Who does not want to gain financial security? In these times, financial security is something that we all seek for. Fortunately, there are ways and means by which we can achieve a certain degree of security. Here are some rules that are tried and tested. Live by them and find yourself on the road to financial security.
Rely on cash
I believe – and many experts will concur – that learning to rely on the credit card is one reason that many people today find themselves mired deep in debt. The rule is to spend cash whenever you can, keep that plastic for ultra emergencies. More so, when you find your assets frozen for one reason or another, and you need money fast, your cash might very well spell the difference between disaster and solvency.
Don’t rely on borrowing
I think that many have learned this the hard way. A lot of people I know used to think that borrowing to make more money was a good idea. Today, they are firm believers in the idea that if you have to borrow to invest, then you might want to think twice – and perhaps more.
Don’t buy more house than you can afford
Prior to the great housing slump that we are experiencing, people normally saw houses as great investment venues. They would buy houses that are way beyond their means, thinking that they can easily sell them off later on. The real estate slump has shown how false that thinking can be. Bottom line: your house will not make you rich, but use it as a savings tool.
Hope these tips help.