Debt Elimination

 

 

Paying off debt early can reduce total interest paid. Also, paying off the debts with the highest interest rates first may reduce total interest paid.

 

Debt allows you to make purchases which you cannot afford. In other words, it allows you to live beyond your means or to spend more than you earn.

 

 

On the surface, this may appear to be a good thing, but there are some serious side effects. These side effects include: 

  1. Paying more for an item than what it's worth in the form of interest,
  2. Your possible inability to pay off the debt,
  3. Added pressure and stress which could lead to medical and relationship problems, 
  4. Becoming a “slave” to the lender. While some debt may be a necessity in today’s world, it should be used sparingly, possibly only for a modest home, an education, or a dire emergency
Print Print | Sitemap
© Erica Hall