We have been enjoying record-low interest rates for years. And we are getting a little spoiled. And a whole lot complacent. It is inevitable that interest rates will rise. Everything is cyclical – it...
If there is one thing that is certain in life, it is that things always change. The most dangerous place you can be financially is complacency – getting too comfortable with the way things...
Listen to money-themed songs and get free financial advice!
With mortgage rates still hovering at historic lows, chances are you’ve considered breaking your current mortgage and renewing now before rates begin to rise.
Perhaps you want to free up cash for such things as renovations, travel or putting towards your children’s education? Or maybe you want to pay down debt or pay your mortgage off faster? In some cases, the penalty can be quite substantial if you aren’t very far into your mortgage term, but we can determine if breaking your mortgage now will benefit you long term.
I had an interesting conversation with a representative from a Debt Consolidation Company. Perhaps my insight can save a financially struggling consumer a few hard-earned bucks.
If you step back and look at your finances, you will find that you are in one of three stages of financial being – The first stage is “survival mode”. The next stage is the “breathing room” stage. The third stage, which is where we all strive to be, is the “comfort zone”.
It’s been six long months and my hands are cleaner than ever. Who would have thought I would make it this far? I am referring to life without a dishwasher. Around mid-December, ours broke. My first reaction was sheer terror. I’m pretty sure I almost lost consciousness. Like many families struggling to make ends meet, I didn’t have any savings to buy another. The word credit kept flashing in my mind, but we were just managing what we had. I took a deep breath, pulled up my rubber gloves, and started washing.
{“You have got to feel good about money to attract more to you. Understandably, when people do not have enough money they do not feel good about money, because they don’t have enough. But those negative feelings about money are stopping more money coming to you! You have to stop the cycle, and you stop it by starting to feel good about money, and being grateful for what you have. Start to say and feel, “I have more than enough.” “There is an abundance of money and it’s on it’s way to me.” “I am a money magnet.” “I love money and money loves me.” “I am receiving more money every day.” “Thank you. Thank you. Thank you.”}
Isn’t it wonderful? There is absolutely no reason to wait for something you can’t afford now. And the deal is much better than buying it on regular credit that has to be paid starting next month. Ah! what a wonderful consumer-driven world we live in.
It’s also dangerous. In fact, it’s a trap – a credit trap. The objective is to have you commit future income towards the purchase of something you just can’t (don’t want to) wait for. We are such an impatient society aren’t we? Wait! It gets better – you are further tempted (expected) to spend more than you normally would on the item(s) AND the gamble is that you won’t pay it off completely by the time it comes due.
Wonderful, accessible, way-too-easy-to-get, way-too-had-to-pay-off, credit.
It makes the world go around and sometimes makes our head spin. It can be our best friend or our worst enemy. Using it gives you a temporary high. Owing it gives you a log-lasting headache.
Where am I going with this you ask? I shall tell you.
More
