supplies should be traded for discount stores. Build up a savings out of which you purchase more expensive items. And take advantage of coupons available in newspapers and magazines.

Spare Change

The proverbial cookie jar that holds your spare change may be out of vogue, but finding a means to routinely save small sums of money adds up over time. You might be delightfully surprised at the amount of money that can be set aside over the course of six months or a year! Simple savings add up.

Save For Rainy Day

We all face emergencies, illnesses, and other threatening and stressful events in life which are simply unforeseen or unpredictable. Target regular savings for such incidents, and when that unexpected expense comes your way, you can offset at least part - if not all - of it without ruining your financial stability. Keep a bank account that serves as your emergency account.

Living under the constant monthly pressure of paying off enormous sums of debt has become standard practice over the past few decades. Most people are able to bear the strain for just so long before they either wilt under it or tighten the belt and develop a plan to attack the problem. If you opt for the latter, create your plan with realistic time lines in mind, and make a commitment with your family to see it through to freedom.