subject: How To Limit Your Spending Habits For Good - Part 3 [print this page] How To Limit Your Spending Habits For Good - Part 3
1. Don't pursue 'looking successful' at the cost of struggling with monthly credit payments. Because we are living in a quick fix society, people want what they need as soon as possible without having to wait for it by first saving up enough money. Lay bye buying options are also seen as old-fashioned, as people prefer to look successful today, spending their bonus and annual pay rise, even though its still months away.
2. Do a reality check today by monitoring what and how much you fully own, e.g. food, clothes, appliances,home improvement, petrol, car, house, etc. If you are still paying for it you don't fully own it. You will see that the shocking reality is that we are consumed by a lifestyle of buying everything on credit, sometimes even something as little as 50 bucks.
3. The bad part of buying everything on credit is that you stop including everything into your monthly budget, or even stop drafting a monthly budget. You comfort yourself in the knowledge that 'you can always put it on credit' if you don't have enough cash available.
4. Draw up a monthly budget with only your 'cash' salary, and one including your credit availability. Notice the huge difference and finally realize that you don't earn enough to maintain a life of buying everything on credit.
5. Don't plan/budget weekend getaways or holidays with a credit card. It will take you more than 1 year to repay all that credit. Rather save up enough money for these well-deserved getaways. I managed to max out 1 credit card a few years ago for a 5 day vacation, so sadly I know what I'm talking about. I'm learning the hard way, but you don't have to!
Are you unable to keep up with your debt? Is your credit providers hassling you? Afraid you might lose everything? Get help from a debt counselor to consolidate all your outstanding debt.
