Holiday broke again? I know it hurts me, too!
Pockets, wallet, special stash for rainy days and even the change jar empty?
It seems like many people have a lot of trouble holding onto money and impulsively make purchases on credit instead of saving for purchases that are paid in full right away.
But every year there are specials and sales that are not planned for with one of kind items that cannot be passed up.
And Out Comes the Credit Card
So out comes the credit card with the plan in mind that it will be paid off completely when the bill comes in. But things always come up such as a larger utility bill or car repairs and its back to making payments and struggling with interests on balances piling up higher than the original purchase totals.
In the depression that follows many such purchases there are usually promises to never spend again, eat less and pay more on the bills, become a saint and give away every last thing you own so perhaps the temptation to spend will be given away as well.
Slow Down There, Money Partner
There are other less drastic ways to reconsider your money habits though and I like to get into a positive mind set as quickly as possible to come up with solutions that are truly workable in paying down the debt and giving you options for the next time.
Although any amount that you owe from five dollars to thousands of dollars can seem huge, there are many positive ways to think about how to get yourself out of this debt. Looking at various options and putting some to work for you will help get you out of depression and into action.
Know You Have Options
It has taken me many years to glean through information on these subjects and separate useful and real information from the scams that charge you fees. On any amounts under one thousand dollars I personally try to come up with ways to tighten things a bit and pay them off in a reasonable amount of time.
There are no magic formulas for quick debt decrease and it always seems like it takes many times longer to pay off instant gratification credit purchases than saving up and paying in full.
As an individual you have to look at your own debt and income situation as everyone is different.
But How Can YOU Do It?
If you are working a good way to start is looking at your habits: do you habitually get one or three yummy coffees a day to get through your workday?
If so try taking a thermos of coffee to work or drink the company coffee if your work place has free coffee. At ten to fifteen dollars a day this can put several hundred dollars into paying down your debt each month.
Make it a point to keep it aside in an envelope marked something like: yummy coffees/pay down debt so you have a direct connection with why you are deprived of a favorite treat.
Search through your other monthly spending habits and see where else you can cut back for paying down these debts as well.
It’s About Building New Habits
Teaching yourself to make choices on spending and forcing yourself to trade purchases for money to pay for your previous purchases over time will give you a lot of food for thought as it has me.
Paying down debt is not fast and it is hard to keep to it month after month so making it a weekly (or as often as you can) payment ritual can help keep you on track. When I get something paid down it is much longer before the next time happens.
Take Back Control of Your Financial Life
And when I pay attention, build the resources I need to stay on task, and keep the habit (and marked envelope) after the old debt is paid off, I find myself still putting money into it but it is now my money for instant gratification purchases that are paid in full and not put on credit again.
Looking for more ways to build your ability to delay gratification, grow your skills, and help make you more capable? Click here to get started on the right path. It’s time to take back control of your financial life, my friend!