In part one of this series we discussed how you can thrive in a poor economy even when you have debt by eliminating a large part of the debt that you have.
In this part, Part 2, we will look at the steps that you need to take after you've reduced your debt as much as possible.
If you were wise, and you used a debt relief service to reduce your debt through debt settlements or debt consolidation, your debt relief specialist should recommend credit counseling.
Credit counseling should be free through the service, or you should be directed to a non-profit organization that offers free counseling.
With the help of a debt counselor, you will be able to make a budget that you can easily stick to, regardless of what your income is.
Often, people make the mistake of not making a budget that they can reasonably work with, which will only result in putting you right back into debt in the end.
Along with your budget, you must develop a different attitude about credit.
Credit is very easy to get, but you have to be careful about using it.
Ideally, you will have one credit card that you only use in the event of a true emergency.
That credit card should reside in your home safe, and not in your wallet.
Otherwise, try to use your debit card or a pre-paid credit card for purchases.
If there is an emergency, and you have to use your credit card, make sure that the balance is paid off in full when the bill arrives.
If you do not do this, you've only managed to start the vicious cycle of debt all over again, and as you've already found, it is debt that is not easy to live with, or to get rid of.