11 bad habits that prevent you from getting out of debt

1. 14 important steps to help you quickly get out of debt
2. 10 ways to save money so you don't have to cut down on your friends

According to the Federal Reserve , 43% of Americans spend more than their monthly income. This means they are getting deeper into debt and accumulating interest at an alarming rate. Maybe they will ' burn ' all their earnings quickly.

Even many of them never thought about planning to pay off those debts and see bankruptcy as the only way out.

Let us take a look at 11 bad habits that prevent you from getting out of debt and how to get through it below!

1. Spending too much

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This is obviously obvious. If you push yourself into a difficult situation with a huge cost of rent, car money, premium insurance packages and other fixed expenses, you will never have money to pay back the debt.

If you want to repay your debts, you must tighten your spending . Buy an old car. Rent a smaller house. Refer to the price before buying insurance. Cancel prepaid service packages periodically. Always ask questions. Do everything you can to reduce your expenses , so you can save money to pay your debts.

See also: 7 signs that you still haven't earned enough money to spend

2. There are no surcharges

If you have only one source of income, monthly expenses will depend entirely on it.

In order to save money and pay down your debt, do more things you like to earn extra income. Start working on a freelance job and bring in a huge amount of money every month. Refer to the article: 19 passive ways to make money even when sleeping

After that, you can use this money to open a business, which is probably the most interesting way to increase your income and start paying off your debt.

3. Uncontrollable money

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Do you know where your money is spent every month? If you just sit looking at your bank account and think: ' I wonder where I spent all that money? 'that means you are having problems.

Sign up for an automated financial tracking service , like Mint.com, to get a better idea of ​​your spending without having to calculate it yourself. Services like this will help you analyze more details about the direction of the cash flow to make changes easily.

See also: 7 financial mistakes most people often get

4. Do not take advantage of the technology

In today's modern life, technology has an incredible power. You may actually have to pay back your debt automatically in just a few minutes to set up automatic transactions to your creditors every month. After that, you can also edit accordingly.

Combining this with a monthly repayment surcharge, you can trade more quickly.

5. Use time badly

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How many hours a week do you usually work? 40 hours? Do you accept to do everything to get a surcharge? Do you invest in education to increase your self-worth? Or is it positive to build relationships to increase influence?

The costs if left alone will almost always increase over time . Therefore, if you don't use your time wisely, you will never increase your income to keep up with the rate of increase in costs. Therefore, keeping your income level will keep you in debt because your spending will increase over time.

Always cultivate your knowledge, improve your ability to make more money.

6. Open more credit card accounts

Credit card debt is definitely the worst debt you can have, because its monthly interest rate is very high. In fact, you could be accruing up to a few tens of thousands of dollars in just a few years. Yet many people only see it as a way to pay for shopping without actually paying in cash.

However, in fact, the small amount of payments will grow over time and eventually, you cannot debit any more. At that time, you will have to pay off the debt before you can buy anything else. So how can you live in that situation?

Use credit cards smartly . Use only the limit you can pay each month. Opening an additional credit card account is the day you start accumulating hundreds of dollars in interest and it's hard to get rid of the high credit card interest rates.

See also: 10 extremely useful money-saving tips that many people often overlook

7. Think about others

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The fastest way to get into debt is to start worrying about what others think of you . The truth is that not everyone makes the same amount of money, but people like to try to show it.

Don't worry too much about cars, houses or clothing on you, and all the other people say about you to live with the level of living in your capacity; not in debt. After all, those things are just debts in the account, nothing more.

8. Spending no plan

Money is created to spend, but if you spend it without a plan , you will definitely waste. Sit down and think about what will bring you joy and allow yourself to have enough money every month so you don't feel regret using it. Only use this money for one or two things to bring you joy and stop right there.

See also: Applying 10 things, the goal of financial autonomy at age 30 will come to you

9. Buy too many expensive things

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Buying expensive things is a short way to debt . Because when you want to buy them, you only think about how to collect all the money you have to buy. Unless you want to buy a house, other things you should buy only when you are able to pay off it in less than 2 years.

Otherwise you will have to pay monthly payments throughout your life for things that may be worth much less than you pay.

10. Buy too many miscellaneous things

$ 10 to buy this; $ 20 to buy something else; 8.5 dollars to buy something; all are added up. It's easy to tell yourself ' It's cheap. Buy it . ' But the problem is that if you keep saying that from day to day, you'll end up spending $ 300 with nothing but rings, snacks, junk and things you really don't need. and finally can only sell crushed.

Control yourself before the urge to buy small items . You will feel much happier with an expensive but high quality item.

11. Money does not create money

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With some big debts, you will never be able to invest in anything. At some point in your life, your money has to make money. Instead of spending all the money you have, save some to invest to make money over time .

Take the time to find out about high interest accounts, stocks, and real estate ( something you can earn quickly ), business and all other forms of enrichment. After all, you will reach the milestone when all you have to do is count the money and sit still looking at the money flowing into your pocket.

See also: Challenging SAVE MONEY in 52 weeks, anyone can do it!

Having fun!