Getting Out Of Debt-Living in Debt
Being in debt is incredibly common now.
Many pay their credit card bills monthly the same as they do their utility bills.
Finance companies and banks assure you they can fulfill your dreams now and you can pay for them later.
But are you really fulfilling your dreams now, or do you feel as if you’re always paying for it now? That’s the pinch of the debt trap you’re feeling.
The Journey Into Freedom
If you really commit to being in control of your money, instead of letting it control you, you’ll be able to enjoy the liberation of a debt free life before you know it.
Consider using some of the following strategies to help you get a handle on your debt and break free of its limitations.
Debt Consolidation: Aggregating Your Debt
A debt consolidator (DC) assumes you’ve already missed a few payments at the time of your first call.
DCs will charge you a fee.
DCs will promise you lower interest rates which lead to lower monthly payments. They’ll claim to do all the paperwork.
When DCs receive your payments, they will send them to your creditors and receive 10-15% of the money back as creditors reduce total amounts due with DC participation.
Do I need to spend more time
learning to manage my finances?
Compulsive Spending: A Self-Test
1.Do I have a tendency to spend more than I earn?
2. Can I afford my regular daily purchases without borrowing money?
3. Am I able to make my monthly payments without difficulty, and perhaps pay a little more each time?
4. Do I have savings I could use to sustain myself for 3-6 months if I lost my job today?
1. Live Within Your Means
2. Put Money Away
3. Eliminate Reliance on Credit
4. Invest Regularly
5. Maintain a Financial Plan
Keep in mind that very rarely rush to a decision. Take your time and make choices that will benefit you in the short term and for the future. Ultimately, you have to decide how you want to spend money.