If you earn income, you might be managing the household apart from paying bills, etc. A little carelessness in money matters can result in landing you in debt which takes years to come out of. Taking proper money decisions will ensure financial success. There are certain behaviours that you should avoid otherwise you can go bankrupt soon. India’s First Free Online Financial Advisory Moneymindz
1. Not tracking your money
You don’t want to put in the efforts to track your income, expenses, savings, investments, financial goals and prepare a budget. Either you are too busy or are just lazy. Essentially you are procrastinating. Since you never bother, you never know how much you spend and how much you save.
2. Heavy usage of a credit card for purchases but irregular in payments
So you spend using your credit card always. Up to your credit limit, there is no stopping you. On top of that, you never pay the credit bills or make delayed payments. This results in more credit debt and your credit score is the lowest ever. But that doesn’t bother you anyways. India’s First Free On call Financial Advisory Moneymindz
3. Not saving and investing
You aren’t worried about inflation so you won’t bother saving and investing. You assume you will always be young and healthy enough to work even after the age of retirement. Hence you won’t keep an Emergency Fund, Retirement Fund, etc. When your bubble breaks, it will be too late as you would be in an emergency or would be left without a job. Avoid this scenario and invest wisely for the future.
4. Not buying Insurance adequately
Term Insurance, Health Insurance, Travel Insurance, Home Insurance etc won’t even be considered by you. You will be content until your bubble breaks and you and your family are left broke. When you pay from your own pocket, you will wish you had bought Insurance at the right time. India’s Certified Financial Planner Kuber Mindz Moneymindz
5. Instant gratification and living beyond your means
You are well known in the town for buying the entire shop each time you go shopping. You take debt and don’t clear them. You shop so much that you even exceed what you can afford. Your expenses exceed your income and you even have debt but you honestly don’t care. You want to show off and keep up with the Joneses always. You spend impulsively.
6. Stay with mountains of debt without clearing it
Education Loan, Car Loan, Home Loan, Credit Debt, whatever it is you won’t bother clearing any of those. You continue to take more debt at times. Your credit score is low as well.
These are some ways one can easily go bankrupt/broke. If you want to avoid such situations, and if you want further information, visit www.moneymindz.com or give a missed call to 022-62116588.