Financial thinking cap kicks in
Learning about payday loans online seems to have caused my mind to jump into financial planning mode. I have never been good with money, and I have wasted a lot of it over the years. For a long time my way of handling my debt and budget was to ignore them. But finally, after about a decade of being on my own, managing my own money and accruing a ton of debt, I have finally gone into problem-solving mode when it comes my personal finances.
Payday loan education kickstarts responsibility
It all started when I began reading about payday loans online. See, I am a news junkie and I kept seeing all of these stories about payday loan legislation and politicians talking about “predatory lending.” I was curious about all this, so I checked into it myself. I found out that the key to using payday loans successfully is personal responsibility. I also started seeing ways that payday loans could be very beneficial if you planned carefully and did some simple math beforehand. I figured if I could make sense of payday loans I could certainly apply the same sort of common sense to my own finances.
Need versus nonessentials
One thing about payday loans is that you should only use them for things you really need or when it will actually end up saving money. That got me thinking about what necessities really are. You see, for a long time I felt like I needed to go out to dinner with my friends and participate in every social event I could. But now I see things differently. I don’t know if it’s because I recently had a birthday or what, but now I am thinking more realistically and logically about necessities. All of a sudden getting all of my bills paid off and getting out of debt are on my list of financial priorities right after food and shelter.
Where the bills came from
Because of my habit of ignoring my finances, I have quite a few “loose ends.” Medical bills that are more than a year old, overdue charges at a gym I don’t have a membership to anymore, the bulk of an electric bill from when we left the heat on for the entire month of December … you get the idea. So why am I telling you all this? Well, if this sounds at all like you, you might have gone through some of the same feelings I have had: It’s hopeless; it’s overwhelming; there’s no way out. But I am here to tell you that with the right plan and determination, it’s not as hard as it seems.
My most important expense
The most important first step for me was to make getting out of debt my number one priority. That means no more buying things that I don’t need. That also means being smart about buying the things I do need. I have read countless articles and gotten heaps of advice on how to save money. Any money that I save on groceries, for instance, can go toward paying off bills, and I always keep that in mind. This helps when I feel the need to make those impulse buys or feel tempted to say yes when I’m invited to dinner.
Keeping things separate
There are also lots of tips out there on how to pull in a little bit of extra money, and many of those ways can be accomplished online. I actively sought out a way to supplement my income so that I’d have funds that were dedicated solely to paying off my debt.
Another important key for me is that I have a separate account where I store my “extra money” and any money that I manage to save. I never touch the account until it’s big enough to pay off one of my bills. I gathered all of my bills, lined them up in the most logical order to pay them off, and whenever I have enough money to pay one off I cash out that account and then have one less bill to worry about.
The light at the end
I still have a long way to go, but I am glad that I have plan. I feel relieved and empowered to have taken control of my finances instead of just waiting for my money problems to go away. Like any bad habit, everyone has their own event that triggers a change in their behavior. For me it was researching payday loans online, and for you it may be something else, but the important thing to remember is that the sooner you start paying off your debt, the sooner it will be a thing of the past.
Getting out of debt is a big priority for a lot of people, and the way of life in the world these days involves a lot of debt for things that aren’t really a necessity. Getting yourself on the road to being debt free – a good thing.
This is clearly common sense and it makes sense. I started keeping track of everything I spend on a daily basis. Like a diet diary, for example. It really keeps my spending in line. I have cut out non necessities, like going out for lunch everyday. That has helped big time. I wait for sales for clothing. Budget for extra’s like gifts. I’m looking at needs rather than wants at this time. Thanks for a great article.