Debts are debts, and if, in all you must pay an amount of money that sometimes exceeds little or much, the amount that you initially requested. Of those, there are two types: debts that do and debts that do not suit you. The second is what we will discuss here.
All debt, as we said before is a payment commitment that you have with some person or financial institution that, in the long run you will have to cover. But, within these we can distinguish two types :
- Debts that do suit you, also known as investment debts
- Debts that do not suit you
Debts you should not have
Among the debts that it is not convenient to keep because the plan will not suit you are:
Acquisition of new debt to cover old debt (Where the financing plan is not better in the second than in the first)
It is no use acquiring a new debt if it does not help lower the interests of your first debt
Credit Card Overdraft
Why buy more than you can afford? Exceeding your credit for purchases, non-payment or just giving the minimum payment , in addition to increasing your interest, you could get to pay commissions for it or even severely damage your credit history
Unplanned Personal credit
In general, all personal loans that are not planned, that is, have no purpose, are usually wasted. And the problem here is that yes, they have not invested in something useful, you can consider money that has gone to waste. Why?
Simple! Because they tend to spend on vain things or that you do not need, in the end becoming bad debts that make you enjoy little what you get but prolong the suffering when paying
Payroll credits by cashier
These usually arrive unexpectedly. You go to the cashier with no desire to request anything, and BANG! the offer is released on the screen Accept or not accept? We recommend you not to do it, in addition to the amount, commissions and interest are immovable and non-negotiable are usually credits of very long terms where, already in the middle of the payments you may not even remember the way you spent it.
Now that you know what are the debts that do not suit you, avoid them! Not by asking not to ask for a credit the world is going to fall. Perhaps you can expect to get something better, even save, acquire habits that make saving and investment imperceptible.