Dangers Of Debt
7) There are Five Different Kinds of Debt:
1. Credit card debt 2. Consumer debt 3. Mortgage debt 4. Investment debt 5. Business debt The primary economic danger of debt is that compounding work against you rather than for you. Decide not to go into debt and become debt free. Biblical Principles of borrowing is wait on God Timing and not out own.
Dollar spent today take multiple dollar out of the future, but dollar saved puts dollar back into the future.
We need a financial planner to help to make the right …show more content…
Common mistake: Driving to the poor house, buying and selling automobiles.
The Mistake of Debt The common mistakes in financial planning are often, in one way or another, related to debt. Debt and lifestyle go hand in hand in American society. The promotion of credit card use had made debt so easy to obtain and so difficult to resist the temptation.
A Way Out The only absolute way to avoid the use of debt, in the first place is to have a financial plan prepared at the beginning of each year that does not allow for the use of debt. Then stick with that plan through self-disciple. The major problem most people face is how to get out of the debt that they are already in. There are only wo ways to get out of debt after making the decision to avoid the use of debt: Examine the assets you have to see which ones could be said in order to reduce debt; and in the absence of assets to sell to eliminate debt, set up a repayment schedule and strictly adhere to it. To eliminate some of the debt buy selling of some of your assets. Pay something on each debt each month so that the creditor knows you are serious. Pay the smallest ones of first this will help you to eliminating some of your debts. Paying cash for those impulsive purchases at the checkout counier, will help you to eliminate debts one step at a time. By using cash you …show more content…
We did not actually overspend out budge, the allocation simply fell short of our expenditure review again the financial planning to show where you are at the present, both from a net worth standpoint and from a cash-flow standpoint. Summarizes where you would like to go in other words, your future