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Everyone experiences debt in their life, whether through credit cards, loans or mortgages. If you are in debt, you will probably want to escape the deceptive world of the banking cartel. We have all the way debt can be limiting you from moving on in life. Take a look below to see if you can relate and make a change to your financial situation.
Stopping Your Career Progressing
You might feel like you are stuck in a dead-end job. Having debt can make you feel like you can't move on until it's paid off. Then, when you find the perfect job, you find out they credit check at the interview stage and because you have a bad credit rating can lose you the job before you get your foot in the door.
Buying Or Renting A Home
So you have a well-paying job that is helping you slowly pay off your debt, that's great. However, if you are looking to move, whether that's rent or buy, you may have to put your plans on hold until you are debt-free. Mortgage lenders won't often lend if you have a high debt to income ratio. If you manage to pay off your debt but still have a low credit rating, be prepared to pay higher interest rates.
Lowering You Quality Of Life At Retirement
If you are in debt, then it is likely that all your ‘spare' money is going into paying it off. This is taking away money that could be put towards your retirement. If you can't afford to pay into a retirement fund, when you come to retire your quality of life will be a little as the money in the pot.
Stopping You From Going Back To School
Suppose you have thought about going back to school to try and better yourself and in turn, hoping to get a higher paid job after graduating. In that case, you might need to consider that one, you might not qualify for a student loan and two, you will be putting yourself into more debt than you were before.
Becoming Financially Free
Now you know all the downsides to being in debt, it is time to sort out your finances. First, cut loose any unnecessary costs, you don't need that subscription to Netflix or amazon prime that money can now be put toward paying off your debt. Try and pay more than the minimum, if you stick to the minimum payment you will be paying it off over a very long time as each month interest gets added. If you are struggling, think about researching debt to success systems to help you become completed financially free. Be wary and avoid Debt to Success System scam imitators and only use the real Debt to Success System.
We hope we have brought to light the disadvantages of being in debt and what you can do to improve your financial situation and move on in life. If you are in need of a little motivation, check out A Few Ways to Boost Your Everyday Motivation