Argumentative Essay: What's Got Debt?

During the financial crisis of 2008, there was a deflation in home prices and inflation in gas prices. The houses lost 31% of its value while the cost of gas head for $5 a gallon. Driving to work became even more expensive, and stressful, at a time when I was worried about even keeping my job. Inflation was the main reason behind my debt. I relied on my credit cards to purchase items I couldn’t afford at that time. The fact that my income didn’t increase made me fall behind on my credit card payments which led to late fee charges.

* Create a budget- creating a budget will help you not spend more money than you have. Creating a budget will also help you stay out of debt.

Student loan debt can be an overwhelming thing to face when you first graduate from school. You have spent the previous three to seven years or all the more focusing on your future attempts and now wind up toward the finish of your scholarly street with a heap of obligation and searching for a vocation.

“Keep a record of your expenditures. Record and review monthly income and expenses. Determine how to reduce what you spend for nonessentials….discipline yourself to live within your budget plan.”

When individuals are in college, they are often blissfully of just how much student loan debt that they are racking up. When individuals graduate from college, they often have a high degree of sticker shock when they realize just how much student loan debt they have accrued. People are also of the mindset that there is nothing they can do with their student loan debt but pay for it. However, they are plenty of programs that individuals can use to pay off their student loan debt or even have it completely cancelled. The first step is simply to ask. Sometimes even asking the student loan servicer will help individuals to get their student loans debts cancelled or forgiven. Here are tips for working with your student loans:

Invest. While this seems like strange advice, most student loans have relatively low interest rates and the interest is tax deductible. If you are able to invest the money you would pay on student loans at a higher interest rate, then don't pay off your loans faster. Pay the minimum based on your IBR or REPAYE option and invest the rest. Not only will the remainder of your loan be forgiven, but you will have a nice nest egg for

Make daily, weekly and monthly budgets and stick to it faithfully. Your expenses for food,

These days, having debt is all part of being a true American. It’s woven into the very fabric of everything we do. We see something we want, and we want it now, so we charge it. For many it isn’t just wants but needs, student loans or medical bills. Regardless of the type of debt, there are steps you can take to start shrinking that mountain of payments, into an ant hill. Here are ten steps that can help you pay down your debt faster.

In regard to saving money, I have found that one of the simplest deals by taking back control over the credit card companies. Faster than expected, credit card debt accumulates quickly. Each purchase on a credit card is not limited to the price on the sales tag, when the entire purchase price is unpaid on the subsequent bill. Be realistic with your purchases. When living on a cash budget, discuss how much “ money is ‘available’ ” for spending as well as how often that amount is withdrawn (Do You Know Where Your Money Is). Avoid signing up for another credit cards when contemplating how to handle expenses. While it may appear that paying off one credit card with another would make it more manageable, it is only compounding the problem. In order to determine spending allowance to pay off debt, I recommend to construct an excel document of the expenses for each month.

1. Stop overspending. In other words, don't be like our government. If you want to eradicate your debt, you have to stop adding to it. The old adage says, "One step forward, two steps back". In other words, it doesn't matter how many positive gains you make if you keep adding even more liabilities.

You must be one of them and now you are finding it difficult to manage finances and cope with the repayments of plenty of loans. If you have federal student loans in your name, it is better to opt for student loans consolidation gov because you will get the lowest rate of interest here and a number of other benefits as well. The only drawback with this loan consolidation program is that you cannot merge your private student loans with these loans. Research on internet and you will find many private lenders and lending institutes that may offer you consolidation programs to combine federal student loans and private loans together. However, keep in mind that this will confiscate all your federal loan benefits as once the loans will get consolidated, they will be considered as private loans. So, take the decision after measuring all pros and cons and weighing up the advantages and disadvantages as well. There are many benefits of consolidating loans and apparently you will think that you are going to get only advantages by selecting this option. Although student loans consolidation gov is the best option to have your finances managed properly, you should calculate everything so that you are assured that you are going for a beneficial deal in the long run. Always try to keep long term goals and see whether you are going to achieve them or not. If you are selecting the federal student loan consolidation program,

Take an honest look at what you're spending. Do you really need a gourmet coffee every morning? Is cable tv that important when you can easily stream a ton of entertainment choices with your high speed internet? Consider where you can cut back, then do it. Apply every dime that you save to building your emergency savings. Watching the numbers grow is the best motivation to keep going.

Essentially, there are four main programs that can reduce or even cancel out your student loan debt. Depending on your job, you can qualify for Public Service Loan Forgiveness, Teacher Loan Forgiveness, Perkins loan cancellation or income-driven repayment. These programs only pertain to federal loans; however, there is no harm in reaching out to your private loan lender to seek loan reduction based on your personal circumstances. Also, you will not be eligible for these programs if you have gone more than nine months without paying towards your loan.

Financial literacy is essential in living in today’s society, therefore it should be taught at a young age because people have been going bankrupt more than ever before. According to Kelly Walsh, “Students between ages 18-25 have at least one credit card. By the time they graduate half of them have four or more credit cards that have an average balance of $3,000” (Walsh). If students were taught at a younger age how credit cards actually work; they would better understand the consequences of debt. For instance, if students were to research different credit

Do not live a life that you cannot handle, spend within your means. Be honest with yourself, if you can’t afford something, don’t buy it! Affordability is much more than the amount of money in your bank account, it also is how long it will take for the money you spent to be back in your account. Think of your finances as a long term process, not a short term fix. This is also why you should limit your credit card usage. If you rack up your credit card and lose your sole source of income,