What Debt Promises

What I can promise you debt will bring if you don’t manage debt and let debt manage you!

For so many people in this world, debt can be debilitating. Shopping with friends and you get asked: “would you like to apply for a credit card?” You qualify and here we go.

Most young people are never really taught the importance of good credit and managing money properly.

Debt – noun

something, typically money that is owed or due.

credit card, credit card bill, bankruptcy

Here are the promises debt makes and will keep:

  1. Constant stress over how you will pay your credit cards or other bills at the end of the month.
  2. Family stress. The number one killer of marriages is money. Buy homes we cannot afford, cars, furniture, clothes, on and on. Until the end of the month, and the dining table is covered in bills!
  3. Parents working one or two jobs to make it from one paycheck to the next. Waking up to find children grown and bitter. Why? You were never there! To busy trying to make a living, you forget to have an experience.
  4. The barrage of endless phone calls letting you know the obvious. You’re behind and we need a payment!
  5. Picking which bill gets paid and who does not get any money this month.
  6. Food vs. Credit
  7. Feeling as though one wrong move and financially, you are ruined. Stress beyond limits!
  8. Dark moments, suicidal thoughts all over bills.
  9. Keeping up with the Jones’s only to find ourselves in bankruptcy.
  10. Bad credit and loss of buying power. High rates of interest.

Imagine someone in your family deathly ill and you cannot come up with the money to travel. Another of debt’s promises!

Emotional purchases will sink your financial boat the quickest.

For example:

You go into a car dealership to buy a new car. You have a budget and payment in mind. Shopped online and narrowed down your search. All good stuff.

Upon arrival at the dealership, you begin to browse. “Wow look at this color, look at this car, check out these accessories.” All, of course, are on vehicles outside your budget. The internal battle begins. Metaphorically we’ve taken a raging alcoholic into a bar and said, don’t drink anything I will be back in an hour to pick you up! Only to come back and find your alcoholic passed out drunk.

If you do not control your spending, your debts will overtake your life. Guaranteed! Not too many things in this life come with a guarantee but debt does.

I have worked around consumer credit for thirty years now. Debt has also overtaken my life because I allowed it to get totally out of hand. The ten promises above are indicative of my own life. Poor choices have cost me plenty.

Parents or young people starting out. Educate yourself about credit and debt. Buying that beautiful $300 shirt that will make you look amazing. Won’t look so amazing at the end of the month if the money is not there to pay for it.

Sure, you can make the minimum payment and the $300 shirt becomes a $2000 shirt. Do the math on 26% interest and see what happens to the cost of just one item. Living paycheck-to-paycheck over several years. Chipping away at maxed-out credit cards will overtake your financial life.

Properly managed credit will make sure that your life will be filled with joy. Buying power and forethought to pay will allow you to own homes, cars, beautiful furniture, and other assets. With little to no stress.

TAKE EMOTION OUT OF ANY FINANCIAL EQUATION!

It does not sound fun, but the wake behind poor decisions can last years. Worse still ruin any chance you have of being a homeowner.

Imagine a mortgage broker coming back to you and saying, “unfortunately, YOUR credit will not allow us to give you a loan.” Devastating. Your credit prevents you and your spouse from homeownership. Sounds damned harsh because it is.

What can help:

  • Check out books by great financial folks like Dave Ramsey, Suze Orman, let experts guide you.
  • Check out the credit reporting agencies: Equifax, Trans Union, and Experian. Lots of excellent free resources.

If you have credit issues, you can recover. Start back small and work your way again. There is always hope and with diligence, you will be back on track.

Questions or comments:

Investment in Your Own Success vs. Sacrifice

The buzzwords “what sacrifice are you willing to pay?” Is your life of happiness, joy, abundance really a sacrifice? 

Throw the word sacrifice out the window and replace it with; Investment in my own success!

After thinking about this a lot. What I have come to learn is I am not making any sacrifice in my life. To some degree in my life, I have since you hear over-and-over again. Sacrifice, what you are prepared to do? What I am sure of is I am ready to make an investment in my own success.

joy, happiness, success

Some of you will be saying the sacrifice I have to make is time. I am going to have to work night & day to complete my dreams. Work weekends, never having a life. Horse Manure!

Making an investment in your own success also includes time. For those of you that say I don’t have time, I suppose you don’t understand how to manage time properly. Don’t scream! Here me out.

Activity vs. Productivity
You can be busy as hell all day long. What did you accomplish? Learn to fill your day with productivity. Organize is the key! 

When you can learn the difference between these to words, time will begin to heal itself. Here are some examples that will help you get started:

  1. Plan your day down to the hour. Have set activities from hour-to-hour that net a result. Tasks.
  2. Learn to limit social media to downtimes NOT during activity hours. Seeing what your sister is making her kids for dinner can wait. Social media is the biggest killer of productive time.
  3. During productive hours shut off the world for a bit to focus. Setting boundaries for idle chitchat is okay. Let friends and family know you will be off the air from this time to that. Emergencies are obviously the exception to the rule. “Mom, can I have $20 to go to the mall can wait for an hour.”

Fill your day with productive time, not wasted time. The three items above give you the idea.

If you feel like you have to give up something to be successful, you need to rethink your plan. For many, it’s time with family. Dedicate times for date nights, time with children, school functions, and kids firsts. Organize your time. Calendar in your day!

calendar, organize, details

Typically, when you organize your day. Take out distractions best you can. Finding twenty hours a week in wasted time is an average.

When you work this out, you can have time for family, social, and activities outside your career. Making an investment in your life includes family. Make times to be present for spouse and children.

You will be more productive when you organize your life out to include growth. Which leads me to something many are doing, and I just began.

Begin your day at 4:00 A.M. 

Before you scream, hear me out! 

Most folks get up between 6 am, and 7 am to get ready for work. So let’s assume for a minute you get up and six. You have the same 24 hours that we all get. Break this down:

24 hrs. – 8 hr work day = 16 hr left – 2 hr commute = 14 hr left – 6 hr to sleep = 8 hr. 

You have Eight odd hours to fit in time for family, and investments in your own success. This can fluctuate a bit from day-to-day, but overall, this is how hours in a day can break down.

You cannot become successful without organizing each day. Activity is just that activity which produces nothing typically. Productivity produces purpose and results.

When faced with the dilemma that you’re sacrificing things in life, that’s really no life at all. I am not suggesting that sometime you may have to make a tough choice. What I am saying for sure that that will always be the exception NOT the rule.

Organize down so the contingency has a contingency. Have the discipline to follow your daily tasks to the letter. Try to never leave a task for tomorrow. If you have to make sure to knock it out first thing, before starting your routine when possible.

Change does take time and you will have setbacks. Just keep grinding forward. Even when you see NO way, believe me, a way will be made if you stay in faith.

What investment in your own success will you make today?

Comments or questions: