4. Make cutbacks to reduce your expenses

Now that you’re starting to make your way out of debt, it’s time to make sure you stay out. Start by cutting down on what you don’t really need, starting with direct debit payments. Are you really using that gym membership, magazine subscription or movie and music streaming service? Instead of paying for expensive Sky or Virgin TV packages, look at low-cost alternatives like Netflix or Amazon Instant.

Small changes like this can more than halve your outgoings, giving you more expendable income.