So long I have been discussing with you all how to manage finances along with sharing a few things which I like. By now you have understood that I love traveling, cooking, etc. Managing a house is also a part of our day-to-day lives. So, I try to share some tips and tricks to manage it properly as well.
Today I thought of discussing with you all another thing. Will you be astonished if I say that I have also experienced debt problems? Yes, it’s true. That experience has helped me to manage finances well.
But, I have understood some things while paying back my debt. Here I will share some thoughts with you….
First of all, you can understand who’s an actual friend when you’re in a crisis. When I was trying to repay my credit card debt, many friends enticed me to shop more and not to worry about debt. But, I came across a friend, Lisa, who also became my roommate, actually motivated me to repay my debts. Constantly she encouraged me to make lifestyle changes so that I could save more.
Next comes, my parents’ constant support. Though I refused to take help from my parents to solve my debt problems, yet they guided me to choose a good consolidation company to take help. They gathered information about how to choose a good consolidation company since, at that time, I didn’t have much idea about it.
The importance of budgeting. I never realized before how important it is. You won’t believe it, at that time, I thought even before spending a dollar. Previously I didn’t use to do that. Just like you don’t get enticed toward unhealthy food when you’re very much into eating healthy, similarly, when you decide to become debt-free, nothing can entice you. Believe me, it happens!
You shouldn’t ignore the importance of an emergency fund. Even today, I try to replenish it as soon as possible whenever I have to use it. You should try to keep at least 3-6 months of your lifestyle expenses into that fund. And, don’t use it for any other non-important purpose.
The house, where you live, needs to be clutter-free. You may ask, how will it help? When you make your home clutter-free, your mind will also become clutter-free.
Yes, at least it helped me to make decisions.
Let’s share a secret. Even today, my house is not completely clutter-free…. So no worries….
Another thing, it often becomes tough to distinguish between needs and wants. But, it’s very much necessary. We need to allocate a definite amount every month for our needs. We shouldn’t exceed that. Rather, try to save it, as much as possible.
When I was paying back debts, I never compromised with my enjoyment. Along with Lisa and my parents, I celebrated my little achievements.
So, want to know how I paid off my credit card debt? Know it here…
And, anyone who’s trying to repay debt, any other thing you want to share?? Feel free to write…