Credit is a financial instrument of undeniable importance to improve family living conditions, open new opportunities, increase productivity, generate more money, etc. If it is used to improve, without limiting everyday family and business solutions and without compromising wealth, credit is good.
There are debts contracted on wrong business projections or originated in the purchase of unnecessary goods or services, sometimes luxury, whose apparent purpose is to maintain a forced lifestyle. They are debts that can lead to critical economic situations.
Before requesting a loan, it is important to reflect conscientiously on the benefits or losses that a debt can bring and if you are a compulsive buyer, consider the need to overcome certain effective habits by force of will.
If you are going to visit a shopping center, you better leave your credit cards at home; If you are buying something for a large amount of money, give yourself enough time to consider whether the good or service is necessary.
But we understand that, if you are reading this article, it is because you are interested in seeking solutions to debt, in which case we provide you with eight tips to get out of debt:
1. Separate money from paying debts
It must be a balanced percentage, to get out of debt without sacrificing other necessary expenses, such as food, housing payment and the well-being of the family. Of course, comply with the terms of the plan, without succumbing to the first consumer impulse.
2. Prioritize debts
To achieve the purpose, it is necessary to leave the most difficult commitments. Prioritize the debts that have the highest rates, to prevent interest from accumulating.
3. Make payments to the capital
Paying interest is usually a significant burden, but the real cause of a financial hardship is the amount of the debt. Capital payments are those that decrease the amount of the installment and the extinction of the debt.
4. Control the use of cards
Credit cards are an excellent financing tool, to the extent that they are used wisely. It is necessary to be moderate in the purchases and to opt for the cards that have lower interest rates.
5. Pay on time
The delay in paying a fee (regardless of the type of debt) generates a penalty known as the "default interest rate", which consists of an increase in the amount of interest.
6. Refund your debts
There are institutions interested in grouping the debts of a person. The institution buys the portfolio and the client assumes the commitment to pay it, in accordance with the agreed fees and interests. It is more manageable to pay one, on one date, than to pay several on several dates.
7. Automate payment
A simple forgetfulness or some setback to get to the window can cause a delay in the payment of the debt and, with it, generate interest in arrears and even lose points in the qualification as a credit subject. The best way to fully comply with the obligations is by automating the payment.
8. Categorize debts
Debt should be seen as a financial instrument to improve living conditions, and not to generate suffocating economic conditions. There are good debts and there are bad debts. They are good, to the extent that they meet personal and family needs, within the limits that income allows.
En Coopealianza we look after the well-being of our associates. Contact us to advise you and help you that you can improve your economy and enjoy more tranquility.
We offer you credits, with competitive and stable rates, long terms to pay, quick procedures, in order to positively affect the quality of life of our associates, their families and their communities.
Contact Us and we advise 2785-3000.