Key Takeaways
- Understand your full financial picture by tracking income, expenses, and debts to create a budget and see where your money is going.
- Prioritize high-interest debts, like credit cards, and consider consolidation or refinancing to lower interest rates and simplify payments.
- Create a realistic repayment plan for all loans, exploring options like income-driven repayment for federal student loans to manage payments.
- Build an emergency fund to cover unexpected costs, which helps you avoid taking on new debt while paying off existing loans.