Money Moves That Will Land You In Some Serious Debt
It seems as though everyone wants to offer advice on how to get out of debt - but what about if you want to avoid getting into debt in the first place
? After all, most of consumers don't go looking for a mountain of debt; rather, there are specific money moves that they've made that have sent them spiraling into a financial black hole that's difficult to get out of. If you want to make sure that you avoid these money pitfalls, then it's important to know what moves are extremely dangerous for your financial health - and how to avoid making them in the first place.
So get ready for these expert tips and techniques, and say good-bye to the fear of getting into debt!
Not Having An Emergency Fund. We've mentioned this before - when you don't have an emergency cash cushion to keep you afloat during difficult financial times or emergencies, then you'll be forced to live off of your credit cards or through personal loans. This is a recipe for debt disaster, so make sure that you have a safety net for those unforeseeable emergencies like medical bills or unemployment. Many financial experts agree that a savings cushion that's worth three months of your salary is sufficient to see you through most hard times.
Not Keeping A Budget. If you've been managing just fine without keeping a budget, then this bit of advice might surprise you. However, keeping a budget is the best way to keep track of those small expenses that add up to big bills at the end of the month. How many times have you or a friend whipped out a credit card to pay for a few small purchases here and there, only to be hit with a large bill at the end of the month? Keep track of every penny that leaves your bank account; this way, you won't be surprised by any bills that are simply too large to pay.
Not Saving For Retirement. Now that we're in the middle of a serious recession, saving for your retirement might seem a bit selfish - after all, you've got to make sure that your basic needs are met before you can consider your retirement funds, right? Actually, putting your retirement investments on hold for a few years can lead to you missing out on some major money, and might even put your financial future at serious risk down the line. Consider your retirement fund or pension a basic necessity that requires your attention each month - and no matter how tempted you might be to miss a few contributions, avoid this mistake at all costs!
Falling into debt is not often a conscious choice made by a consumer; rather, it comes about thanks to certain money moves - or lack thereof - that only led to financial disaster should an emergency arise. Make sure you don't fall victim to debt by avoiding these easy-to-make money mistakes.
by: Phil Waterton
Consumer Debt Imagine Waking Up Debt Free Why Debt Settlement Is A Bad Option Factoring Companies Factoring Support 2010 Tax Debts Erase Unsecured Debt Fast - Get Rid Of Unsecured Debt and Get Your Life Back Toaster Ovens - Are They A Worthy Purchase? Extenze Review: A Must-Read Prior To Purchase Apple ipad deals: various offers awaiting on purchase of ipads Debt Settlement Lies Debt Settlement - How to Pay Your Debt Back Faster Simply Hair Treatments for Hair Loss and Thinning Hair Anyone Can Purchase For Cheap More Information About Voucher Codes Vouch Your Purchases How to identify a Legitimate Debt Settlement Company