If you have debts: the interest they accrue is usually higher than the income you would have if you invested the extra money somewhere. Don’t get in trouble! If you have no debt: which investments have a good outlook? What are your goals? Exit the limit and become a saver!
Those who are in debt know that the reality of the market usually tends to be unfavorable to this group of people, as the interest charged may be higher than the income from investments in the national market. That way, whoever is profiting from the situation is your creditor.
As soon as an extra buck enters your account, it is recommended that your debt be paid in full, or as much of it as possible, without breaking your budget. An interesting solution is when your debts are up to date, that you pay the last installments, reversing the interest of that period at a discount.
Planning to list priorities
Plan your budget and list the debts according to the amount. Give priority to the most expensive ones, which have the highest interest rates, such as:
- credit cards, 10% per month;
- overdraft, 8% per month;
- personal credit, 4% per month;
- vehicle financing, 2% per month.
It is worth remembering that these rates are only illustrative and vary according to the financial institution.
Also analyze your current job situation, if you are stable, confident that the company you work for remains strong in the market, as well as your chance to grow with it. And then, you may be able to stabilize, maybe get a raise and settle your debt balance. From there, with a calmer financial situation, you have greater opportunities to invest more and better.
Are your debts up to date? Try investing
It is necessary to analyze the market conditions for investments. How is the behavior of the area in which you intend to invest and the growth trends or not of the sector. Assess whether an investment will not hinder the payment of portions of your debt.
To start investing your money, form a “financial security mattress” – a reserve of money that will be sufficient for periods of crisis, which must have quick and easy access for emergency cases. The old savings are still a good thing.
With some debts in your life, it is important to stay calm and plan all your next steps. With caution and strictly following your new financial day-to-day, you will be able to get out of the red and resume your routine, with more certain investments and according to your possibilities.
After that analysis, start organizing your financial life. Create goals and strategies to circumvent impulses when using your money. Understand that with discipline and organization, you will find it easier to increase your assets and that of your family.