How to Find All Your Debts
Before tackling debt, you need to track it
By Latoya Irby
Latoya Irby is a credit and debt management expert, and she has covered this topic for The Balance for over ten years. Her quotes have appeared in USA Today, The Chicago Tribune, and the Associated Press, and her work has been cited in several books. Learn about our editorial policies
Updated on April 18, 2022
Reviewed by Pamela Rodriguez
Organizing Your Debt Accounts
If you have a list of your debts, it gives you a better idea of your situation, but dealing with a list of debts can be challenging. You can prioritize the numbers on your list to help you on your debt repayment journey. For example, if you’re following the “snowball” method for paying off debt, you’ll organize your list from the lowest balance to the highest. Or you might decide to tackle the bad debts first – those with the highest interest rates – then work on eliminating the lower-cost debts.
Tracking Debt and Managing Your Budget
Track your debt in the same place you track your budget – for example, in a budgeting app or a spreadsheet – so you can make more informed decisions about reducing your debt. You can make adjustments to your budget and see how that impacts your ability to decrease your debt.
Conclusion
Your circumstances may change while paying off debt, and that may mean reorganizing your accounts when your income changes, your family grows, or even when you pay off debts. Review your plan regularly – once a year, for example – to check your progress and make adjustments as needed.
Now that you have all your debts in one place, the next step will be to choose a debt reduction strategy. Organizing your debts makes it easier to compare strategies and select one that will be more effective for your finances and your debt repayment goals.
Source: https://www.thebalancemoney.com/find-out-how-much-debt-you-owe-5211283
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