Most people have the wrong idea of what it is to be in debt. According to a survey of the SPC Brazil (Credit Protection Service), 73% of respondents answered the wrong way; of these 52% said that being in debt is having some account or late installment and 21% believe that it is having the name registered in some credit service.
But for financial experts to be in debt means to have installments to win, divided purchases or loans, that is to be indebted. Another misleading concept is when we leave the installments in arrears, in this case the correct term is defaulted, that is, the person goes from indebted to defaulter regardless of whether or not the name entered in the base of Serasa Experian, Boa Vista or SPC .
Write down all your expenses
Record all your monthly expenses and income on a financial worksheet. Often we get the wrong idea that people get rich because they have lots of money, but in fact the secret to saving money and having a payback is control. Without knowing how much you spend it is hard to get a sense if you are getting into debt and when you can get all the installments or expenses.
The important thing in this step is to have discipline, we realize that many people get motivated to record all the financial transactions, but after a while they give up, after all it is not a very simple task. The Don Loan application can be an alternative because it is simple to use and can import your movements directly from your bank.
Determine economic goals
Before we begin anything in our lives it is important for you to understand, and to be clear in your mind, about; what you want and how you will get what you want With our finances it can not be different, create personal goals and savings so that the job you had to record all your expenses is not in vain.
Carefully review all your finances and see where you can save money. What expenses can be reduced, such as electricity, water and telephone bills, which differ from fixed bills, are linked to consumption, and a reduction in usage will impact the final monthly billing amount.
Know how much you should
Now that you know that duty is different from being defaulted, add up all the installments and financing. This calculation will help you keep track of the volume of expenses you can carry out on a monthly basis, create economic goals that are compatible with your reality, and even outline savings strategies so you can take the installments in advance.
Credit card installments usually have no interest, but in the case of financing there is a discount to anticipate payments. Knowing how much you owe will help you in this planning and saving money to make possible investments or acquire something that you really want or need.
Negotiate your debts
A very common practice in Brazilian banks is the purchase of debt, if you have done any financing with Bank X, you could and should consult other banks to try smaller installments and interest. In some cases it is possible to reduce up to 3% of monthly debt interest. Of course, the values of interest will depend solely on your relationship with banks and credit protection agencies.
Determine priorities for the payment of debts
It is often not possible to balance our lifestyle with current debts. In that case, our tip is that you set priorities in your life, which can save you money and get rid of financings and installments faster. Often having lunch out on weekends can be a great opportunity to review your friends, but nothing prevents you from inviting your friends to dine at your home sporadically and save money.