3 tips for tackling debt

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SALT LAKE CITY — The main drivers of household debt in the U.S. are mortgages and credit cards, according to WalletHub.

That report shows we began the year with households collectively owing $17 trillion in debt.

Financial expert, Suze Orman says consumers can make these three moves:

Say no to "buy now, pay later" plans

Orman said it might be convenient to take those offers, but they can lead to a financial mess.

Surveys show people end up buying more when they use these options because the upfront cost is so low. If you miss a payment, you can get stuck with very high fees.

Pay more than the minimum

Orman is a strong advocate for paying more than the minimum amount due on your credit card bill every month.

When money is tight, it might be tempting to focus on making a minimum payment, but she says it's a trap and will end up costing you so much.

The interest rate on the unpaid balance is going to be 17% or more, so pay it off as soon as possible.

Want vs. need

Before you make a purchase, ask yourself if you want something or if you actually need it.

Orman said a need is essential to your well-being. A want is something you'd like to have but ultimately can live without the cost and financial stress.

"If you're somebody out there living paycheck to paycheck, or you don't have an emergency fund or you're not funding a retirement account, you should stop going out to eat, going on vacation and doing all those things," she said.

Orman suggests giving yourself a strict budget for wants so you have more money for savings.