Steps
- Triage essentials: housing, food, utilities, transport.
- Build a $500–$1,000 starter emergency fund to stop new debt.
- Cut fixed costs: negotiate bills, cancel unused services, shop insurance.
- Boost income: overtime, side gigs, sell items, tax benefits.
- Choose snowball or avalanche; automate minimums + extra.
- Explore hardship plans or a DMP if APRs are crushing.
- Review monthly; celebrate milestones.
Frequently Asked Questions
Should I save or pay debt first?
Keep a small buffer, then focus on high-cost debt.
Is bankruptcy an option?
It can be a reset for severe cases—get local legal advice.
Get Started
Grab our Low-Income Debt Plan checklist (printable).