June 29, 2023 · 3 mins read
How to Get Rid of Debt Quickly?: Learn from Amitabh Bachchan's Journey to Financial Freedom
Santosh Kumar
In 1999, Amitabh Bachchan faced a massive debt of Rs. 90 crores and successfully managed to overcome it. However, one can imagine, overcoming such a huge debt could not have been an easy task. In a 2013 interview with Mail Today, he shared his bitter experience of having creditors come to his door, treat him poorly, make threats, and demand money. Due to his enormous debt, even his famous house, Pratiksha, was at risk of being taken away from him.
However, with the right strategy, he managed to overcome it and bounce back. Drawing inspiration from his experience, in this article, we will tell you the best practical steps to pay off your debts quickly. If someone as successful as Amitabh Bachchan can bounce back from debt, so can you.
Let's explore these strategies and work towards achieving financial freedom.
Create a list of all your debts, including the type of loan and their interest rates. Prioritise the debts with the highest interest rates, as tackling them first will reduce the overall interest you'll need to pay.
Develop a budget that outlines your income and expenses. Assess your spending habits and find areas where you can cut back on unnecessary expenses. Allocate a significant portion of your income towards debt repayment, focusing on balancing your needs, wants, and savings.
During your debt repayment journey, temporarily reduce non-essential expenses like eating out, entertainment subscriptions, and luxury purchases. Embracing a more minimalist lifestyle will free up more funds for debt repayment.
Until you clear your existing debts, avoid taking on new significant expenses like buying a house, car, or planning extravagant events. Steer clear of credit card usage, as they often come with high-interest rates that can lead to more debt.
Identify unused or unnecessary items that you can sell. Platforms like OLX and Quikr provide convenient ways to sell second-hand goods, generating extra income to accelerate your debt repayment process.
Explore opportunities to increase your income, such as working additional hours, taking on more responsibilities at your current job, or pursuing part-time jobs or freelance work. You can try the ZET app, an online platform where you can sell financial products which are already in demand and earn an extra income. Acquiring new skills or certifications can also lead to higher-paying opportunities, helping you pay off debts faster.
Adopt a positive mindset and reframe your thoughts and questions about debt. Instead of dwelling on negative thoughts, ask empowering questions like, "What steps can I take to overcome this challenge?" Focus on your commitment and honesty in repaying the debt, knowing that you are taking control of your financial future.
Overcoming debt requires determination, discipline, and strategic planning. By following these seven steps, you can regain control of your finances and work towards a debt-free life. Amitabh Bachchan's journey serves as a powerful reminder of the challenges he faced. But he didn't give up. With determination and hard work, he overcame his difficulties. His story shows that if you have the right attitude and a good plan, you can overcome debt and become financially free. Start now and create a better future for yourself.
