<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=1955936548054264&amp;ev=PageView&amp;noscript=1">

Life Hacks for Paying Off Debt & Staying in Control of Your Finances

< Back to Articles | Time to Read: 5 minutes

It’s a fact—most Americans have a lot of debt. 78% of Americans are living paycheck-to-paycheck and more than 1 in 4 workers do not set aside any savings each month.* Let’s break down where the most debt lies throughout the United States and discuss 5 life hacks to help attack your debt!

Types of Debt in America**

  • Student Loans: The drastic rise of student loan debt is pretty shocking. The total student loan debt for the second quarter of 2019 was $1.48 trillion (up from $73 billion from the same time in 2018).
  • Credit Cards: More than 189 million Americans have credit cards and the average card holder has at least 4 credit cards. On average, each household with a credit card carries $8,393 in credit card debt alone.
  • Auto: Total automobile debt for the second quarter of 2019 was $1.3 trillion. That’s a HUGE jump from $59 billion from the same time in 2018!
  • Home: Mortgage debt has risen across the U.S. to $9.4 trillion, which is a good thing. This means the housing market is recovering from the recession 10 or so years ago. This is due to interest rates remaining low and rising home prices.

Still with us? Now that you know the types of debt that are out there, let’s look at 5 life hacks to keep  debt under control:

  1. Set goals and a strategy. Paying off your debt is a goal so make sure you keep that objective in front of you. It’s important to map out a strategy and stick to it. Make a list of your debts from smallest to largest (interest rate doesn’t matter here).
  2. Set a budget in place. Budgeting is one of the most important things you can do when you’re paying off your debt. You’ll see where all your money is going and can figure out where you can cut back on extra expenses. Once you have a handle on the money coming in and out of your account, start making the minimum payment on all your debts (except the smallest one). Pay as much as you can on your smallest debt and repeat until each debt is paid in full.
  3. Don’t make the same mistakes again. Set up an emergency fund to protect yourself from unplanned bills. Your emergency fund ideally would have 3-6 months of cash to cover expenses but start with $1,000. 39% of adults can’t cover a $400 emergency*** so building up this emergency fund is a vital life hack. Stay motivated—you’ve got this!
  4. Don’t accept bad advice. Everyone has an opinion, so this is an important life hack to remember for all facets of your finances—especially if you’re looking to purchase a new home. Buying a house is a big deal and will likely become your largest asset so make sure you get on a smarter mortgage plan. You need to know the true cost of buying and owning a home to help you stay within your budget, so you can get out of debt as soon as possible. The decisions you make today will affect tomorrow, so make smart choices!
  5. Be a smart home buyer. This life hack can make all the difference when home shopping! Not everyone can pay cash for a home. Make sure you choose a lender, like Churchill Mortgage, that can help you get on the fastest path to debt-free homeownership. It’s something we’re passionate about (we’re a debt-free company!) and want to be your guide throughout your home buying process. There's no need to fall into one of the typical mortgage traps that people often fall for!

We all have life goals and it’s important to ensure that debt doesn’t interfere with those goals. Take some time to figure out how you can beat debt and stay in control of your finances—you’ll be glad you did! If you have any questions about buying a home (or how to avoid mortgage traps), reach out to a Churchill Home Loan Specialist near you! We’re happy to help guide you in the smarter direction!


I Want to Talk to a Home Loan Specialist


Are you buying a home or refinancing?

Where are you planning to buy a home?

Please Select a State

What is your full name?

Please Enter a Name
Please Enter a Last Name

What is your email address?

Please Enter a Valid Email Address
  We won't share your information.

Next, we need to verify a phone number.

Enter a Valid Phone Number
Please Select a Message Type

Enter your phone number and we'll text you a 6-digit security code to verify it's you. Standard texting and data rates may apply. For more information, read our Privacy Policy.

Enter the 6-digit code sent to your device.

 Code sent to +1234567890

Finally, how did you hear about us?

Please Select an Option

By submitting this form, I/we agree to your Privacy Policy Terms of Use and authorize Churchill Mortgage Corporation and/or their Preferred Provider for our area and/or The Churchill Agency to receive the above information to assist in obtaining a home loan.

I/we also authorize Churchill Mortgage Corporation, The Churchill Agency and/or their Preferred Provider for our area to contact us regarding but not limited to mortgage and insurance services and products via telephone, mobile phone (including through automated dialing), and/or email, even if telephone numbers or email I/we provide are on any Do Not Call/Contact Registry, such as corporate, state, or the National Do Not Call Registry. The submission of this form does not constitute in any way a formal loan application or a commitment for a loan. By communicating with us by phone, you consent to calls being recorded and monitored. By participating, you consent to receive text messages sent by an automatic telephone dialing system. Consent to these terms is not a condition of purchase.

Your answer will NOT negatively affect your mortgage application. Your answer does not mean the Lender or Other Loan Participants agree to communicate or provide documents to you in your preferred language. However, it may let them assist you or direct you to persons who can assist you. Language assistance and resources may be available through housing counseling agencies approved by the U.S. Department of Housing and Urban Development. To find a housing counseling agency, contact one of the following Federal government agencies. U.S. Department of Housing and Urban Development (HUD) at (800)569-4287 or www.hud.gov/counseling

Es probable que su transacción de préstamo hipotecario suceda en inglés. Por medio de esta pregunta, solicitamos información para determinar si existen comunicaciones disponibles a su servicio, en su idioma preferido. Sírvase tener en cuenta: posiblemente NO hay comunicaciones disponibles en su idioma preferido.

Thank You!

Thank you for choosing Churchill Mortgage to help you with your home loan needs!

Our team is already hard at work connecting you with your Home Loan Specialist. Rest assured that we've received your request and will be in touch with you shortly.

social proof logos

Already working with someone at Churchill?

Find Your Home Loan Specialist

Please Select a Loan Officer