A couple of post ago, I mentioned that I met Mr X at a party and he started talking to me about how he got out of debt because he found out that I had a credit card review site.

One of the things that Mr X did quickly reduce his debt was to sell any unnecessary junk that he had lying around the house. Mr X told me that he was quite a compulsive shopper and bought many unnecessary things and gadgets! But he first had to develop the habit of not spending money impulsively. Then he told me his story of how he got rid of his junk and clutter in his house.

All his electronic gadgets (like cell phones) which he got sick off was sold on ebay. His next big ticket item was his car. Yes his car. He sold his car and bought one that was 12 years old and had 150,000 miles on it. He chose a Toyota Corolla (which he figured was give him less problems and claims that till this day, it has not). He even sold his Rear Projection DLP TV set which he bought on credit and lived for a couple of years without TV (no cable bills either). He managed to raise a few thousand dollars through clearing his whole house of stuff that he did not want or need (including an extra refrigerator that he got free from his old rented house!),

While he still had debt even after this asset sales, it did reduce his debt load and his monthly payments. But more importantly (according to Mr X), it made him realize that he did not need a lot of the stuff that he always buys on impluse. So his advice is that if you have credit card debt, look around your house and see if you could sell anything that you really do not need or have bought on impulse. This may be the quickest way to cut down your debt load.

This entry was posted on Sunday, March 11th, 2007 at 00:41 and is filed under News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.