by Christianne Barso

Created on: December 02, 2009

FOUR SIMPLE STEPS FOR ELIMINATING DEBT

The Book of Proverbs states: "The rich rules over the poor, and the borrower is servant to the lender" (Prov 22:7). If this is true, our nation is an enslaved nation. Not only is the Government deeply in debt, but it is estimated that the total American consumer debt is more than $2.7 trillion, with an average household credit card balance of $9,300. It is no surprise to learn that the number of cases for Bankruptcy rose about 34% according to the Administrative Office of the US Courts in the period between October 2008 and ending in September 2009. The combination of a struggling economy and poor spending habits are leaving many with very few options.

But effectively managing our finances can reroute the path to financial ruin. It is not easy, but is achievable with a positive outlook and a change of attitude. Following four simple steps can greatly improve your peace of mind and start you off on a healthy relationship with your money. Attitude, Budgeting, Saving and Debt elimination are four areas of discipline which can free you from the slave-master prison.

1. Change your Attitude

When walking through a mine field, it is wise to keep your eyes open for traps. That is the mentality you must have when walking through the menacing world of consumerism. It is no secret that Madison Avenue pours millions of dollars into studying human behaviors. It is how 'they' can convince you you're cooler, thinner, and younger if you own a Mac rather than a PC; that Flo from Progressive has nothing but your best interest in mind when you buy Insurance (although the Gecko would probably disagree) or leave you wondering 'whether she's born with it, or maybe it's Maybelline'. You probably know the catch phrases for all the ads on television better than what your money is doing each month. Make a resolution to not give in to advertisement and purchase only what you need. This will be the beginning of your Money Makeover and will free you from Credit Card Dependency.

2. Make a Budget

Budgets have the connotation of being complex with a bunch of mathematical equations which requires hours of computation; and although getting on a budget is not an easy thing, it shouldn't be such a complicated ordeal. There are plenty of sites on the web offering great budgeting advice and even providing you with free forms and tools to get your budget started. Two great websites to start with are daveramsey.com and crown.org. A budget is a tool which

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