^^^ Choosing the hard and unpopular way. ^^^
Marriage
Special Needs
Parental Care
Adoption
Work at Home
Stay at Home Mom
Carry to Term
Commitment
Service
Self-Care
Debt Free
Chastity
Employment
Homeschool
Integrity
Patriotism
Forgiveness
Accountability
|
Becoming
or Living Debt-Free |
We need to define what it means to be "debt-free". Almost no one is really, because we have to pay for utilities and other services that keep the bills coming in. But, we can be free of unnecessary debt. Types of debt you CAN eliminate are:
1. Credit card debt. It is getting harder to use checks or cash either one, and having either a credit card or a debit card is becoming more necessary. Debit cards have limits to them that can mean you can get stuck unable to pay for things which you in fact have the money for. So eliminating credit card debt does not necessarily mean that you have no credit card. It just means you pay off the balance each month, and do not spend what you cannot afford.
2. Car loans. This is very hard because in some places (like Wyoming), it is necessary to replace a car every few years. It is possible though, through frugality and wise management, to purchase affordable vehicles, and if you must carry a loan, to carry the smallest one you can to get the vehicle you genuinely need.
3. Home loans. Some people do actually pay off their home before they die. Most do not. So while you won't really be debt free if you have a home loan, it is still an admirable goal to strive to keep the payment and overall debt as low as you can. Don't buy more home than you need, and don't buy a new home and increase your debt just because your income went up.
4. Education Loans. If you cannot do without them, then keep them small and get them paid off as soon as possible.
5. Signature loans for other items. It is easy to borrow for just about anything. It is harder to resist that temptation, and just do without, or save up to pay cash.
6. Business loans. You know, it feels so much easier to start a business with some capital even if you borrow it. But in fact, it isn't. You may spend 5-10 years paying off what it took to get started. If that is the only way you can get going, then keep it as low as you realistically need, and then dedicate yourself to succeeding so that you don't lose it all. If your business carries any debt such as loans through financial services for equipment, then keep them low, and pay off more than the minimum payment whenever possible, because some revolving business credit payments barely meet the interest and never reduce the principle.
Whether your goal is to totally eliminate the debt types listed, or whether your goal is to keep them as low as realistically possible for your situation, you may find opposition in the strangest places. There is no need to keep up with anybody though, and a secure financial base can bring peace of mind when the storms of life start battering at you.
In spite of the "buy now pay later" mentality so prevalent in our society, elimination and reduction of debt IS in fact an honorable pursuit. Stick to it and don't let them call you cheap!
Other Sites of Interest
Natural Diabetes Control - Lots of strategies
Reluctant Redneck - City kid moves west.
MegaFamilies - Large family support site.
Leah After Judah - Secondary Infertility
LoveIs Archive - Celebrating Simple and Extraordinary Acts of Kindness.
Carry to Term with a Negative Prenatal Diagnosis
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