Debt isn’t something one would want to have coming out into adulthood, but it isn’t that uncommon anymore whether it be credit card balance, student loans, a new car payment or even a first-time mortgage.

It’s not a secret that nobody likes talking about it, and rightfully so, because who would want to share about how much they owe at a family gathering or over a dinner date? As displeasing as it sounds, debt just might not be getting talked about as much as it actually needs to be.

If debt is not handled well, you’ll find yourself asking this question at some point in your life – How did I end up owing so much money? The answer on the other hand just may be hidden in how you started instead of how you ended up here.

To whoever that wants to ensure that they won’t have to tackle this issue anytime in the future, here’s 5 valuable practices that could keep you off a high figure in the future. You’d be surprise by how many of it just requires having a smartphone in your possession.


Stop swiping

Credit cards can be the seed to an action that would form a highway to debt. The amount of people buying into the belief that credit cards help purchase unaffordable things is too high and majority of these folks are not so unfortunately in debt at the same time.

The solution is pretty straightforward for this, don’t swipe when you’re purchasing and try to use what you have in a debit card or cash at hand instead. A good rule of thumb to live by would be not buying it if you don’t have enough cash to afford it.

Leave those credit cards locked up at home when you can or simply have some old-fashioned self-control. Worst case scenario is that you could even try snipping them in half, leaving them out of sight out of mind. 


Budget up

Oh please don’t sacrifice everything in order to fulfil your impulse buying habits. Instead, start to look out for what’s coming in to stay and what’s going out in order to find a ground for cutting down unnecessary spending.

Based on that, decide what you would consider as needs and what you forgo as wants; with some minor tweaks in your spending habits here and there, the amount that you would end up saving may actually surprise you when you don’t spend it on irrelevant purchases.

Set goals, make a plan and keep checking in based on your income; record what you spend on a daily basis by penning it down on paper or even try an app for that.


Set reminders for all those bills

Bills are a form of debt that we could never run away from. Although it’s easily for them go unnoticed and piled up, it’s extremely easy to avoid forgetting about them.

Paying off bills before their due date is a great way to stay out of debt; banks have made the process so seamless that it’s almost a no brainer to skip payments now, consider using e-banking alternatives to get your payments done and also to save time on your end.

Otherwise, you could even utilize the technology at hand to set reminders for yourself in your smartphone.


Side gigs

There’s not really a thing as “too much money”. Other than being a good habit, it’s one that you mother consistently reminded you to practice and you don’t need to wait until you’re in debt to start the habit of earning more.

If you’ve already taken a huge cut in expenses but still find yourself unable to pay off debt, you can start one or even a few side gigs that would boost your income that much more. Whether it’s freelancing your skills, babysitting or selling used items online and offline, these are the things that could earn you some extra dough for what you owe.

Understand that you’re in it for the long haul and a good tip is to do what you’re passionate about while keeping your day job, whatever it may be. Be sure about what you’re freelancing off and identify it with your area of skills and time.


If you’re already in debt? Consider refinancing

Typically used by homeowners to refinance and pay off debt such as credit card balances, they use cash-out refinance to get a mortgage for more than they owe on the home. This allows them to take the difference in cash and pay off high-interest debt with it.

Consolidating credit card debt using a cash-out refinance allows you to make fixed payments over a set period, rather than paying a revolving balance every month. As a bonus, mortgage rates are usually lower than credit card interest rates.

Before going into refinancing, it’s vital to have a plan to make sure you stay out of debt. It is usually a good idea to look at all the refinancing options you have before deciding on one that fits your needs and goals.


And to top it all off…

There are many ways to make sure that you don’t go into debt, stop swiping credit cards, budgeting up, setting reminders for bills, having side gigs, and refinancing area just a few that will help take you there.

Debt isn’t always a bad thing, it’s how you manage them that’s the problem for many. The reason to why many people get dried up on funds, this eventually takes a toll on ur life and mental health. Other than that, debt will also wreck personal and family relationships if not well taken care of in the first place.

Your spending habits and saving habits are essentially what decides the outcome for you, but a financial advisor could help get the most out of your situation and land yourself in a better debt situation.

As ironic as a better “debt situation” sounds, the key is to plan, and what better way to plan than to have an expert to help you with that?





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