Today we are going to discuss an important issue in modern society: how to avoid debt. You probably know many people who are drowning in debt–credit card debt, student loans, etc. Debt can be a debilitating responsibility that keeps you from enjoying your life and taking advantage of the opportunities that come your way.
As a collections agency, we see plenty of people who have gotten in over their head and as a result, have intense stress and fear surrounding the issue of money.
Pay with cash whenever you can. If you want something, and you don’t NEED it, then don’t buy it. Don’t buy things on credit that you simply want. If you can’t pay cash, most of the time you should just walk away.
Set up a budget. Know how much you should be spending on groceries, gas, electric and other bills, entertainment, etc. Once you’ve set limits for yourself, stay within those limits.
If you have a favorite store, and you know that every time you walk into it, or every time you get on Amazon, you’ll buy something, avoid it. Carefully think about what you need and only buy those things when you go out. Make a list and stick to your list. Impulse buys usually end in buyer’s remorse.
Some enticements, like buy now, pay later deals are very tempting, but these are exactly the kinds of things that you will come to regret as you watch the debt grow.
Comparison shop! Do the homework required to get the best deal possible. There’s no sense in paying more than is absolutely necessary.
If you find it difficult to rein yourself in, start buying most things with cash. Take only the amount you will need for the purchases you must make.
These are just a few of the simple steps you can take to keep yourself out of debt. We’ll discuss more next time!