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Pay Down Your Debt Challenge

Find an Extra $1,000 for Debt

Follow these cash-flow tips and use the newfound money to pay down your debt fast

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Wouldn't it be great to raise cash quickly for a good cause? I'm not talking about taking that newfound money and going out and splurging on anything fancy, but using that cash to simply pay off some of your lingering credit card debt or other bills?

See also: Tips for selling your stuff on eBay.

Thankfully, there are lots of ways you can go about generating some big bucks fairly quickly. You won't need to tap your 401(k) plan, or resort to a payday lender. Try any of these six strategies to come up with $1,000 (or more) over the next month. Then take that $1,000 windfall and use it to reduce your debt.

Sell Stuff You Don't Want, Need or Use
Are there dresses, sweaters, pants or suits in your closet that you haven't worn since — forever? Now is the perfect time to sell some of that clothing as a way to pad your bank account. You can have a yard sale, sell items on eBay or list clothing with a local consignment shop.

Whatever method you choose, just be dispassionate about letting go of a range of things that are likely simply laying around, but that could be turned into ready cash. Clothing, furniture, appliances, electronics and other household items are all good starting points.

Debt challenge find $1000 to pay debt, money under mattress

Find money in the most unlikely places. — Photo by: Leland Bobbe/Getty Images

Turn a Hobby Into Cash
If you have a talent or skill that you've been using simply as a hobby, consider whether that hobby could earn you some cold, hard dollars. Maybe you're good at teaching piano and could tutor others. Or perhaps you're crafty when it comes to making jewelry, leather goods or accessories. Check out 5 great seasonal jobs here.

Whatever your abilities, think about ways in which you can offer products or services that would be of use to someone willing to pay for those things.

A part-time enterprise that makes you extra cash can be quickly launched, as long as you keep it as a no-cost or low-cost venture that can be operated exclusively from your home.  Don't spend gobs of money buying products, hiring anybody or leasing office space. Keep any business pursuit small enough and manageable enough that you can do it on your own. That way you keep all the profits — and that money can be used to help eliminate debt.

Next: Tweak your paycheck to get more money. >>

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