Entities that offer people credit dangle the enticement of buying now and paying later. That sounds pretty good…but when you pay later the price that you pay may be considerable. Indeed, it could cost you your retirement.
Kicking debt down the road in one way or another is a perilous course of action. You may get it into your head that you will always have time to pay off your debt slowly as your cash flow permits. But along the way other shiny objects may get your attention.
So, you may dutifully pay down a particular purchase. But if you consistently make additional purchases you will perpetually stay in the same financial position.
This pattern can catch up with you if you suddenly wake up one morning and recognize the fact that the age at which people typically retire is starting to emerge over the horizon. That awaking can be a rude one when you find that you don’t have the financial underpinning that it takes to retire.
For this reason it is important to take debt seriously as you accrue it throughout your life.
Every time you buy something on credit, and this includes your mortgage, you are going to wind up paying far more than the thing is worth if you make the minimum monthly payments every month.
Paying interest is basically parting with hard-earned money and getting nothing in return. If you look at it this way, you may be more conservative and find yourself in a stronger financial position as a result.
The best way to be ready for retirement is to stick to a cogent plan for an extended period of time and make intelligent decisions every step of the way. If you would like to create such a plan with expert assistance, the first step is to arrange for a consultation with a licensed and experienced Somerset County NJ financial planning lawyer.