Sunday, September 30, 2007

Think twice before you spend

Hubby’s colleague wants to borrow money from him again few days ago. Why I say again? Coz this is not the first time he is requesting money from my hubby. His monthly is $7K, yet he still short of money each month. You must be asking me why now. Let me tell you why he has so much debt in hand now.

He owns a big bungalow and spends lots of money for the bungalow renovation last year. He also spend huge amount to buy luxury furniture and decoration items for the house. He did not getting any loan to support all these expenses but use his credit cards to swipe and pay for it. End up he landed himself into debt situation and now he only managed to pay for the interests instead of the amount he had spent. Can you believe how much he spent for the house? Even $7K per month also cannot pay off the debt?

To me, he did not spend his money rationally. He just spends when he feels he like it. Now he is looking for ways to get Debt Relief, hoping to reduce his debts as soon as possible. One of the best way is to look for Credit Card Consolidation where he can replace his multiple loads with a single loan. Also to reduce to a lower monthly payment for a longer repayment period. By using this method, then he no need to use up all his monthly salary just for the loan repayment. Perhaps he still has some balance for his other personal usages. Then he no longer will look for my hubby to ask for money again.