- Thread starter
- #61
Okay then we give it a different name I think it is what we called osusu here which helps the member a lot
How do you stay away from borrowing. money
- Thread starter cherry123
- Start date
Yes, this is very popular not just in my country.
I have stayed here and every other place I am in that if you strive to live within your means, you would stay debt free. If you don't, you would incur huge debts.
I do not like borrowing money because this is very stressful for me. I always save some money for future needs.
Probably, whenever you cut down on your expenses and lifestyle you will stay out of debt actually. If you want to go into a business you can do personal savings and use it to venture into it.
I stay away from borrowing by making sure that I do not borrow money in the first place. This is the best way to remain debt-free.
This is actually true. You will not go into debt if you don't borrow money in the first place. If you have enough money before venturing into a business, you don't need to borrow.
It is not a bad idea if you borrow to invest in a business you know about well
One of the best ways to stay away from borrowing money is to create and stick to a budget. Establishing a budget can help you identify where your money is going, and how you can prioritize saving up for things you need. Additionally, it can help you identify ways to cut back on expenses and put more money towards savings. You can also consider setting up an emergency fund or savings account that you can pull from in case of an unexpected expense. Finally, if you are in need of money, consider other alternatives such as asking for help from family and/or friends, or taking on a side hustle to bring in more income.
Yeah, there are people that took loans to venture into businesses and I were able to become successful. It is all about having proper knowledge of what you want to use the money to do.
We work together as a couple to avoid debt and support each other. One huge advantage is we always keep $25,000 to $35,000 in interest bearing savings as an emergency fund, make sure our medical insurance is paid up at all times and get by with one car and one insurance, shop thrift stores for good used clothing and household goods and earn extra pocket money online.
I try to avoid borrowing in general. Doesn't always happen though. Sometimes help is needed.
- Thread starter
- #76
Sure you would have to borrow when you' need help but should be what you can pay back
Here are some ways to avoid borrowing money:
- Create a budget: This can help you keep track of your income and expenses and make sure you have enough money to cover your needs.
- Live within your means: Avoid overspending and try to save as much money as you can.
- Build an emergency fund: Having an emergency fund can help you cover unexpected expenses without having to borrow money.
- Prioritize paying off debt: If you already have debt, focus on paying it off as soon as possible to avoid accruing more interest.
- Consider alternative options: Before borrowing money, consider other options such as cutting expenses, finding ways to increase your income, or negotiating with your creditors.
- Be mindful of loan terms: When borrowing money, make sure you understand the terms and interest rates, and avoid taking on more debt than you can afford to pay back.
I always keep track of my expenses. I never buy things I cannot afford. I do use credit card for cash back and rewards. I always pay the credit card bill on time to avoid paying interest and penalties.
To avoid borrowing, one can prioritize saving, reduce unnecessary expenses, increase income through a side hustle or taking on a higher-paying job, and limit large purchases until they can be paid for in cash. It can also be helpful to create a budget and stick to it, and to avoid impulse spending.
You are doing great, if you save money for your rainy days then there will be no need for borrowing money.
