When you’re battling debt and credit issues, you might take comfort in knowing you’re not the only one to experience this situation. For that matter, you might speak with friends who have endured something similar to get their advice and encouragement. When you’re dealing with financial disaster, listening to another person’s credit story can motivate you to work toward recovery. But what if you don’t know anyone who’s gone through a similar experience?
Fortunately, you don’t need a direct connect. Thanks to the Internet, finding a testimonial video that relates to your current situation is much easier than you think. Whether you’re dealing with a low credit score, debt, unemployment, or another financial problem, the stories you read online are educational and a practical resource for improving financial matters. Vicki’s credit story featured on Creditrepair.com is an excellent place to start if you need encouragement and motivation. Maybe you’ve been in a similar situation and need helpful suggestions.
A lot of good can come from watching or reading another person’s testimonial. Your credit matters and it takes a plan of attack to overcome financial hurdles. At the end of the day, you want to avoid repeating history. You can learn a lot from people who’ve risen above financial problems like Vicki. If you want to get out of debt and avoid future problems, it pays to familiarize yourself with the habits of people who don’t have debt.
They don’t have egos
Some people get into credit card debt because they want to have the best and newest of every item. Whether it’s an electronic gadget, a car, or a house, some people have to keep up with the Joneses at all cost, even if it means getting into deep debt.
They exercise patience
People with no debt are patient. They might have access to a credit card or a nice savings account, which gives them the option of buying whatever they want. But they also understand the importance of saving up for purchases and buying when the price is right.
They pay with cash
Using a credit card can build your credit history and it can provide emergency funds when you’re short on cash. But for the most part, people who avoid debt believe cash is king. They would much rather save up and purchase an item outright than get into debt and deal with monthly payments for years to come. It might take them longer to purchase an item, but at least they can sleep soundly knowing they don’t have a huge payment hanging over their heads.
They check interest rates
Since most of us aren’t rich, we have to get a loan to buy a house, car, or pay for other important things. Getting a loan isn’t bad in itself, but people without debt make sure they’re able to pay off their balances as soon as possible. They only finance what they need, and they shop around and compare interest rates to keep their monthly payments manageable. Comparison shopping can be time consuming and prolong getting a loan, but it’s much better to get a loan you can afford than realizing down the road that your payments are too much for your budget.
They avoid expenses that bleed them dry
Some people get into debt because they shop uncontrollably. Others get into debt because their income isn’t enough to support their lifestyle. Every expense adds up. If you’re buying coffee every day on your way to work, or if you’re going out to lunch every day with your coworkers, you might be spending hundreds unnecessarily every month. Additionally, household services like cable, housekeeping, and lawn care can eat into your budget and leave you in the red every month. If you don’t have enough income to pay important expenses, you might pull out a credit card to close the gap. Evaluate your budget to assess what you’re spending, and make adjustments that can create more disposable income and help you avoid future debt.
They plan for the unexpected
It’s much easier to spend money than to save it. People who don’t carry a lot of debt know the importance of planning for the unexpected. If you don’t have an emergency savings account, it only takes one unexpected expense to plunge you further into debt. Make saving a priority and aim to save 10% of your salary.
Getting ahead financially takes a lot of work, and it can be hard to improve your finances when you’re stuck in debt. Your situation might seem bleak today, but with an effective plan and determination, you can erase debt and dramatically improve your financial health.