When you’re already living on a tight budget, trying to pay off debt can feel impossible. You need to pay for your expenses, handle your debt, and hopefully, have money left over for savings. It can be a challenge for a lot of people, myself included.
Tackling debt can be scary, and it’s hard to know exactly where to start or how to approach it.
In 2018, total household debt in America — which includes credit card debt, student loans, mortgages, etc. — hit a record high of $13 trillion.
If you’re struggling with debt, you’re not alone. Now is the time to get a helping hand.
The first step to paying off debt is good money management (and extra payments), and that’s where Digit comes to help.
What Is Digit?
Creating an account takes only a few minutes, plus you get the first month free.
After setup, just choose a goal that you want to start, such as paying off credit card debt.
Then Digit will calculate your monthly expenses and start setting aside a safe amount to automatically put into your debt payoff goal each month. Every quarter that you save, you earn a 1% bonus!
Once a month, Digit will automatically send the money in your payoff goal to the credit card company you indicated as an extra payment. Using this method, your debt will go down even faster.
After your first month, the Digit app only costs $5 per month, which is quite reasonable for peace of mind.
Once Digit has helped you handle your debt, set some more fun goals, like a rainy day fund or vacation savings.
In addition to the Digit app, here are some others you can download to help manage your money.