There is hardly a person who has a good mood every time he has to borrow money. Of course, some euphoria may appear, but most likely not because of the fact of the loan, but because of what this loan can be spent on. However, to feel good and after the purchase you need to know for sure that you will cope with the debt on time and you will not have problems in the future due to this.
Of course, like many other things, you should be able to borrow money. Or rather, be able to give it in time, and using such a service is not too often. To do this, you need to generally understand why money is invented in this world and how to properly dispose of it. But if there is no knowledge, then what to do? Today, in some countries, a compulsory exam for graduation from a school is a financial matter or similar subject. But not every country is practiced, and, perhaps, it was worth it … But even in countries where financial lessons are actively taught in schools and universities, not every graduate has the necessary knowledge about money and their proper circulation. Not to mention the fact that every day the rules in the financial markets, and in simple stores, change
How to borrow money less often?
So, how can you fix the sad situation? Even if they did teach you the basic principles of handling money – at school, in high school or at home. But in the modern world, as a rule, this is not enough. In order to borrow money less often, and generally not to find yourself in difficult financial situations for a long time, you need to change your thinking about money.
How to change the “financial thinking”?
Your monetary thinking is the thoughts and even feelings that are formed about money as a result of what you have ever heard, observed and experienced during your life. For example, take a look at the history of your relationship with money. Everything you did in the past somehow influenced the situation in which you are now.
Pay attention to all your actions in relation to money now and in the past. How do you manage your personal finances? What are you doing to achieve your goals?
What actions to take?
The most suitable example in order to explain what kind of actions are involved are credit card payments and loans that each of us has. The first step in case you have several loans is to determine which loan you need to pay more than others. For example, you personally or in your family have two open credit cards. You need to pay for each, but you have the opportunity to put on one of them an additional amount of money. One total debt is 50,000 rubles at the rate of 16%, and the second one is 20,000, but the rate is 23%. For each card, the calculation of how much is credited to the main debt, and how much interest to pay off will be different. It is necessary to thoroughly examine the monthly statement and determine how much you pay to use the credit on each card. It is possible that you have a lower monthly payment on a card with a debt of 20 thousand rubles, but the amount that goes to the expense of interest is more than on the second card. In this case, it is better to pay off the card with a debt of 20 thousand faster, so as not to overpay every month.
Improve skills to borrow money less often
Financial skills are usually divided into two groups: traditional and non-traditional. As a rule, it is understood that a person with traditional skills must keep a family budget and monitor household money. And an unconventional financial skill is to understand what kind of budgeting intensity you need in the current month or a longer period of time.
In order to borrow money less often, you need to pay attention to all three components: thinking, actions and skills. All of them are interconnected and changing one can change the other. Do not despair if you think that the situation does not change. First of all, you need to understand what situation you are in at the moment, look back in time to imagine how you found yourself in this position, and then plan further actions.
Three actions you can take today
№1: Take time to reflect on 5 money-related memories.
These memories can be bad or good. The point is to be sure to write them down and periodically reflect on them. Taking care of our history can help us avoid repeating the same mistakes. Ask yourself a question for each item: “What impact did this moment have on me? “
№2 get a notepad to discuss money topics with relatives
Write in a notebook several financial topics for conversations that you would be interested to discuss with your spouse, parents, children, or good friends. Maybe you will be pleased to discuss financial victories, both your own and your interlocutor, some lessons from the vulgar or moments that greatly influenced the attitude to money. Such conversations should help you and your loved ones start making money easier.
№3 identify the elements you want to add to your life or improve existing ones
Think about which items in your budget should be reduced or increased. What can be added, maybe write down and plan a dream trip that will be useful for your whole family. Visual recordings of your future is the very first step you need to take to achieve a goal. Think over the moments that are necessary for these dreams to become reality.
Doing these actions on a regular basis can remove the stigma from your finances and give you the opportunity to control your financial life.