How To Pay Off Debt Fast With Low Income

How to Pay off Debt with Low Income

Is your mounting debt stressing you out? Each month it seems impossible to catch up when you’re always strapped for cash. Maybe you don’t make enough money at your job or you’ve recently needed to borrow money due to unforeseen circumstances. 

You aren’t out of luck and with a little outside of the box thinking you can squash that revolving debt in no time. Read on to find out how you can make quick cash, pay off looming debts, and get your finances in order. 

10 Ways To Make Fast Cash To Pay Off Debt

One of the most important elements to paying back debt is having an honest conversation with yourself about your budget. Put a financial plan in place to pay back debt, improve your credit, save, and plan for the future. Try out our 10 tips to increase your income and hammer down on paying back your debt. 

1.Delivery service

Signing up for grocery delivery or food delivery is fairly simple and easy. You can do this side hustle in your spare time and create your hours. For most delivery services you need the following qualifications:

  • 18 years old 
  • Have a reliable car, scooter, or bicycle 
  • Provide drivers license number and social security number 
  • Consent to a background check 

2. Consolidate my debt

Unless you have decent credit to qualify for a new loan or credit card to consolidate your debt, you might end up paying more in the long run from high-interest rates. Don’t run the risk of missing a payment due to your payments being too high. Our Credit Builder Loans offer affordable competitive rate loans up to $1000 without a hard credit pull. 

If you’re approved, you’ll get some funds the same-day and the rest is held in an interest-earning credit reserve account. After you’ve paid back the loan in full, your reserved funds are released to you with interest. Loans are paid back over 12 months and all payments are reported to the 3 major credit bureaus. More than half of our members raised their credit score by up to 27 points within 60 days

3. Virtual assistant

Look on websites like Fiverr, Upwork, or to find virtual assistant jobs. These jobs usually entail basic bookkeeping, administrative, or random tasks. Some of these projects can be one-off jobs, but you never know what could come of it if you do a great job! 

4. New job with perks

If you pay for your benefits like health insurance, consider applying for a higher paying job that also offers these benefits. Once you find an employer who covers these costs, you can reallocate that money to paying down debts. 

5. Lower your overhead

Having a budget and financial plan in place should give you an idea of where you can cut back costs. Maybe you need to cut back on dining out, get rid of your gym membership, or shop around for better insurance quotes. Wherever you see potential savings, consider cutting it out and using those funds to pay back your debt. Once you’ve paid your debts and saved up your emergency funds, reward yourself by bringing back one luxury at a time. 

7. Find temporary second job

Seasonal or temporary jobs are popping up everywhere, especially during the holiday season. Look into places like local grocery stores, retail stores, or driver services like Uber and Lyft

8. Reach out to debtors 

Medical bills past due? Call up your debtors and ask if they’ll settle for a lower amount. You can write letters to hospitals, clinics, or doctors explaining your hardship situation and they might waive a portion, or all, of your debt. If you offer to pay a lower amount immediately, your chances of them cutting you a deal is higher. 

9. Earn cashback

Why not earn a kickback for everyday purchases you need anyway? Download the MoneyLion mobile app, purchase through the rewards tab, and earn rewards all year around.

Cashback rewards are deposited into an active MoneyLion investment account with the potential to earn passive income without needing another job. Add funds or withdraw from your investment account at any time without minimums.

Pay Off Debt With Help From MoneyLion 

Now that you know how to pay off debt fast with low income, you could be out of debt in no time! We can help you keep tabs on your saving and spending habits in the MoneyLion app by using the Financial Heartbeat tool. This feature uses a 10 point system to encourage financial discipline along the way.

Download the app today to get started!

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