October 3, 2018
Ever felt like you’re at some dead-end, working non-stop, paying off debts that never seem to end? You’re yearning for that sweet freedom that your peers upload daily on their Instagram Stories in Switzerland? It’s that debt, isn’t it?
No matter how much you’re longing to have that sweet freedom from your debts, however, you must keep in mind that it is going to take some time for your debts to be cleared. But even then, temptations wait for no one.
Most Malaysians are riddled with debts. We are beating a dead horse here, but it is always important to keep in mind that most of these debts come from the misuse of credit cards, car loans (hire purchase loans), and personal loans.
There are a multitude of reasons as to why the misuse of credit cards happen, or why a personal loan is needed for fashion purchases, or to even explain the need for fresh graduates to spend on a sports car – all without the capability to repay. The indebted ones are often trying to live above their means, something that should not happen at all.
Just because you are indebted, however, doesn’t mean you cannot take some time off and spend on yourself a little bit. We all need a break every now and then.
It can be difficult to plan a holiday when most of your cash is going to your loan repayments and monthly expenses. Like the title suggests, however, you don’t have to spend a fortune or to take a personal loan so you can have a holiday.
Have you ever considered travelling within Malaysia? Our country is filled with delicious food and amazing scenery that have yet to be truly explored by most. When was the last time you took a trip down to the northern states of Malaysia?
Like an expensive holiday, an expensive smartphone isn’t necessary, especially when you are just going to use it for some casual photography and social media. Why opt for the latest iPhone when you can be just as fine as with a mid-ranged Samsung Galaxy J7? Most of the time, people don’t need the latest iPhones.
Must you really opt for a car that’s twice your annual income? Perhaps there is a petrol-head in you, but even so, finances don’t give a honk if you are passionate – if you cannot afford it, then you just cannot afford it. Always be within your means and know what you can afford.
Don’t get it wrong, it is not that we are unable to achieve our dreams, but it is apparent that in the pursuit to achieve our dreams, we’ve set ourselves up wrong with debts. Not all of us can buy our dream car or our dream house with cash, but managing the loans and debts well is key.
While some of us may feel that managing money responsibly would come in naturally (after all, spend what you have, not what you don’t – right?), the reality is not quite that. It may come as a surprise, but there are people who aren’t very knowledgeable about managing money.
Here is how you can start identifying some challenges you may face with your finances and how to manage it well.