Everyone does not want to be burdened with debt, but sometimes circumstances may force us to buy something in installments or borrow money from financial institutions or third parties. But when debt starts to accumulate, we will definitely feel lost about how to pay it off and worse if something happens we are like being thrown out of work. Money is very important in meeting the needs to survive. Insufficient income due to having to bear liabilities and debts affects the spending trend of young people.
Talking about debt, it’s really scary to do it. However, there are still many people who take this matter for granted. If you can’t afford it, try paying little by little. In order to meet the luxury lifestyle and current trends, some are willing to spend beyond their means, for example prioritizing wants over needs. For those of you who may have been burdened with debt, you will always find a way out to deal with this debt problem. Whatever method you use to pay off debt, make sure you choose the best way to avoid being burdened with debt problems.
Young people are easy to follow and often compare their lives with others, which in turn encourages them to spend more than their income. More worryingly, the Malaysian Statistics Department’s report for 2020 revealed that 63 percent of Malaysians have been working for between one and three years will run out of savings in less than a month.
Here are tips to avoid becoming a debt slave forever:
- Review lifestyle
- Living below means
- Avoid making purchases on credit
- Saving up
- Add side income
Undoubtedly, in daily life, one cannot escape from debt whether it is for home financing, car, credit card, personal loan, education and so on. Financial planning requires patience, effort and constant discipline. However, it is faster to solve debt and stabilize your financial situation.