Five Strategies for Getting Out of Debt

I’m just going to come out and say it: there is NO “right way” to get out of debt. In fact, there are a number of ways that you can support your clients (or yourself) to pay down your debts - and today, we’re going to examine five of those strategies. 

When I first started coaching clients whose goal was to pay off their debts, I would have ask the client to give me their financial details, which included balances, interest rates, payments, etc. Then I’d use the information they provided to create a “debt snowball” spreadsheet. Next, I’d show their spreadsheet to them and say, “see- this is how you do it,” or “see- this is what you’ll do.”

I found out rather quickly that while some clients had no problem sticking to the plan, others just couldn’t seem to stay on track. When my clients “failed” to “execute” the plan I’d given them, I dug deeper, asking them questions about what wasn’t working for them. Then I’d tweak the plan, taking their feedback into consideration, and give it back to them with the hope that it would work…this time. 

I quickly realized that I had been looking at my client’s goal to pay down their debt totally backward - once I had that revelation, I stopped telling every client that they needed to “snowball” their debt.

Instead, I started asking more questions to figure out which debt payoff strategy would be the best fit for the client. And it worked! My clients were more engaged - excited even - which resulted in them getting results and enjoying the process. 

Let’s take a look at some of the different tactics you can use with your clients to take care of their debt.

Links & Resources:

• How to Create Buy-in - Free Workshop
• Join the Facebook group

Key Takeaways:

• The best debt payoff strategy is the one that creates the most buy-in for your client. Financial calculators don't account for human motivation and follow-through.
• Present options before prescribing solutions. Instead of showing clients "the right way," explore what will work best for them through curiosity and conversation.
• Pause after showing clients their debt totals so they have space to process the number. Then ask, "What's going through your mind right now?" before moving forward.
• One debt might carry emotional weight that makes it worth prioritizing. If a balance triggers shame or keeps someone stuck in the past, eliminating it first can unlock progress.
• All five debt payoff methods share the same structure: pay minimums on everything except one debt. They only differ in which debt to prioritize first.
• Quick wins matter for some clients and financial optimization matters for others. Match the strategy to what will keep this specific person motivated.
• Ask, "Is there one debt that really frustrates you?" early in the conversation. The answer reveals whether emotional factors should drive the strategy.