Debt management is a must for anyone having trouble with their finances.. Debt should be handled as soon as possible as it could have a significant effect anyone’s life. Without debt management, you can end up in bankruptcy which only leads to further problems.

But debt management is not just paying what you owe. Paying up your debt is just a part of the process. There are things that you must prevent or practice while trying to manage your finances. These practices will also help you improve your credit standing.

Debt management is more than paying for what you owe…it’s a practice to prevent further debt.

1. Reduce creditors - one of the biggest reasons why you have trouble managing your debt is that you may have too many creditors. A good way to reduce debt is to reduce as many creditors as possible through debt consolidation.

2. Payment Control - ensuring that you pay on time is a must during debt management. Set-up an automated payment program if you have the budget to pay for your loan. You can request your creditor to get in touch with you at least a week before your due date in order to arrange payments.

3. Lessen bank accounts - bank accounts may look like an innocent financial account. But it can prevent you from proper debt management because of too many accounts that needs to be dealt with every month. It’s also a temptation since you will have access to various loans.

4. Save, save, save - if you’re looking to address your debt problems fast, you have to save as much as possible. The only way to pay your loan faster is to reduce your spending so that some of your savings should help in paying for the outstanding debt.

5. Practice upfront payment - while you’re paying for your debt, avoid going into another debt or loan. This can be done by paying most of your transactions upfront. Set a budget and use cash so that you will not incur debt with interest as this will only prevent you from decreasing your loan.

6. Seek assistance from a lawyer - of course, incurring debt is not a criminal offense but a lawyer can help you clear the terms and conditions of your payment terms. A lawyer is also a great source of assistance if you opt for debt negotiation.

7. Establish paid in full status - don’t focus on paying your debt only. After paying your debt, ask your creditor to give you the "paid in full" status. This can help you improve your credit score. This status will also help negotiate other debts.

8. Negotiate - ask your creditor if they can slash off a few percentage of your current debt. If this is not allowed, ask your creditor to extend your payment terms. Your creditor will most likely agree mainly because of the economy. This is highly recommended so that you can easily manage the payment process.

9. Be smart on payment process - you can never pay them all at once. Remember that you still have to pay for your bills, food and other things that you might see necessary. If you sacrifice too much just to pay your debt, your debt management can have too much negative effect on your life.

10. Be aggressive in debt management - if you have started in debt management, never think about quitting. Quitting can only lead to further frustration not to mention the mounting debt that you will have to address as soon as possible. Debt management should be a priority until your debt has been paid.