This article seeks to help you with paying your debts — and any other person who has issues with paying debts. Sadly, manna from heaven ended with the Israelites in their sojourn to the promised land. Hence, you need to be intentional if you ever want to be debt-free.
Everyone has daydreams that take them to realms that are exciting. Realms that empower them with brilliant ideas they believe can change the world in an instant; such that they are willing to spend — even if it means taking a loan — any amount to spin such ideas into reality. Some are not committed enough to act upon these ideas while some do. Sadly, a good number of the latter group end up with excruciating debts that make them regret ever taking the step to act upon their dreams.
Interestingly, some argue that all dream chasers must face challenges which include debts. Inasmuch as the proponents of these arguments have strong points to defend their stance, we don’t fully agree as some of these debts return the dreamer back to the starting point. Sometimes debts are necessary but it is key that they inspire progress.
Common Mistakes of Debtors
1. Hole up somewhere and avoid everyone.
They avoid those they owe and do not owe. This is a wrong approach as peace cannot be found by avoiding life.
We cannot find peace by avoiding life- Virginia Woolf.
This is a pure truth you must understand as someone trying to pay their debt. You have to be accessible and open to those you owe, and avoid the temptation to hole up.
2. Take up further loans with promises of interest to pay up existing debts.
This only postpones the trouble, multiplying it as it does. Also, try to avoid money that is not yours in this period as you might be tempted to use it to settle your debts.
3. Not being open.
When you are open and accessible, negotiating with your creditors is way easier. To negotiate you would need to have or be working on an assured source of income. The source might not outrightly help in paying your debts but it must be able to help you build up towards paying back your debt.
4. Jumping on any new project that appeals to them.
They become quick to commit to them financially ignoring the fact that they are in debt. To tackle this, one needs an accountability partner that he or she respects to help check such commitments.
Further, on negotiating payback plans, after getting a sustainable income source; why not start up a periodic savings plan?
Working your Way Out
With a periodic savings plan, you are committed to settling the loans on your own terms. You can inform your creditors of your progress — say monthly — such that they would be able to actually see your committed efforts to pay them back. Creditors appreciate openness and commitment.
Hey dreamer, how about you start walking out of that debt today? Start here.
Stay winning with Cowrywise!
Thanks for this edifying and didactic piece.
This article is a guide. Thanks
Thank you for this wonderful write up.
Point 2 wounded me more last year when I used my family money to do investment that crash. So I’m a victim of all the points listed.
Thanks for this
Love love this. Ope be doing the most. Thanks for this piece just shared them with friends this morning 💙
Excellent and very educational.