(ThyBlackMan.com) The application of the principles of finance to an individual’s monetary decisions is called personal finance. Within personal finance there are many topics, however this article will focus on one specific aspect namely debt management. I will share with you 5 ways to become debt-free forever in Stockton CA so that you can focus on other areas of your life and enhance those.
Credit Cards vs Cash
Credit cards are extremely dangerous to use on a daily basis. They drain your bank account without you noticing it. Paying by credit card at a store makes you feel like not really spending money. More, they come with high interest rates that are unnecessary. What I recommend is leaving your credit cards at home when you go shopping. Start paying by cash everywhere. Take out a certain amount right after receiving your paycheck and that will be your monthly allowance. You will think twice before giving your money out of your hands.
Debt consolidation
Debt consolidation is the second advice I warmly give. If I asked you 
how many loans you currently have, most likely it would come to around 2-4. Instead of paying all these different kinds of loans with separate interest rates, choose a single loan to consolidate all your debt. Conduct a detailed research about loan types before you make your decision. Loans can come in 2 categories: long-term or short-term ones. Long-term loans include bank loans, credit card loans, and student loans. These types of loans can give a bigger amount of money for 5-30 years. They are secured loans with lower interest rates. On the other hand short-term ones like car title loans in Stockton CA, payday loans, pawnbrokers and many others offer small amounts of cash the same day for emergencies. They usually come with higher interest rates and the terms and conditions have to be investigated thoroughly.
Expense tracking
Tracking expenses is the next habit worth taking. There are several apps that can help you carry out this task. Start tracking every penny you spend at least for a month. This way you’ll be able to draw conclusions at the end of the month and see where you might be overspending. In the beginning it might seem like a petty task but trust me at the end you will be able save plenty of money just by being aware of your spending habits.
Shopping
Shopping is one of the most important areas in which to pay attention to spending habits. When we enter a supermarket the first things that pop up in front us are all the items on sale. You might think to yourself what a bargain. Well let me tell you something, it is only a bargain if you actually need and use the product. Most of us tend to fall for the tricks of marketers. Try to stay focused by following a shopping list and sticking to it. Buy nothing else other than what you wrote down cause most likely those are the products you actually need.
Paying yourself first
Paying yourself first. Sounds weird? It actually makes sense if you think about it. You work very hard each month for your money then you start paying everyone else. Start by paying yourself with a direct debit set up to your savings account. It not only makes you get out of debt much faster, but it feels really nice knowing that you got your reward early in the month. Long-term this way of thinking always pays off.
Follow these 5 debt management ideas and say goodbye to your financial troubles forever. These tips have been tested by thousands of people. All you need to do is follow in the footsteps of experts and see your debt reducing month by month.
Staff Writer; Doug Dale