Nearly everyone old enough to make a purchase or qualify for credit carries some type of debt. Whether monthly unpaid bills or the most famous and horrifying credit card or consumer debt, the burden of carrying debt diminishes quality of life and imposes a feeling of entrapment that leaves you lying awake confused about how to get out fast. Sounds familiar? To make matters worse, there are endless television and radio commercials offering to help you get out of debt fast. Should you try those offers or chart your very own no-fee plan? Stuck, more confusion, depression.
Sometimes I dream of turning back the clock to days when I had no debt…hmmm. Exactly how
long ago was that? The fact is debt does not happen at once. It is a systematic method of self-inflicted condemnation that slowly builds up over time.
How smooth is the path that leads to debt? Note that I intentionally used the word “smooth” rather than “rough”. If the path to obtaining debt were rough and difficult most of us would probably be debt-free. Why? No one likes to go through a long process to obtain “credit” or get into debt. “I want that debt and I want it NOW! I know for a fact that most people spend more and accumulate more debt when they think they have job security.
With each raise comes bigger and deeper needs for a bit more luxury that can be paid
for by creating another debt. Better still, others count their chicks before they are hatched, counting on next year’s raise or promised promotion to justify going into debt...How wise is that?.
Just thinking and worrying about debt does not make it go away. Getting rid of debt requires more difficult, thorough planning than the "get-debt-quick" scheme that got you there in the first place. The formula for paying down debt is not universal. Different techniques and formula are applicable to different situations based on several factors unique to the debtor. Some of these factors include:
Employment status
Amount of Debt Owed
Age
Amount of Personal Savings
Anyone planning to pay-off debt must conduct self-assessment to determine a pay-off formula that works for his/her debt situation. Remember that a formula that works for me may not necessarily be suitable for you but the underlying goal remains the same.
Thanks for reading
Musu
Dare to Succeed!
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