10 Reasons Why Being in Debt Stinks

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Being in debt … well, it kinda stinks. Actually, it really stinks. Big-time. I’m not talking about a reasonable mortgage debt, or a $200 monthly car payment. I’m talking about high-interest, huge-balance, keeps-you-awake-at-night levels of debt. The scary kind of debt. The kind you should get rid of as quickly as possible.

We often hear tips, tactics or other pieces of advice about how to climb out of debt. But let’s take a step back, for a moment, to discuss why you should want to get rid of your debt in the first place. Here are 10 reasons why being in debt stinks.

#1: You become stuck in jobs you hate. Debt creates this whole new dynamic where you are forced to work at jobs you hate, doing things you don’t want to do. For some, that means being a janitor. For others, that means working in cubicle.

Regardless . . . → Read More: 10 Reasons Why Being in Debt Stinks

Why Car Loans Are Making You Poor

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There are basically three options when it comes to “buying a car”. You could lease it, purchase it with a few thousand down (perhaps by taking out a loan from a place like samedayloans.org.uk) and make payments for a few years, or you could buy the car outright with cash. How do you typically purchase your cars?

Leasing a Car

People that lease a car often think of themselves as sophisticated. Not only is their payment less than those that actually purchased a car (through the bank), but they get to write off more of their payments when tax time rolls around. Here’s the major problem though – after the lease runs out, they have absolutely no property to show for all of those payments.

They probably paid $5,000+ in one year, and have nothing to show for it. Oh, but don’t forget about that $1,000 tax write-off…. Now . . . → Read More: Why Car Loans Are Making You Poor

Get Out of Debt, How To Get Rid of Your Car Loan

There are a lot of people that would love to be debt free in our world today, but rather than visualizing how great it will be once that debt is lifted off their shoulders, they find themselves staring at the bills, unable to see a way out. They don’t know where to take that first step.

Baby Step Out of Debt

You have no savings, no extra cash flow, and there is no sign of a wage increase – you are stuck, and you have no idea how you are going to dig yourself out. I agree that this situation seems hopeless, but you’re going to have to face this situation sooner or later, right? So, let’s face it right now and baby step our way out of debt.

The Major Stumbling Block

Most individuals are willing to have a garage sale in order to get their debt snowball rolling, . . . → Read More: Get Out of Debt, How To Get Rid of Your Car Loan