As bills start piling up and debt starts to rise, it can be difficult to get a hold of your finances and feel like you’re truly in control of your bank account. One of the methods we praise at Financially Fit Me to reduce debt is the snowball strategy. Much like rolling a snowball down a hill, this method is a continuous process that encourages people to start paying off their debt in small amounts and working their way up to bigger payments.
Initial reactions to debt are scary and unsettling. Although it’s encouraged to pay off your debt quickly, it’s important to not shut down at the sight of it. The snowball strategy will help you organize your finances into manageable payment plans that have the ability to reduce that initial stress you may have felt.
Recently, Business Insider exemplified the success of using the snowball strategy. Author Taryn Williams expressed her financial struggle of paying off $52,000 worth of student loans, a situation many can relate to. Although COVID-19 allowed Williams to pause her federal loan charges, she raved about the success she experienced before the pandemic, paying off nearly $16,000 in just two years. Williams ended her story optimistically, saying she’s “proud of the progress [she] made” and plans to liquidate all student loan debt within the next two years.
To read more of William's story, please visit businessinsider.com
Written By: Your Financially Fit Me Team