Fear is a strange thing. It can motivate us to do things we never thought we could do, like lifting a car off an injured child after an accident. It can shock us into realizing that the decisions we have been making, or are about to make, isare the wrong one(s), and scare us back onto the right path. It can also work against us. Fear can paralyze us and make sure that we do nothing in times of crisis. It can also cloud our judgment and thinking so that we make a wrong decision when we are scared. Fear is the main issue that we must wrangle with and subdue, and then mold to do our bidding when it comes to managing debt.

What can happen to us if we amass too much debt Well, we can lose our home, car, or other possessions because we can no longer pay for them. We will not have money for important events or emergencies in our lives because we are managing our money poorly. We can get sick because we stress over paying the bill too much. Our relationships can crumble and even break under the weight of mismanaged debt and the stress related to dealing with it. There is nothing good about having debt, especially if you have too much of it. In order to get your financial house in order, you must be courageous and face your financial situation before you can get it under control. The first thing you need to grapple into submission is any fear you have associated with your finances.

The best way to do this is to understand fully how much debt you have and what can happen to you as a result of it. Yes, your possessions can get repossessed by creditors. What will you do if that happens Where will you go How will you survive We are afraid of the unknown, most of all. The first step here is to design your backup exit strategy; plan for the worst, and hope for the best. In the event that you lose your housing, where will you live Do you have relative nearby Do you know how to look for affordable housing Next, what about your transportation. Do you have a car If it were gone, how would you get around Do you know how to use public transportation Do you have a friend or relative that can help you get from point A to point B if you lose your vehicle What personal items can you learn to live without Do you really need new leather furniture or a 65 television How would your life change if you were to lose these things The answer to all of these questions is that you will learn to adapt, and that although your life will change, you will survive You can make it.

Once you have a sensible, comprehensive backup plan, you will feel a little bit of the fear you have associated with your debt begin to lessen. Now that you know the world will not end because you have to find more suitable accommodations or will have to take the bus to work for a while, you don't have to contend with the blind panic formerly associated with your debt. Once your mind is free of the fear you previously attached to handling your debt, you can begin working towards resolving it, making good, clear-headed decisions about it all the way through.