No matter how deep in debt you are, it is possible to avoid bankruptcy. You just need to know your options. Here are a few steps you can take that will help get you out of debt without filing for bankruptcy:

Take care of necessities first.

Before you do anything, you want to make sure the Four Walls are covered: food, utilities, shelter, and transportation. You won’t have the energy to fight your way out of debt if you don’t have a house to sleep in or food to eat. So make sure you’re taking care of yourself and your family first. The collectors can wait.

Get on a budget.

We mentioned before that in Chapter 13 bankruptcy, the court puts you on a budget and tracks your spending. But the truth is, you can do those things without filing for bankruptcy. If you’re on your last leg, making a budget can be a total game changer. By tracking where your money is going—instead of wondering where it went—you’ll find money you didn’t even realize you had. And yeah, budgeting also means cutting all unnecessary expenses to pay off debt. The cable and the subscriptions have to go. No more dining out. No more vacations. You’re in survival mode. But instead of the government telling you how to manage your money for five years in a bankruptcy case, you get to be the one calling the shots.

Boost your income.

Your income is your most powerful wealth-building (and debt-fighting) tool. The more money you make, the more you can throw at your debt. So, you may need to pick up a second job or work more hours at your current job to help keep you afloat while you catch up on those monthly payments. Yes, it can be exhausting, but your temporary sacrifice will be worth it in the long run.

Sell your stuff.

Remember how we said the court liquidates your assets in Chapter 7 bankruptcy? What if you sold your stuff instead? If you’ve got anything of value, like boats, fancy lawn mowers, or anything with a motor that you don’t use to drive to work, sell it! Furniture, collectibles, jewelry, that guitar you promised to learn to play someday—anything you don’t need has got to go. Sound extreme? This is basically what could happen if you file for bankruptcy—except you wouldn’t have control over how your things get sold. So hit up Craigslist, eBay and Facebook Marketplace and turn your stuff into fast cash.

Get on a plan!

Did you know that most bankruptcy courts require you to go through a financial literacy course before your debt can be forgiven? That’s because debt has become a cycle of life for so many. But it doesn’t have to be that way! Learn how to kick toxic money habits, save and pay off debt like a champ, and build a great future for you and your family. Plus, it’s cheaper than the bankruptcy court fee. This proven plan has helped almost 6 million people change their lives!

For more information, visit: https://www.ramseysolutions.com