People hesitate to ask for help with their debts for several reasons. Some of us are embarrassed, ashamed, or too scared to discuss our financial situation with others. But, not seeking help will only lead to more problems.
If you are wondering if you need a helping hand to manage your financial debt, here are nine signs that you do!
Living in Overdraft
The first sign that shows you are in debt is when there is a minus sign in front of your checking account balance. The problem with overdraft protection is that it lets you live beyond your means. If you don’t monitor your spending carefully, you will continue using your debit card until you eventually receive that dreaded ‘declined’ message. Be ready to get this message when you owe $500 to $1000.
You are Always in Debt
Congratulate yourself if you manage to pay your debts on time. But, if you are guilty of reusing your available credit card balances each month, then you may need financial assistance. While making large payments on credit card feels great, if you turn around and spend that money again almost immediately, you will always be stuck in a debt cycle.
You Fail to make Timely Payments
Whether it’s your electricity, internet, or cell phone bill, we must pay them in full every month. But when missing deadlines or skipping your payments becomes a habit, get ready to pay the interest and late charges. If you can’t figure out how to make timely payments yourself, don’t shy away from seeking professional help to get your payments better suited to your budget.
Credit Card Debt
Everyone has credit card bills to pay. But financial experts make it clear that having a credit card does not necessarily mean that they have credit card debt. People use credit cards to make purchases all the time, especially with the convenience of online shopping. But, credit card users vary in the sense that some pay their credit card balance in full every month while others don’t make any such effort.
Credit cards make you keep purchasing things you don’t need, nor can you afford it. When you fail to pay off the entire balance, you will eventually fall into serious financial trouble.
You Never Open your Mail
Many times, bills remain unpaid because you don’t even feel like looking at them. It’s common for people struggling with financial debt to stick their heads in the sand and pretend that everything is normal. Unfortunately, ignoring your mail will not pay your bills on time, so make sure you pay attention to what’s coming in your mail.
You Don’t Calculate your Debt
Not making any effort to estimate your total debt is a risky approach. There could be all sorts of loans, such as student loans, credit cards, student loans, car loans, furniture loans, and so on with fees you haven’t considered. If you don’t know how much debt you owe, you cant begin to formulate a plan for getting out.
Your Purchases are Always a Secret
Do you always hide your online purchases from your spouse or partner? Whether you are buying a pair of heels or a new shirt, if you are hiding your purchases from everyone else, there might be something wrong with your finances.
You Have Cash Advances
Merchant Cash Advances tend to carry extremely high repayments. With daily and weekly installments, it can be hard to save up cash flow to benefit operations. The easy solution to this is to simply take out another cash advance, then another, then another. As a result, it is easy for businesses to become trapped in the MCA cycle.
You are Losing Sleep
If you are feeling stressed out and having trouble sleeping because of your financial debt, it’s time to seek professional help. People who are stuck in a debt cycle constantly worry whether they will be able to pay their bills on time. The best remedy is to find a way to pay back your loans on time.
Final Thoughts
There is no point in being stuck in a financial mess when there are so many options to pay off your debt. If any of these warning signs resonate with you, don’t hesitate to reach out for help and find the best way to get your business back in the black.
