How do I Get Out of Debt With no Money?

Being in debt can be a difficult and stressful situation to be in, especially if you don’t have the financial means to pay off your debts immediately. 

Out of Debt With no Money

But just because you have no money at the moment, it doesn’t mean that you can’t get out of debt. 

Here are some strategies you can use to get out of debt with no money:

Create a Budget

Creating a budget is one of the most important steps in getting out of debt, and it requires a significant amount of effort and commitment. 

A budget is essentially a financial plan that lists all of your income and expenses. It is an essential tool that can help you understand where your money is going, identify areas where you can cut back, and prioritize your debt payments.

When creating a budget, start by listing all of your income sources. This could include your salary, rental income, investment income, or any other sources of money you may have. Once you’ve listed all of your income, add up the total and use it as the starting point for your budget.

Next, list all of your expenses, starting with your fixed expenses such as rent or mortgage payments, utilities, car payments, insurance, and any other recurring expenses. 

Then, list your variable expenses, such as groceries, dining out, entertainment, and any other expenses that vary from month to month.

Once you have a clear understanding of your income and expenses, it’s time to identify areas where you can cut back. 

Look for expenses that you can reduce or eliminate, such as eating out less frequently, canceling subscriptions you don’t use, or finding a more affordable place to live. Be sure to prioritize your debt payments in your budget, allocating as much money as possible towards paying down your debts.

Review your budget regularly and make adjustments as necessary. You may find that you need to make further cuts or adjust your debt payment plan based on changes in your income or expenses.

Contact your Creditors

Contacting your creditors can be a crucial step in managing your debt, especially if you’re having trouble making payments. When you’re struggling to pay your debts, it’s important to take action early on, rather than waiting until your debts become delinquent or go to collections.

Here are some steps to follow when contacting your creditors:

Gather Information

Before contacting your creditors, gather all the information you need about your debts, including the amount owed, interest rates, and payment terms.

Be Honest and Upfront

Explain your situation to your creditors honestly and clearly. Let them know that you’re having trouble making payments and that you’re looking for a solution to help you get back on track.

Ask for Help

Don’t be afraid to ask for help. Ask your creditors if they’re willing to work out a payment plan or negotiate a lower interest rate. You may also want to ask if they’re willing to waive late fees or other penalties.

Be Persistent

If your creditors aren’t initially willing to work with you, don’t give up. Be persistent and keep trying to find a solution that works for you.

Consider Debt Settlement

If you’re unable to negotiate a payment plan or lower interest rate, you may want to consider debt settlement. This involves negotiating with your creditors to settle your debt for less than what you owe. However, be aware that this can have a negative impact on your credit score.

Get Everything in Writing

If you do come to an agreement with your creditors, make sure you get all the details in writing, including the terms of the agreement and any payment plans.

Remember, your creditors want to get paid, and they may be willing to work with you to find a solution that works for both of you. 

By being honest, persistent, and proactive, you can take control of your debt and work towards a debt-free future.

Find Ways to Increase Your Income

Finding ways to increase your income is an important step in getting out of debt, especially if you’re struggling to make ends meet. 

Here are some strategies to consider:

Get a Part-Time Job

One of the simplest ways to increase your income is to get a part-time job. This could be anything from working in a retail store to delivering food or driving for a ride-sharing service. Even a few extra hours a week can make a big difference in your finances.

Sell Items You no Longer Need

Look around your home and see if there are any items you no longer need that you can sell. This could be anything from clothing and electronics to furniture and appliances. 

You can sell these items online through platforms like eBay, Craigslist, or Facebook Marketplace.

Start a Side Hustle

If you have a particular skill or talent, consider starting a side hustle. This could be anything from freelance writing or graphic design to pet-sitting or tutoring. 

The internet has made it easier than ever to start a side business, so do some research and find something that works for you.

Rent out a Room

If you have a spare room in your home, consider renting it out on a platform like Airbnb. This can be a great way to earn extra income, especially if you live in a popular tourist destination.

Ask for a Raise

If you have a full-time job, consider asking for a raise. Make a list of your accomplishments and contributions to the company, and be prepared to make a case for why you deserve a raise.

Increasing your income can take time and effort, but it can be a critical step in getting out of debt. 

By exploring different options and finding ways to earn extra money, you can take control of your finances and work towards a debt-free future.

Prioritize your Debts

Prioritizing your debts is an essential step in getting out of debt, as it allows you to focus your resources on the most pressing debts first. 

Here’s how to prioritize your debts:

Make a List

Start by making a list of all your debts, including credit cards, loans, and any other outstanding balances.

Determine Interest Rates

Look up the interest rates for each of your debts and write them down next to each one.

Prioritize by Interest Rate

Next, prioritize your debts based on the interest rate, with the highest-interest debt at the top of the list. This is the debt you’ll want to focus on paying off first, as it’s costing you the most in interest charges.

Make Minimum Payments on Other Debts

While you’re focusing on paying off your highest-interest debt, make sure you’re still making minimum payments on your other debts. This will help you avoid late fees and other penalties.

Move on to the Next Debt

Once you’ve paid off your highest-interest debt, move on to the next debt on your list and continue the process until all your debts are paid off.

Consider Debt Consolidation

Debt consolidation can be an effective strategy for getting out of debt, especially if you have multiple high-interest debts. 

Here’s how it works:

Take out a Consolidation Loan

The first step in debt consolidation is to take out a loan to pay off all your debts. This loan can come from a bank, credit union, or online lender.

Pay off Your Debts

Once you have the consolidation loan, use it to pay off all your existing debts, leaving you with just one loan to manage.

Lower Interest Rate

In some cases, the consolidation loan may have a lower interest rate than your existing debts, which can help you save money on interest charges.

One Monthly Payment

With debt consolidation, you’ll have just one monthly payment to make, which can make it easier to manage your finances.

There are several types of debt consolidation loans available, including personal loans, home equity loans, and balance transfer credit cards. 

Each has its own benefits and drawbacks, so it’s important to do your research and find the right option for your situation.

It’s also important to note that debt consolidation is not a silver bullet solution for getting out of debt. 

You still need to make sure you can afford the monthly payments on the consolidation loan, and you need to be committed to changing your spending habits and living within your means to avoid getting back into debt.


Getting out of debt with no money can be a challenging process, but it’s not impossible. 

By creating a budget, contacting your creditors, finding ways to increase your income, prioritizing your debts, and considering debt consolidation, you can take steps towards becoming debt-free. 

Remember, it’s important to be patient and persistent – getting out of debt is a journey, but with hard work and determination, you can get there.