A lot of us will work all of our lives and won’t even have one credit card, but then again, there will be others out there that will have thousands of credit cards and say that they really can’t live without them. For most of us, that can be difficult living without a credit card at hand, but the truth is that it can be done.
Sometimes not having a credit card is not an option for us, but there are many people out there that can live debt-free without having any loans or credit cards in their back pockets. There is no golden rule about not using a credit card because if you want one, you are more likely to get one. You just have to think about how you can change your attitude to avoid debt. You can learn more in online accounting classes if you would like more tips on starting to live debt-free.
You are going to need a few, though, to start your debt-free life.
- Some paper
- A pencil
- Have some maturity in your head
- A Calculator
- Some patience is vital.
- An impulsive control
- You should have an emergency fund consisting of readily available cash
- a checkbook and debit card
- lack of care as to what your friends/neighbors think of you
Think about what it is going to be like for you and your family if you were to have no debt at all and if you wanted to go and buy things for the home or had to have any improvements done to the home. You have to reflect on what kind of situation you could be in and ask yourself if you can live without a credit card at hand, and if you don’t need a credit card, then why get one? You don’t fix something when it’s broken, so don’t get a credit card when you don’t need one.
It’ll Lead You Into Debt.
Get all of your credit cards together and then snap them in two so that you can never use them again; destroy them, do whatever you like with them but never use them again.
You should think about calculating how much is coming into the home every month, what income is coming in and how you are going to be able to pay back debt and any bills that you have to pay back.
After you know the total amount of money coming into the home, you can acutely stop buying things that you can live without. So going without a new pair of designer shoes for a while might be on the cards or even taking a sandwich to work with you instead of going to the fancy café down the road and spending close to fifty dollars on one meal. Don’t even get yourself into debt over stupid things that you might never use or want again after a week.
Get to know every single debt that you have and figure out which debt should you get rid of first so if that is the highest amount or the lowest one then try working with them first to get rid of the most difficult one and then move onto the next and then the next so that you are using the snowball method of getting out of debt.
This way, you snowball the debt, and they will get smaller and smaller paying off the debts that you want to first and then carry on that trait, putting more money to the debts. If this process is used properly, then that could get rid of the debt within a year or two.
After all of the debt is gone, you will have a lot more money left over, but don’t rush out and buy something that you will never use. Try putting it into a college fund, and savings account or away for a rainy day.
Debt Free Tips & Warnings
- Never take your credit cards with you while shopping, you get too carried away and tempted to use them to buy things you don’t need. Only take some money out with you and try limiting yourself to a budget.
- If you are in a marriage, then remember to have a plan that both of you can work on to get yourself out of debt.
- After the debt is gone, then think about where the money should be spent or saved up.
- Maintain your accounts with Tally Apps such as Tally Dekho – Tally on mobile app, so that you can track your accounts easily on your mobile phones from anywhere anytime.