DO YOU HAVE DEBTS? HOW DO WE AVOID OVER-INDEBTEDNESS?

Hello my dear readers of leofínance, this time I want to share with you a topic that focuses on the difference between the debts that we can acquire and manage under supervision and on the other hand are those that we assume without having control and we get over indebted, I will also share with you some strategies that can help us when we face this type of conflicts.

INTRODUCCON

The condition of over indebtedness is when a person has a high level of debts, and that puts at risk their ability to pay their credits. The fact of having debts is not at all bad and much less synonymous of over indebtedness, what is harmful is not having it under control, so it is important to know the differences between these two and how to detect if you are in one or the other situation.

Debts are situations that arise throughout our lives as a set of obligations that are set to acquire goods and that a person has to pay, usually that debt is money and when we go to the extreme of requesting more loans than we can pay, that is precisely when we have excess debt, and when we have fallen into over-indebtedness.

WHAT ARE THE MOST COMMON FAILURES?

But the real problem arises when we spend more than what we are generating in profits and without seeing it coming we are submerging in a labyrinth that in many occasions is almost impossible to get out, when we notice that it is becoming difficult to pay bills or monthly services on time, is where you opt for plan B, which is to pay one debt with another and without realizing it, you are only worsening your own economy.

It is precisely under these circumstances where we think in a desperate way always taking into account the profits without giving importance to the expenses and losses in the case of businesses that are not fully productive.

STRATEGIES

For credit to work it is essential not to over-indebt because this is precisely what could jeopardize our peace of mind, a very clear example is to think that debts such as those we acquire with credit cards are a simple and unimportant game.

When in reality it is simply a loan that sooner or later has to be repaid, to this mistaken idea is added another equally or perhaps worse, which is to pay only the minimum payment of the card and try to leave the total payment for when the situation improves, without taking into account that each step taken will lead to failure due to over-indebtedness.

In such a situation, the most appropriate thing to do is to prepare a detailed budget, where we can visualize both income and expenses and possible setbacks, as this will allow us to prioritize the acquisition of goods and services, and thus be able to exercise an intelligent consumption, avoiding impulse purchases that are usually made mainly during this Christmas season.

TOOLS TO SETTLE RECEIVABLES UP TO DATE

If you're already psyched and you're going to spend a lot of your time thinking about money and how to pay for it, why not do it in a positive way? Planning how to earn money will help you be more creative, while not activating your frustration with debt will only cause you more stress.

In this opportunity we are going to discuss a series of tools that are of vital importance when deciding to pay off all your debts:

Always think positive and in wealth, not in debt.

The way in which we sometimes try to cope with debt is not the most appropriate, we focus on thinking all day in the amount of debts we have accumulated, allowing a blockage in our brain that allows us to think objectively in an effective solution.

Stay away from "morally bankrupt" people.

Always in our lives we are surrounded by people who invite us to over-indebt ourselves to get out of the momentary pressure of debt, without realizing that this turns out to be a path of short-lived happiness that will later worsen your economic state.

Stop sharing debts with those you don't owe.

Undoubtedly we can be very lucky to have good friends who always have a positive mentality to try to help us, however we can also fall into the clutches of those we should not, which is why in a very personal way I suggest that you keep your financial commitments and share them only with those who are really willing to collaborate.

Pay your debts with desire and love.

They say that receiving is good, of that I have no doubt, but I think that giving things with love and more when you return a help you have been given, you must do it with excellence, because whoever closes one door, ten more will open at his disposal.

Bless all that you have even if it is little.

Giving thanks is the best thing that any person can do, blessing and thanking is the fundamental piece that engages the whole system, even if it is little thanks, that the most important macro companies around the world started with very little but with constancy.

Be inspired by the good things that help you do well.

Always think about what makes you happy, who accompanies you in good and bad times, plan the vacation of your dreams, and always think big, this will be your greatest inspiration so that nothing will stop you from working hard to achieve your goals.

Treat yourself once in a while, life is only one.

Do not live tied to your debts, prioritize the essentials, manage yourself intelligently, do not spend on the unnecessary but do not let it rob you of the peace to buy something you want, as this will allow you to feel good about yourself and satisfied with your efforts.

FINAL CONTRIBUTION

Financial stability is something that is truly priceless and is a dream of many people, whether they are entrepreneurs or not. But with such an unstable economy, it is becoming increasingly difficult to plan expenses and above all to save enough to be able to build a solid patrimony, especially for those who intend to start their own business is more complicated.

But nothing is impossible, we just do not achieve what we do not even try and making the most of the tools we have just shared, with discipline, perseverance and perseverance everything is possible and we can achieve it.

Madrid. (2019). The five questions to find out if you are over-indebted Fuente: