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How To Deal With A Lot Of Debt

Jun 11, 2023

Hello Stoic Investors,

Today I want to show you how to get rid of debt.


I get it. Life is expensive.

And we often don’t have enough money on hand to afford big-ticket items.

According to GOBankingRates, 32.9% of Americans have no more than $100 in their savings account.

So, when trouble comes, it’s normal to borrow money.

And it appears there is a lot of trouble these days.

For example, let’s say your car breaks down and you need it for work to earn a salary.

You will have to pay for the repairs. Even if this means putting $1000 on your credit card.


That’s life.


But as you acquire debt, it’s also important to pay it off the right way.


Paying off debt.

I know it’s hard but you have the option to choose your hard.

You can either let debt push you down or escape from it.

I prefer the latter and I think you do too.


Here is a step-by-step strategy to escape it:


Step 1: Assess your debt.

Start by making a comprehensive list of all your debts, including outstanding balances and interest rates. This will give you a clear picture of the scope of your debt.


Step 2: Create a budget.

Evaluate your income and expenses to understand how much you can allocate towards debt repayment. Identify areas where you can cut back on spending and redirect those funds towards debt payments.


Step 3: Prioritize your debts.

Determine which debts to tackle first. Two common approaches are the debt avalanche method (paying off debts with the highest interest rates first) or the debt snowball method (paying off debts with the smallest balances first).


Step 4: Negotiate lower interest rates.

Contact your creditors and explore options to lower your interest rates. This could involve negotiating directly with the lenders or consolidating debts through balance transfers or personal loans with lower interest rates.


Step 5: Create an emergency fund.

Set aside a small portion of your budget for unexpected expenses. This will prevent you from relying on credit cards or taking on more debt during emergencies.


Step 6: Increase your income.

Consider ways to boost your income, such as taking on a side gig, freelancing, or selling unwanted items. Apply the extra earnings directly towards debt repayment.


Step 7: Cut expenses.

Review your expenses and identify areas where you can make cuts. Reduce discretionary spending, find cheaper alternatives, or negotiate bills to free up more money for debt payments.


Step 8: Stay motivated and disciplined.

Paying off debt takes time and dedication. Stay focused on your goal, celebrate milestones, and track your progress. Consider seeking support from friends, family, or debt support groups to stay motivated throughout the journey.


Before you go. I have another treat for you.

One secret tip to pay off debt sooner

This one is for those of you that like to overdraft their credit cards.


Transfer your balance.


A balance transfer lets you move debt from one account to another.

Why do one? Because moving high-interest debt to a credit card with 0% APR can be a big money-saver.

However, balance transfers come with certain costs and limitations. You’ll have to pay a balance transfer fee

— usually 3% to 5% of the total transferred.


So, note down these points and start paying off debt today:

1. 32.9% of Americans have no more than $100

2. It’s important to pay off debt the right way

3. Transferring your credit card balance can be a big money-saver



See you again next week.


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About Me

I am Vittorio Rigato, the Investing Coach behind Stoic Money.

I invested for more than 8 years, both for myself and by managing the 7-figures retirement account of my family.

After my¬†Master Degree in¬†Finance & Management,¬†I worked in the FinTech industry in Frankfurt (Germany) and managed financial products with value up to ‚ā¨100 Millions.

In 2021 I have founded Stoic Money to teach employees and professionals worldwide how to invest to reach $1,000,000 Net Worth and beyond. Many of them reviewed Stoic Money service with a video testimonial here.

Multiple Finance News Websites like Yahoo Finance and Euronews talked about Stoic Money mission and services.

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