Whats the No. 1 reason people go into debt?
How much of your money is yours and how much you pay toward your debt has a lot to do with how your debt got there in the first place. There are several reasons we accumulate debt, like paying for unforeseen emergencies or unemployment. But most often, debt is a result of bad spending habits, because unless you’re spending cash, it’s costing you money to spend money. Imagine a credit card is someone granting you a favor to buy something you can’t afford now but can easily pay off in the future. Well, the reality is that you simply end up owing more and owning less. We have been talking about the Joneses — those neighbors with the life and stuff we want — for almost 100 years, and we still can’t keep up with them. Unfortunately, never being content with what we have can lead to large amounts of debt. And lacking the knowledge we need to manage that debt can keep those credit card balances static, or worse, allow them to gro
