“It’s okay to be in debt a little bit, isn’t it?” That’s how it started so that unwitting debt continues to grow and accumulate. A little or a lot, you should avoid debt. Naive? Is there a living person who never owes a debt? The answer may be “barely any.” Some even make it a hobby or, rather, a bad habit. It makes no difference for the rich or the poor; debt is just debt.
Isn’t it okay to owe? It’s not like that either. What can’t be if we owe and don’t want to pay? But, if possible, avoid going into debt if it’s just to fulfill a wasteful lifestyle and not an urgent need or productivity goal. Look at the lifestyle we live today. Is a peg bigger than a pole? If so, be careful because it becomes a gap to get to the doors of debt.
If ordinary people are in personal debt or stuck to moneylenders, it’s a different story for those in the socio-economic circle, which is more fortunate. Instead of getting out of debt bondage, even for some, debt is a way of life. Well, how come? Of course, using more subtle language makes them feel like they’re not in debt. Yes, just a magic card – a credit card, swipe anything you want. They feel proud and sometimes show off the magic card. These credit card users seem to be pampering themselves, but without realizing it, credit cards trap them in a pile of debt that will only swell.
For this reason, it is best to avoid debt as much as possible. Why? Perhaps the following reasons will help us understand it;
Debt Drives Us to Spend More Than We can Afford
Debt, especially using a credit card, will eliminate self-control when we face many items that tempt our eyes and shopping desires. We can go crazy because we can obtain everything at a moment’s notice without simultaneously dealing with the pain of parting with money. But in the end, expenses that will catch up with us in the future may even be until the goods we get with the debt are damaged before the debt is paid off. Painful, for sure.
Debt Requires Money
While debt makes us feel free when swiping a card or signing loan documents, it doesn’t set us free. We generally pay the price for each debt we make plus the interest. The higher the interest rate, the bigger the installments we must pay. And the longer it requires to pay off, the higher our debt burden will be. The only exception is interest-free loans.
High-Interest Debt Causes Us to Pay More Than the Principal
It is even possible that the interest to be paid can be greater than the actual debt if the repayment limit exceeds the stipulated time. This interest is detrimental to us as debtors. Being patient to wait for time by saving until the amount of money is sufficient will help us save expenses.
Debt Borrows Our Future Income
Every time we withdraw a loan or charge something on our credit card, we only borrow money we should use for our future. Think about it! Do we want to spend our money paying for something we spent first and not getting other things we should have deserved later?
Debt Keeps Us from Reaching Our Financial Goals
Monthly debt payments limit the money we have to spend on other things that may be more crucial when needed and reduce our opportunities to have fun with the family. The more debt we have, the more monthly payments and the less we can set aside for other needs.
Debt can Hurt a Marriage
Individuals who are married, of course, have different needs from those who are still single. When we get into debt, we often exercise extra restraint and control in the current cash flow. This restricted budget will give birth to conflict in the household, accusing each other of who caused the debt, who was responsible for the accumulating debt, and other things. This debt, of course, drains household finances.
Well, for that you should think again if you want to borrow. If you need to go into debt, carefully calculate the debt you will take on with your regular income. If we can still enjoy life to the best of our abilities, be grateful, and don’t have to force ourselves to live too much like others. Because happy and sad, rich and poor, how we accept and interpret what we have is a gift from God, not in the quantity of material. The value of one thousand rupiahs can make a person rich if he feels he is rich. On the contrary, the value of one billion can make a person poor if he feels inadequate.
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