8 reasons you should get out of debt
When you really think about it, there are probably over a hundred reasons that you should get out of debt. However, everyone will have different motivations for doing so. We’ve put together some of the main motivators most people would consider for getting out of debt.
Free up more of your income for financial security
Whether you can pay your debt off completely or enter into a plan to pay your debts back, you will have more money to save for you and your family. Financial security for the future is so important and taking steps towards paying off your debts will give you that extra income to prepare for the future.
Reduce your risk
Being in debt means that you can’t save for any income emergencies. Having no extra money in case of emergencies such as you or a partner losing a job is a risk. If you pay off your debt there will be less risk of you losing your home or your car if you can’t make payments towards your debts.
Improve your credit score
Having debt will weigh down your credit score whether you have credit cards, store cards or loans. For example, if you’re near a limit on your credit card then your credit score will be lower. Your interest rates will also be higher on any further borrowing if you’re in debt which puts you in a vicious cycle of trying to pay off debts with high-interest rates.
Look after your mental health
Reducing the stress of constantly worrying about your finances can do wonders for your mental health. Being worried about debts takes its toll on your mental health, especially if you’re struggling to make payments. When you start to pay off your debt, you’ll no longer feel trapped or weighed down.
Take care of your physical health
Being stressed not only affects your mental health, but it can also impact your physical health. Stress has been found to contribute to heart conditions, gastrointestinal problems and diabetes to name a few. Chronic stress can affect your immune system and the lack of sleep from stress can have a huge impact too. When you spend less time worrying about your finances, you will have more time to take care of yourself.
Help your relationships
Being under severe financial pressure will not only affect you but those around you too. This can be relationships at home or at work and getting rid of your debts lifts a weight off your shoulders that can make you happier which benefits you and those around you.
Spend money on things you enjoy without feeling guilty
Getting out of the vicious debt cycle means that you will be able to get on with enjoying time with your family without feeling guilty about spending money. Family days out or holidays can often be tainted when you’re in debt with a feeling of guilt when you know you don’t have the money to spend.
Own your own assets
After paying off your debt you will no longer need to worry about anyone taking your belongings because you can’t afford your payments. Once you pay off your debt, you can eventually pay off that mortgage or your car and everything else you have can officially be yours. This can be a relief for those in debt after worrying for so long about bailiffs taking everything away.
These are just some of the reasons that you may want to get out of debt, we’re sure that there are many more that are personal to you. If you’re struggling and think you might need some help, why not give us a call today? We offer free, no obligation advice that can help make the reasons above become a reality for you. Call us at 0141 380 0588 or find out if you qualify for debt help, here.