I spend so much time thinking and living in the world of debt that I’ve realized it is equally important to talk about life after debt.
When you are in debt it is an intense and immediate feeling. Some say they feel as if they are drowning. Some say they feel like they are covered by a dark cold veil. Others say it is a time of stress, tension and anger. And all are right.
When you are living in debt it never feels like life will be back to being fun again. It feels dark and depressing. You lose your ability to dream of better things or even allow yourself the luxury of lowering your guard for more than a few minutes to enjoy the moment.
It’s time we stop feeling like that and start dreaming about a life after debt for two reasons.
The first is that it’s easier to get where you are going if you know where you want to go. If you can visualize the life you want to lead, the map to get there is easier to create and the goal is easier to achieve.
The second is that working towards a life after debt will make those living in the shadows of debt hopefully realize that debt does not have to define you. Debt is just a condition, not a statement about your personal value or goodness.
I may not be in the grasp of debt at the moment like I once was, but helping people with money worries every day brings back those old memories and emotions I lived through. They never go completely away for me but I can assure you that once you’ve dealt with your debt issues and move forward with your life, your entire life gets better.
Debt kills dreams. You have to fight to keep your dreams alive. – Click to Tweet
The drawback for many is they feel emotionally wounded by the pain of debt and like less of a person after dealing with debt. But as I’ve said before:
The only person judging you is yourself and maybe some other people you may personally know that don’t have a clue about the reality of debt.
You are not a loser. You are a debtor. Those are two very distinct things. Because you are a debtor, you are not also by default, a loser. People confuse the two all the time. Debtor does NOT EQUAL loser.
Cut yourself some slack. The reason you are probably panicking about debt right now is because there has been some change in your life circumstance. Your income has been reduced, your expenses have been increased or you’ve suffered an injury or medical problem.
The debt is the byproduct of some underlying issue that has led to the creation of this unmanageable financial obligation. If you want to jump on something, then start focusing on the issue that caused the imbalance and the debt.
If you can cut expenses, do it. If you can increase income, do it as well. But the last thing you should do is to label yourself as a loser. You are not.
It’s Okay to Dream
One of the most important lessons I learned in dealing with my debt was that it is okay to dream about a better future as you get out of debt. A better day is ahead and your life will be better if we tackle the debt and move towards a better life as quickly as possible.
We can deal with the debt and the debt situation is actually less of a priority for me than helping you to realize and start to lives towards a better life.
But what is it you want to accomplish?
Some of my Facebook friends offered the following dreams and goals:
- Become financialy independent and don’t worry about money anymore.
- Create and follow a budget, give 10% away.
- I dream of a home, and a full time job with insurance.
You can add your dreams as well on the Facebook post and share your dreams with others.
You Don’t Have to Feel Guilty About Wanting a Happier Life
Dealing with the debt and moving forward towards a happier life is so important that I even wrote a book about it and I give away the book for free right here.
Where many go astray and scupper their dreams is wanting to pursue happiness by paying for it. It doesn’t take long to learn that the pursuit of happiness through consumption is not a sustainable or viable solution.
While spending and buying may make you feel good for the moment, it’s just not a game plan that will make you feel happy in your soul. Real happiness has to be created through giving, gratitude, and the ability to live within your income.
I Want to Know Your Dreams and Help You Achieve Them
I really want to hear from you about what your dreams are.
It’s Time for You to Start Dreaming
Right now it is time for you to start dreaming of a better financial future and letting me help you come up with a plan to tackle the current situation. Your happiness awaits you. The real question is are you going to show up for it or are you going to be stuck at the bus station when your ship comes in.
I’d love to hear from you about this. Please post your responses and follow-up messages to me on this in the comments section below.
If you have a question you’d like to ask just use the online form. I’m happy to help you totally for free.
FREE – How to Get Out of Debt Guides
Below you will find many of free guides and articles that address specific issues about debt and getting out of debt. But before you head off to those posts I’d like to invite you to read How Do I Get Out of Debt Quickly? Change Your Mindset. It is a very important post that addresses how to have the right mindset to best tackle your situation.
Important General Get Out of Debt Advice
- How Do I Get Out of Debt Quickly? Change Your Mindset.
- How to Get Out of Debt. The Honest and Unvarnished Truth.
- There is Life After Debt and It’s Awesome
- Debt Related PTSD and Financial PTSD Quietly Hurts Many
- How Do I Get Out of Debt? – Simple.
- Debt and the Theory of Dissaving. Why You Need to Take Action.
- What Repaying Your Debt Will Cost You in Retirement – Calculator
- The Universal Secret to Dealing With Debt
- Dealing With Debt – It’s All Bullshit
Bankruptcy Articles and Posts You Must Read
To get ready to read the information below with the right frame of mind, please first read How Do I Get Out of Debt Quickly? Change Your Mindset.
- How to Know if You Should File Bankruptcy
- So You Are Going to File Bankruptcy. That’s Great News. Congratulations.
- Easily Rebuild Your Credit After Bankruptcy
- The Truth About Bankruptcy Success Rates
- How to Get Out of Debt Calculator
- How Long After Bankruptcy Can I Buy a House?
- Is Bankruptcy Sinful and Bad or Right and Moral? An Examination
- What Does the Bible Say About Bankruptcy? Is Bankruptcy Scriptural?
- How to Get Out of Debt. The Honest and Unvarnished Truth
- The Emotional Seven Stages of Debt
- Getting a Job After Bankruptcy
- Chapter 7 Bankruptcy – What is the Truth?
- Low Cost / Pro Bono Bankruptcy Resource Locator
- Bankruptcy Should Be the Last Resort Many Say. But That’s Just Not True
- The Ethical Considerations of Bankruptcy
- Is Bankruptcy Right For Me?
- 14 Reasons You Should Not Avoid Bankruptcy
- How to Really Discharge Your Student Loans in Bankruptcy. Many Can. But Never Try.
- Life After Bankruptcy: How to Quickly Have Great Credit and Dumb Mistakes to Avoid
- How to Find a Great Bankruptcy Attorney
- You Have Not Failed if You File Bankruptcy
Life After Bankruptcy
Budgets and Budgeting
Calculators and Tests
- Money Personality Quiz and Test. What Are Your Spending Habits?
- How to Get Out of Debt Calculator
- The Hidden Cost of Credit Counseling and Debt Settlement
- Consumer Credit Counseling Pros and Cons. My Ultimate Guide to Understanding How Credit Counseling Really Works.
- The Hidden Cost of Credit Counseling – Calculator
Credit Score / Credit Repair Advice
- The Get Out of Debt Guy Free and Easy Credit Repair Guide
- How to Easily Rebuild Your Credit and Have Good Credit Again
Debt Collector Help
- How to Dispute and Ask a Debt Collector to Validate a Debt
- How to Deal With The Debt Collector
- Most Debt Buyer Lawsuits Foiled By Inability To Prove Debt Owed
- Hooray, You Are in Collections! The Debt Collector is Calling. The Debt Collector is Calling.
Debt Consolidation Loans
- The Ultimate Debt Consolidation Loan Guide: Getting Approved, Acting Smart, and Being Wise
- Best Debt Consolidation Loans
Debt Relief Program Issues or Problems
- How to Try to Get a Refund From a Debt Relief Company
- How to Avoid Getting Scammed When Getting Debt Help
- The Ultimate Consumer Guide to Checking Out a Debt Relief Company Before You Sign On the Line
- 10 Must Do Steps to Find the Best Credit Counseling or Debt Settlement Company for You
- How to Check Out a Business or Company to Avoid Getting Scammed or Ripped Off
Debt Settlement Advice
- Debt Settlement Pros and Cons. My No BS Guide to Settling Your Debt.
- The Hidden Cost of Debt Settlement – Calculator
- DIY Debt Settlement for Those Interested in Do It Yourself Debt Settlement – Podcast
- IRS Form 982 is Your Friend if You Got a 1099-C
Identity Theft Advice
- Life After Bankruptcy: How to Quickly Have Great Credit and Dumb Mistakes to Avoid
- Identity Theft Fraud Victims, Here’s Everything You Ever Need to Know to Fix the Mess
Life After Debt
Be sure to first read How Not to Get Scammed by a Mortgage Loan Modification Company.
First you’ll need to determine your current debt-to-income ratio. The target debt-to-income ratio under the Home Affordable Modification program is 31%. Use this free online DTI calculator.
Mortgage Modification Calculator
The mortgage modification eligibility calculator will ask you several questions and then show you which programs you may be eligible for.
Free Mortgage Modification Help and Counseling
If you have questions about the process or eligibility you can call 888-995-4673 and get connected with an mortgage modification adviser for free. This help is provided by government subsidized HUD Housing Counselors and they can be a big help in navigating the modification process.
In order to assist you, the housing expert will need to gather some information from you. Have the following documents handy:
- Information about your first mortgage, such as your monthly mortgage statement.
- Information about any second mortgage or home equity line of credit on the house.
- Information about the monthly gross (before tax) income of all household members contributing to pay the mortgage, including recent pay stubs if you receive them or documentation of income you receive from other sources.
- Information about your savings and other assets.
- Account balances and minimum monthly payments due on all of your credit cards.
- Account balances and monthly payments on all your other debts such as student loans and car loans.
- Your most recent income tax return.
- It may also be helpful to have: A letter describing any circumstances that caused your income to be reduced or expenses to be increased (job loss, divorce, illness, etc.), if applicable.
You can also get free help and housing counseling from a local HUD approved counselor. You can find your local free housing counselor, here.
Contact Your Mortgage Company
Not sure if your mortgage company offers modification programs? Not all do. You can contact your mortgage company to ask them about mortgage modification programs you might be eligible for. Click here to find your mortgage company.
Want to know the net present value (NPV) of your home for the mortgage modification process? No problem, use the free NPV calculator to find out. The NPV calculator is right here.
The calculator can be used by homeowners who have been denied a HAMP modification because of their NPV result or can also be used by homeowners prior to applying for a HAMP modification to help them better understand the NPV evaluation.
No Advance Fees
The Federal Trade Commission has a Mortgage Assistance Relief Services Rule which prohibits advance fees for mortgage rescue services or mortgage modification help.
- Repossession: Why it happens, what you can do, and your rights before, during and after repossession
Student Loan Resources
You can use the following student loan resources to help reorganize, discharge or forgive your student loan payments.
The Overall Guide to Dealing With Student Loan Debt
Discharge Your Student Loans in Bankruptcy
Student Loan Forgiveness and Discharge Information
- The Ultimate Guide to Dealing With Student Loans You Can’t Afford
- Obama Student Loan Forgivess Program
- Military Student Loan Forgiveness and Discharge Programs
- Student Loan Forgiveness or Discharge Can Create a Huge Tax Bill. Watch Out!
- Student Loan Public Service Loan Forgiveness – New Forms and Documentation Released
- Government Student Loan Disability Discharge
Student Loan Consolidation Information
- Student Loan Consolidation Payment and Interest Rate Calculator
- Student Loan Consolidation Opportunities and the Best Way to Lower Your Student Loan Payments
- Federal Direct Consolidation Loan Online Calculator
Specific Federal Student Loan Repayment Program Information
- Standard Repayment Plan
- Graduated Repayment Plan
- Extended Repayment Plan
- Income Based Repayment Plan
- Pay As You Earn Repayment Plan
- Income Contingent Repayment Plan
- Income Sensitive Repayment Plan