12-Steps To Debt Recovery

Just as any addiction has recovery steps, so should debt recovery. Today, we will take a page out of AA and delve into the 12-Steps To Debt Recovery.

  1. The first step is to admit that you have a problem with debt. You cannot recover from debt if you are unable or unwilling to admit you have a problem. You will be unable to seek the help you need and you will continue being mired in debt. Facing the fact that you have a debt problem may be difficult, but it must be done. Admit to the others that you have a debt problem.
  2. Believe that God is greater than your debt problem. Have faith in His power to get you through it. Without Him, it will be more difficult to become debt free.
  3. You need to make a decision to turn your will and your lives over to God. God’s will is greater than yours. He made you and loves you. When you surrender it all to Him, you will see great changes in your life.
  4. After you have admitted that you have a problem, you need to look at your past and present situations and determine any faults/wrongdoings that you have. Then, you can begin to address your faults. These faults might be you don’t feel good about yourself. You feel that deserve he best. You don’t know how much money you really bring in each paycheck. You have no clue how much money you spend or overspend. You don’t know how much money you need to cover your needs. These faults lead you to spending more money than you make; using credit to supplement your lifestyle. Giving into temptation to buy the latest item.
  5. Admit to God, to yourself, and to another human being, e.g. your spouse, the exact nature of your wrongdoings. Don’t just rely on the fact that you know your wrongdoings. You need to admit your wrongdoings. When you do so, you can change your life.
  6. Be ready to have God remove your faults/wrongdoings from your life. Once you have recognized and admitted your faults, it is time to let go of them and accept that it is time to change. You have accepted responsibility for your actions. Now, it’s time to change.
  7. Humbly ask God to remove your wrongdoings from your life. You need to have faith, prayer, and hope in your life. When you have these in your life, you can began to recover from debt.
  8. Make a list of your debts. When you know how much you owe, you can began to attack your debt in a practical manner. Use the snowball method to attack your debt.
  9. Make and began using a Monthly Money Blueprint (Budget). Go to our Resource section and download a budget form. Use the Money Blueprint Notebook to track your expenses. Use the Money Blueprint Envelopes for your cash expenses.
  10. Keep using your Monthly Blueprint items each month, even after you get out-of-debt.
  11. Begin to tithe from each paycheck and begin to save for your emergency fund and retirement.
  12. Always remember that God owns everything. You are only a steward (manager) of what He has entrusted to you. Learn to be generous with His money.


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