Reasons To Avoid Debt And Stay Liquid

By Connor Sullivan

In these troubled times, many people are facing the ugly thought of bankruptcy and it does not look as if it is getting any better. In Florida, Tampa debt relief is a way out for some who find themselves unable to cope with the ever increasing burden that never lightens up. Tampa foreclosure defense issues include filing for Chapter 7 or Chapter- which sometimes helps but not always.

But this coming November, the means tests related to these filings are changing to some degree. It is probably because of the downturn in the economy that many more people are searching for ways to rid themselves of very worrying circumstances. But some do not want to tighten that ubiquitous belt and start to deal with the problems at hand. They want the cars, the holidays and everything else that goes with a high lifestyle, but they have no funds to service this kind of lifestyle anymore.

Filing for these chapters was a way of getting rid of outstanding monies leading to the burden being wiped out. This is fine for the consumer, but what about the poor creditor who had no idea that this was going to happen? They get left holding the baby, so to speak, with no idea of what to do next.

Most credit card companies will have some leeway built into their interest rates. This is why they are so high to begin with, but with the ever increasing specter of bad risks, it just keeps getting worse and worse. This is probably why the country has so many problems with finances up to today. So just how does anyone get out of this?

The first and obvious answer is to stop spending on non essential items that occur on a daily basis. Those visits to the coffee shop on the way to work; the pedicures and manicures that can be done at home; new clothes that are just not needed and even those after school activities that seem to consume wage packets. All have to be reigned in if the householder can ever hope to save having to lose the thing that they possibly value above all else, the family home.

Although it was thought that the country consisted of people who liked to save money, these days it has become a nation of spenders. But spenders with very many credit cards. No one wants to carry cash, understandably, but there is no need to run up credit cards to the limit at every opportunity without thinking of the consequences. If people only looked at their credit card bills properly, they would realize that the interest rate is astronomical and it would be easier to save for the items and pay cash in the first place.

By ignoring the card bills every month, the consumer will be totally unprepared when the balance creeps every upwards to the point that it is several times the original sum borrowed. There is a way to stop this happening. Pay more than minimum amounts each month, refuse to take any cards out to do the shopping, plus live within the means of the family income.

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