Are you tired of saying yes to debt and no to life? Are you saddened by the fact that your payday equates to you, paying for your debts? Living debt-free is one of the sweetest things that can ever happen in your life, and although it may be challenging, especially when the newest collector’s shoes are out in the market, it is never impossible to say ‘no’ to debt and ‘yes’ to a happy and fulfilled life.
One of the most influential and wrong perceptions most consumers apply is that staying out of debt may hinder them from living a full and contented life because in reality, it is the other way around. Debt is a trap set for you to live in misery. You may enjoy your newly bought Ferrari now, but how many years would you have to suffer for buying items that you can’t really afford to pay? No matter what specs or advertisements you may have seen, you must learn how to count figures and know your financial limitations. Otherwise, you will end up suffering from debt plus your monthly dues.
Credit Card—Need vs. Want
A major culprit that can cause you your savings is a credit card. Before applying for a program, ask yourself if you really do need a credit card or if you are just availing it for availing wants and to feed your hunger for new collectible items. Paying cash is always best, especially since you won’t have to worry about monthly interests afterwards. Instead of buying impulsively, get your head straight and try to think if you really want that item. If you really do and you can’t sleep on it, go ahead and indulge. If not, then don’t go back to the mall because you might end up buying an item you don’t really want and need.
Also, if you are applying for a credit card, make sure that you’d avail of one that has the lowest interest rate. Additionally, do not set your credit card limit to as high as the roof. Instead, minimize your credit card limit for you to make sure that you won’t be a victim of impulsive buying.
Save for Possible Debt
Well, in this life, you can’t really be debt-free all the time because there will be instances when you’d need to borrow money. However, this doesn’t mean that you won’t act on this as soon as possible. While you still have all the strength to work and pay off your bills, allocate a portion of your earnings for your savings account and never forget to allot a part of it to manage your debt. This way, you won’t have to worry about interests that continue to increase monthly. Remember, the sooner you pay for your debt, the lesser the chance you’d have in suffering from too much debt.
No one can ever rescue you because in the real world, you have to be responsible for yourself and your monthly expenditures. If not, you might as well say goodbye to happiness and success.