Thoughts on Debt

Debt is on the minds of many with the rising cost of groceries and gasoline, where will we find the money to go on if the cost of everything continues to rise at the rate it is? How can we avoid debt in the face of this financial crisis? Well, as Suze Orman says, you may not like the answer, but I am going to give it to you straight. The only way to avoid getting yourself into a financial crunch is to CUT BACK. You must do whatever you can at this point to reduce yourself to the bare minimum of expenses. Things like bottled water and coffee from the coffee shop, I am afraid are some of the first things to go. You can brew your own coffee at home and save a bundle. You can get yourself a to-go pitcher from Brita and use that to get filtered water anytime, anywhere. If you can avoid it, don’t put anything on your credit cards, as a matter of fact, try to stop using all but one card and be sure that you are making significant payments on it each month, hopefully paying off most if not all of the balance, not just the minimum payment. Buy a used car instead of a new one, this will save you a bundle. Shop sales, use discounts, use coupons, do whatever you can to put aside some money for yourself. The more you can keep in your pocket and hang on to the better chance you have of riding out these tough financial times. Now is not the time to take elaborate vacations or buy lots of new toys, now is a time of nesting and saving. The trend shows that these tough economic times are not on their way out anytime soon. They are only just beginning and we must be prepared for what comes next. It is time to trade in your gas guzzler for a moped and to start to use a few more store brands. Shop the sales and cut coupons. These discounts if used right can provide you with significant savings. If you can get an item that is on sale with a good coupon you can save a few dollars per item, and this kind of savings especially in a big family can really add up.

It may be tough at first and a little bit shocking to the system, however, over time you will be ahead of game and will be glad that you took these steps to cut back sooner rather than later.