Having a healthy personal finance is something all of us should aspire towards. In fact, we pay professionals and experts to tell us how we should make that journey. There are many financial advisors out there, but have you tried talking to your payday loans provider about your concerns?
Believe it or not, a moneylender is better suited to offer you advise than say your bank relations officer, who is used to dealing with the financial concerns of tycoons amounting to millions at a time. A lender can offer practical insights about your situation that will see you achieve financial freedom sooner than you thought.
Below are some tips we got from trusted moneylenders on how to avoid pitfalls that would keep you in permanent debt.
Apportioning equal amounts to all your debts
At the end of every month, there are usually a number of creditors crying out for your cash. And while it may seem wise to equally divide your income to pay off all your creditors, this may not work out favorably for you all the time. For instance, credit card companies and some loans providers have a minimum monthly repayment stipulation. So even if you pay lower than the set amount, you may hurt your credit rating regardless if you’re making your payments promptly and regularly.
The SALE bait
Impulse purchasing will be the death of some of us. Now, here you are trolling through the Internet totally not thinking about buying shoes, when you see that Sale sign – a $600 pair of shoes now going for only $280. You jump at it right? Wrong, were you going to buy a pair of shoes? Do you need that pair of shoes? Experts advise waiting 30 days before making any major purchase. If after that time you have the money, the need and the deal is still available, make the purchase then. A lot of money is lost in the cracks of impulse purchasing, money that can be usefully directed elsewhere, like towards lessening your credit burden.
Of all the savings that you can make, insurance is not one of them for certain. Sure, you can skip premiums on those you don’t need, but some are highly important – life insurance, car insurance and of course health insurance – you can’t ever skip those.
Now, we’re not against thrift shops and flea markets in any way it’s okay to buy there, as long as you’re sure you are getting a really good deal. The quality of what you’re buying should surpass its price. If it does not, you may end up having to make the same purchase two months later and the money you spent on the ‘bargain’ is now wasted. This is especially true of machinery, appliances and equipment.