ISEGHE AJAYI 

The unfavourable state of the economy has seen several individuals eating from hand to mouth because their monthly take home can no longer sustain them. 

Likewise, the persistent hike in the prices of commodities occasioned by unrelenting inflation has not helped the situation either but has continued to have a negative multiplier effect on the standard of living of the masses. 

This situation has seen some of them depending on debt for survival especially if their very existence is threatened by many unsettled bills. 

It is quite true that we are really in dire hard times regardless of social status but the most hit are the low-income earners and those who do not have means of livelihood. 

Despite the unpalatable situation, it is not a good thing to embrace debt as a lifestyle because the result might be disastrous especially if one is unable to pay back at the agreed time. 

That is why it is very critical to try as much as possible to be resolute to up your finances by not depending solely on a single source of income if you desire to pay up your debts and experience financial peace of mind. 

Do you know that some business owners, for continuity’s sake have no option but to acquire loans from banks just to keep afloat but lack financial peace of mind? Anyway, debt is not a new thing, but a way of life and has helped a lot of people to keep going financially. But then, come to think of it, debts can both be good and bad; good debt at times is used for a long–term goal. Besides, it can be a very helpful financial tool to do things that will enhance your finances. 

Many people seem to view good debt as a necessity, particularly if they have a good project that would improve their financial life but lack the requisite funds. 

Bad debts, on the contrary, make you brood over the compulsory interest payments you have to pay especially if you are doing nothing to augment your income. 

With no additional source of income to pay up your debt quickly, there is no way you are likely to live within your income but to keep borrowing to get through the month. 

Regardless, of your financial situation, it will be more beneficial to experience financial freedom because being trapped in a debt ties down your money. 

The constant stress of accumulating debts can also damage your work, health, and relationships but liberating yourself from debt will make living worthwhile. 

However, the following tips will help you to see the need to get out of debt: 

Create Room For Proper Financial Planning 

Being in debt brings about perpetual fear particularly if it cannot be serviced as when due. 

One of the nastiest things about being in debt is the risk attached to it especially if you have nothing to fall back on. For example, if there are no emergency savings for job loss, or a medical crisis, payment of your debt becomes a problem. 

But, being debt-free takes away these risks because it creates room for proper financial planning which involves creating a budget, and with it, you do not need to fret about a single regrettable event ruining your financial and personal life. 

Feel More Motivated 

Being in debt can also hold you back at work. Fears about money or repayment of debt can cause sleepless nights which in turn affects your productivity on your job the following day. 

Paying off your debt makes your job more satisfying. You feel a lot more motivated to put in your best since you are sure of getting your money in full at the end of the month rather than spending it on debt payments. 

And if you find yourself ensnared in a job that is not satisfying because you need to take care of your debts, paying them liberates you to look for a better and more rewarding one. 

Reduce Stress 

Paying off all your debts is a big relief, as financial burdens are being lifted off your shoulders. 

Also, you are no longer under undue financial pressure, as you can now devote more energy to your work and family. You can sleep comfortably because your mind is at rest 

Mind you, living with debt is a big stress, so you are constantly disturbed about how you are going to offset it to avoid embarrassment from your creditors. 

Increase Self-Esteem 

Being in debt can rob you of your self-esteem especially if the wherewithal to pay back is not there. Most people with debt frequently go out of their way to live a false life, claiming what they are not financially which in the end leads to their downfall. For example, these set of people own beautiful houses and exotic cars and wear beautiful clothes but their financial life is nothing to write home about because of the huge debt hanging on their neck. 

But, being free of debt can boost your self-confidence, and enhance your financial life which automatically earns your respect. 

Sound Mind/Health 

When you pay off debt, you feel better physically and mentally because worries will certainly disappear or stop. 

You will be free from constant headaches which prevent you from sleeping well. With better sleep and resistance, you are certain of a sound mind which brings about good health. 

The stress debt brings can harm your body as well as your mind. Besides, persistent stress can also limit your immune system, putting you more at risk for infectious diseases, such as colds. 

Also, money qualms can keep you awake at night which may further damage your ability to fight off illness. 

Lessen Financial Worries 

Getting out of debt will ease your pain or financial worries such that you will be able to plan how to be financially independent. 

Findings revealed that debt can cause physical pain and the less debt you have your thinking on how to clear the debt will lessen. But paying off your debt will certainly reduce your pain and aches. 

Ability To Save 

When you are in debt, saving becomes a big challenge as payments on your debt make you lose control of your money. 

But, if you can endeavour to clear your debt on time, you will have money to save every month and also you will be free from financial hassles. 

Capacity To Assist Others 

Paying up your debt makes you free from financial debt and gives you the ability to help others who are in need. For example, you can assist a family or friend in need of financial assistance to get through a tough period knowing full well that you are not indebted to anyone. 

But, if they are struggling with debt, you can narrate your experience to them and help them get out of it.