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All About 'Debt'
We can splash
out on what we want, when we want it nowadays. The downside is the
fact that we always want it now don't we? We can never wait. Which
is when the borrowing begins!
Our worst thought is that we have to wait until next months pay
packet comes in before we can splash out. Or it could be worse;
we could actually have to save up for what we want! But that takes
time. We're to modern for that. We don't' have to save our money
when we can buy it now and just pay later? Besides, why should we
do it the hard way, when we can simply pop to our nearest Tesco,
take a loan out, or even easier - just stick it on our plastic?
Whether it's a new car, a holiday, or even a pair of shoes that
you're after, it makes no difference; in todays world we can have
them. Banks don't care what it is we are buying. They just care
about the interest amount to which we are paying back to them. Think
of all the times you've visited your bank and seen the posters screaming
at you to take out a loan, a credit card, an overdraft? You can't
possibly miss
them either when they're draped all the way from the ceiling to
the floor.
That same temptation continues even when you get home. You turn
on your T.V and are faced with more advertisements offering deals.
And with all this interest free credit floating casually about,
why shouldn't we take advantage? How can we resist such great opportunities
to get some 'free cash' into our pockets?
Just to put the concept of debt into perspective; even big countries,
wealthy governments and major politicians borrow money from others.
Huge, whole countries are spending past their means too! If the
likes of them can do it, then why can't we?
Of course I'm being satirical. That's exactly my point. These
countries, as well as the big companies are bound to make getting
into debt easy for the likes of their inferiors. They're not stupid.
No one is going to do millions of people a favour for free! You
must see sense in that? Therefore, it's always going be to their
advantage – even if they make it seems like it's to yours.
Yes it would be nice to just be given some money. But you can see
how stupid that sounds? I'm not trying to patronize anyone by implying
that you don't already know this. It's just that we, as consumers
(and boy, have we done a lot of consuming), focus extremely lightly
upon the real facts of this serious matter, and too heavily upon
the short terms benefits in which big companies offer.
We're all well aware of the term 'profit', and what it means. Which
is why borrowing money from a company is not as simple as borrowing
it from a friend. You wouldn't expect something for nothing from
a complete stranger, then again it's not every day that a friend
has twenty grand sitting in the bank ready for you to borrow either.
It's not algebra, it's merely common sense; Companies having the
ability to lend you twenty grand therefore, is to their advantage.
It seems that we become greedy when things are handed to us too
readily; we like to take advantage of a good thing, and start expecting
it more often? If anyone offered anything free – even a tea
towel for example – we would almost definitely snatch it up
wouldn't we? However, we have to pay up for everything that we borrow
eventually.
When money is that readily available, we stop appreciating the fact
that we must live to our means. Many people, due to their borrowing,
have forgotten what their financial means actually are. It's a fact
that desire takes over our conscience when we're out and see something
that we want (notice the word 'want', and not the word 'need').
However, at the time we do feel as though we need it. Our instinct
to buy it then seems rational. In these situations, you should always
ask; Do you need it? And if you do, can you afford it?
Don't think for one second I'm blaming you for being dragged
into these ploys. It is estimated that the total consumer credit
lending in October 2004 was £181.6 billion (compare that to
the fact that it was only £103 billion in February 1999).
So you are by no means alone. But that is not an excuse to continue.
The nation, as a whole, needs to be re – educated on the severity
of this situation.
Of course getting into debt, is sometimes an essential thing we
just have to do. Buying a house for example, is an essential, and
is something that the majority of us cannot afford to pay for out
right. We'll never be in a position where we never have to borrow
again, but we can do as much we can to minimize the amount we actually
NEED to lend and spend. We all worry about when the next bill is
in, and how
we're even going to afford the basic necessities don't we?
Statistics show that many people feel their money borrowing is far
beyond repair. However, debt is beatable!
Not only can we assist you out of debt in the best method possible
to suit you, but we council, educate and show you ways of staying
free from it.
We won't promise you a quick solution. When facing debt, quick solutions
never work. It's the process of learning that we provide predominantly.
If any of the situations I have written about apply to your current
circumstances, then you are facing debt problems and could benefit
from seeking our professional advice.
If you are struggling with debt then please visit our home
page
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