Wise Tricks For A Debt-Free Life
One of the main questions in life is that, ‘why do you spend the money you don’t have yet?’ Which actually makes a huge sense, especially for people who has numerous numbers of debts. Debts are actually considered to be one of the results of bad spending habits, because when you don’t use cash, it’s literally costing you money to spend money, which doesn’t make sense at all, but that’s just how it is. Just like how credit cards are considered to be a person allowing you to borrow money to get something you can’t really afford at the moment, but can easily pay off in the future.
It always seems so easy and convenient, but what exactly happens is that you are owing more and owning less, and this could last for years, some people grow old and dies without managing to pay for their debts because there is just too much of it, you wouldn’t want to spend the rest of your life earning money just so you could pay off your debt right? So here are wise tricks to become debt-free.
PAY OFF ALL YOUR DEBT
Patience and hard work is the key to paying all of your debt. If you know that you got debts and other loans to pay, then don’t start a new one, it’s just like trying to pay your debt with another debt, which would just lead to you being broke as early as now, you must sit down and check every single loan and debt you have, and figure out a way to pay for them. A nice tip though, pay off the biggest one, then go from there.
This has got to be one of the major reasons why people simply couldn’t help but be on debt. Almost every working adult in the world has at least two credit cards on their wallets. Little did they know that credit cards are actually the most expensive form of debt in the world. The average rate for fixed debt is 15 percent, but there are unsecured credit cards that have higher interests, so before you actually get a credit card, be sure to know all about it, but it will best, if you don’t use one at all.
There are people who struggles to pay for their student loans, especially if it is a private student loan, because it is more costly compared to a federal loan. However, these have strict rules of payment and is unsecured.
Now this is something that is obviously really high. The average auto loan is 6 percent, and that is for a fixed-rate loan when you buy from a dealer. The only good thing about this is that, auto loans are of co it’s secured.
STOP USING CREDIT CARDS
Now that you have managed to get through all of your loans and debts, just work hard to be able to pay for them. It might take some time but it will all be over. Once you are debt-free, make sure to stay like that and one of the first things you have to do, is to stop using credit cards. It wouldn’t be possible for you to be debt-free if you keep on using those credit cards.
CUT UNNECESSARY EXPENSES
Credit cards are often use especially when people tend to buy unnecessary stuff, and of course on impulse buying. When someone uses a credit card for shopping, it’s like everything is worth it, but when your bill comes, you feel like you’re carrying the world on your shoulders. If you don’t use credit cards and you use cash instead, it will be difficult for you to let go of that cash when you go shopping for unnecessary items. It is ideally more difficult to let go of cash since it is real money, and not just a card to swipe.
More in Debt
Worried About Your Student Loans? Here’s How You Can Repay Them
One thing that keeps students about to graduate happy and jittery at the same time, is the realization that another big...August 20, 2018
Things to Do when Debt Collectors Call
Having a standing debt is not easy. It gives us a lot of stress just thinking about how to pay. Receiving...August 17, 2018
Investment Mistakes The Ultra Wealthy People Would Never Make
You might have been repeatedly asking what wealthy people do that you do not do. While these millionaires and billionaires just as...August 16, 2018
How Charles Lazarus Turned Toys R Us Into a Toy Empire
On June 29, 2018, the biggest toy store in the country finally closed all of its doors worldwide, ending the toy...August 15, 2018
Want to Start a Successful Medical Crowdfunding? Follow these Guidelines
What if one day we just woke up and had an accident going to work? Or what if that physical pain we’ve...August 14, 2018
How Employers Benefit from Helping Workers Pay Student Loans
When a person starts working in any job, one of his or her ideal priorities is to start saving for the...August 13, 2018
How Crowdfunding Is Helping Biodiversity Conservation Around the World
If we were to choose one great thing about crowdfunding, it will most definitely be its ability to make people and...August 10, 2018
The Richest Pastors in the World: Private Planes, Big Real Estates and Fancy Cars Galore!
It was once said by Scientology founder, L. Ron Hubbard, that a person who wants to get rich should start a religion....August 9, 2018
The Richest Banks in The World
Banks: the custodians of our hard-earned money and providers of good financial advice and always ready to meet our credit needs....August 8, 2018