5 Signs Debt Might Be An Issue For You
5 Signs Debt Might Be An Issue For You
When going through the day to day obligations of life, we often times find a way to ignore the obvious. We simply get so caught up in our kids, family or work that we sometimes lose sight other important items that need to be overcome.
When it comes to our finances, this becomes especially true. Either everything is going fine (or at least the perception that it is) and so there is no need to evaluate where things are – or – you are on the opposite end of things, where money is such a scary thing that you avoid it as much as possible.
It is important for us to understand when taking out financial obligations, such as online installment loans, payday loans, and no credit check loans (often the most expensive types) that we evaluate whether or not it is a healthy choice for ourselves. To often we find many people taking out one obligation to cover another one. This is an unwise decision that only provides a temporary relief from your loans and other debts.
Below our some statements, that if apply, my signal that you have an issue with debt. Acknowledging your problem with debt is the first step to fixing it.
1. You avoid opening bills that arrive in the mail.
If your mortgage and other loan bills start to arrive in the mail and you deliberately trash or avoid opening them, there is clearly an issue here. If you don’t open your bills and keep up to date on you loans, you will inherently fall behind. It is also a prime sign that you clearly have a little too much going on when it scares you to open your own mail.
2. You procrastinate balancing your accounts.
In line with the first item, procrastinating when it comes to paying bills or checking on your accounts is an issue. Even if you get into a financial bind and it becomes unpleasant, you have to find a way to work through. Not doing anything isn’t going to help here. While being overloaded with debt creates difficult choices – the worst choice is not making one.
3. Your bills often include late payments.
Not keeping track of your finances and balancing your checkbook is a great way to make it so that what funds you do have goes towards late fees instead of your obligation. Seriously, try to avoid this point. Perhaps try focusing on the bills you know you will end up paying that are necessities like your mortgage and electricity. Ensure those are on time and then work your way down the rest of your list.
4. Next month’s bills arrive before last month’s are paid.
Not checking your mail is a good start for this one. We’ve all had an experience where afterwards we said “time flies”. Chances are if this blog post is particularly relevant to you, that experience has happened when you finally go to check your most recent mail. Suddenly, it seems, you are two months behind now. Keep up to date on your bills even if you can’t pay them right away. At least have a good sense of where you stand.
5. You take out a loan to pay for another loan.
Probably the worst offense on here, as it only perpetuates the cycle even longer. This is also only a temporary fix (unless you are refinancing and/or consolidating your loans). Avoid the ease and convenience of taking out an online installment loan just to make yourself feel temporarily better about things. It will only make it worse later on.
If any one of the items on this apply, you may want to take a step back an evaluate. Not everyone is an expert at managing their finances and it is important to know when you need to ask for help.
It is also important to note, that it isn’t only low income individuals that might fall into this cycle. Plenty of middle and even upper class people can fall into the debt trap. The loans may be different amounts but the concept is the same. I’m sure you have heard of phrases like “keep up with the Jones” .