5 Essential Debt Shifts That Could Save You Thousands

Debt is a structure—one that too many of us inherited without a blueprint.
And while paying it off is the goal, how you carry it matters just as much as how much you owe.

If your current strategy feels heavy, scattered, or outdated, these five tips can help you think differently.
Each one offers a practical, lesser-known way to shift the terms—on your loans, your payments, and your peace of mind.

#1: Biweekly Payments

If your lender allows it, setting up biweekly payments instead of monthly can reduce your interest and help you pay off loans faster—without feeling it.

You’ll make the equivalent of 13 monthly payments each year instead of 12. That one extra payment goes toward principal.

Ask your lender or servicer directly: “Do you accept biweekly payments—and will you apply the extra to principal?”

It’s one question that could shave months (or years) off your loan.

Caution: Make sure the lender isn’t holding the early payment and applying it later. Confirm that it’s applied immediately to reduce principal.

#2: Recasting a Loan Instead of Refinancing

If you’ve recently come into a lump sum (from a bonus, tax refund, etc.), ask your lender if they offer loan recasting. Instead of refinancing your mortgage or loan, recasting allows you to make a large payment and reduce your monthly payment—without changing your interest rate or loan terms.

Many people don’t know this option exists, and it typically involves minimal fees compared to refinancing.

Caution: This is usually only available on conventional mortgages and requires lender approval. Not all lenders offer it, and federal student loans are not eligible.

#3: 0% APR Balance Transfers (But With a Plan)

Some credit cards offer 0% APR on balance transfers for 12–18 months. This can help you pay off debt faster if used wisely. BUT—you must pay off the balance before the promo ends and avoid new spending on that card.

Ask: “What’s the balance transfer fee?” and “When does the interest kick in?”

Caution: If you don’t pay off the full amount within the promo period, interest could be charged retroactively. Always check the fine print.”

#4: Snowball vs. Avalanche Isn’t Just Math—It’s Psychology

The Snowball Method (smallest balance first) gives quick wins. The Avalanche Method (highest interest first) saves more money. You can also blend them.

The key is consistency. Pick what helps you stay motivated—not just what looks best on paper.

Caution: Don’t switch strategies too often. Choose one that fits your mindset and stick with it long enough to see results.

#5: Don’t Forget About Hardship Plans

If you’ve experienced job loss, illness, or unexpected expenses, many lenders offer hardship programs. These can temporarily reduce payments, pause interest, or adjust terms.

You won’t always see these advertised. You have to call and ask.

Say: “Do you have a hardship or forbearance option available for someone with my current circumstances?”

Caution: Some hardship plans may still be reported to credit bureaus. Always confirm how participation will affect your credit score and loan status.

You don’t have to carry debt the way it was handed to you.
There are tools. There are options. And there is no shame in choosing structure over struggle.
Use what works. Drop what drains. And remember—you have the right to ask for something better.