The feeling of swimming in debt is a familiar one to many Kentucky families, and you might have encountered this feeling at some point yourself. If that is the case, then you need some common-sense tips for you and your family. At Commonwealth Credit Union, we are a local company that understands the needs of those who find themselves in debt. We also appreciate that steps can be taken to address the situation. Let's dive into some of those tips and ideas.
Create a Family Budget Together
Work together with your whole family to create a budget that everyone can stick to. This serves two purposes. The first is that it will help get everyone within your household bought into the concept of budgeting. Also, it will help make everyone understand that budgeting does not have to be a boring or scary thing. Instead, it can be a fun and collaborative way to get everyone on the same page and start saving money. You should even bring children and teenagers into the fold so that everyone understands the value of creating a budget
Teach Kids and Teens About Money Early
To help with your debt situation, you should try to teach your children and teenagers about money. This will prove helpful because it will set them up for future financial success, and it will also reduce the risk that they will end up further contributing to the financial strain that already exists within your family. You certainly don't want them to add to any financial strain that you might be experiencing, and there is no reason why you should have to. Instead, teach them about the basics of finance so that they can begin to see working on their finances as a fun thing to do instead of a drag.
Avoid High-Interest Debt Traps
Do everything within your power to avoid the debt traps that are lurking around every corner. This includes things such as payday loans, high-interest credit cards, and predatory lenders. These are traps that will drag you down further and further into debt. Clearly, that is not the place that you want to find yourself in, and the best thing that you can do for yourself is avoid these traps altogether.
If you find yourself in a pinch and need some emergency funds, consider alternatives such as asking for help from your family, taking on a second job, or pulling funds from other sources such as your 401(k). These are all better alternatives than ever stepping foot inside a payday lender or other predatory lending shop. You can reach out to our team at Commonwealth Credit Union for advice and guidance about borrowing before you do so.
Build Toward a Debt-Free Lifestyle
Work on commonsense lifestyle changes that can help you build the debt-free lifestyle that you and your family deserve. You can do so by working towards doing so by using proven methods for working on getting debt-free. This includes methods such as the snowball method or the avalanche method. Either of these methods can be successfully deployed to help you take a stab at reducing your debts step-by-step. Remember, one of the issues that many people run into is the fact that their debt situation can feel impossible to handle. However, when you have a partner like Commonwealth Credit Union, you will begin to notice that even small wins can add up to big progress over time.
Connect with Commonwealth Credit Union to Begin Your Debt-Free Journey
At Commonwealth Credit Union, we take the debt-free lifestyle seriously for Kentucky families, and we want to help you reach a point where you can enjoy that life. Check out our savings account and financial wellness options and see what offerings we have that can best suit your needs today!
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