How to Terminate Your Debt From Credit Cards
Are you one of the 77 million baby boomers planning to retire in the next dozen years or so? Then you need to be thinking about how you are going to survive financially.
You probably realize that we cannot count on social security. The first baby boomers have already started collecting their social security checks, and with the current system there is no way our country can pay 77 million of us the social security benefits we are expecting (or hoping for).
That’s why it is so important that we prepare ahead of time by setting aside a good amount of money that will give us a monthly allowance to pay our living expenses. It is also why we need to get out of debt as soon as possible so we do not have that added expense when we retire.
If you have any credit card debt get that paid off as soon as possible. Credit card interest rates will eat up large chunks of your income, which is money that you could be putting into savings.
The first step towards credit card debt reduction is to set up a budget that will allow you to pay all your bills and put money into a savings account.
The second step is to follow that budget so you do not add to your credit card debt. The problem is we have gotten used to spending money on things that we don’t need with money we don’t have. It’s so easy to use our credit cards that we don’t think twice about buying something on the spur of the moment.
That is, frankly, foolish. We need to learn to put off unnecessary spending unless we have the cash to pay for it.
One good tip I heard recently is to keep your credit cards at home when you go shopping. Just take some cash. If you see something that you really want but don’t have the cash for, then go home and get your credit card.
During the time that you are heading home you will have time to think twice about buying that item. You might decide that you don’t really need it. You have just saved yourself from going further into debt.
