If you’re tired of ridiculous overdraft fees, bad credit and a bank account that’s barely got enough for a can of soda, then it may be time to change the way that you handle money.
Financial health can impact every area of your life. Money can’t solve all your problems, but it comes pretty close sometimes!
When you don’t curtail your bad spending habits, they can take over your life. This means being trapped in a cycle of poverty, unable to get mortgages or loans and being stuck paying inflated prices.
Some people are fortunate enough to have assets and are able to consolidate debt with hard moneylenders online, but this doesn’t do much good if they keep spending irresponsibly.
It’s not enough to get out of debt; you also need to learn how to stay out of it. This means identifying and fixing your bad habits before you dig yourself deeper into debt.
Free Spending
Spending money like a millionaire with a McDonald’s budget is never a good idea. Free spending goes beyond impulse buys. It means spending every dollar in your bank account today to try and live above your means, without thinking twice about the rent that’s due tomorrow.
Free spenders throw money around, max out credit cards and have that “you only live once” attitude. Sure, it’s a great philosophy when applied to things like taking opportunities and slowing down to enjoy life, but it just doesn’t work when it comes to cash.
This can be a hard habit to break. You can start by budgeting and trying to even out your bipolar bank account. If you have a steady paying job, your finances shouldn’t go from feast to famine erratically. Take control of your money, start a savings plan and consider taking advantage of online financial courses.
Using Savings for Wants Instead of Needs
Yes, you can live without that pair of $1,200 shoes! Far too many people confuse their wants with their needs and dip into their emergency savings account. It helps to define what a real emergency means to you. For most people this involves a major catastrophic event that impairs their ability to function. This can include things like…
