How Healthy Are Your Finances?

Healthy Finances

The Rules of Financial Management

When we think of our finances, we should think about making wise decisions.  We are not to be drowning in debt and shouldered with bad credit.

Here are some basic rules that I want to share that will help in having financial well being.

1.  Have Realistic Expectations…remember that any wise decision you make right now will not turn your finances around overnight, but it will put you on the right road to repairing your finances.
2. Live Within Your Means…really you should live below your means.  Try to avoid frivolous or impulsive buying.
3. Stay Out of Credit Card Debt…did you know that credit card debt is considered “unsecured debt”?  That means that you have no collateral or assets to offset the debt.  The best advice is that if you can’t afford to pay cash for something (except a house or car), it’s best to wait until you can.
4. Maintain Spotless Credit…good credit is the most important thing other than cash money you can have in this healthy financial life. Find out your credit score and begin the process of being financially healthy today.
5. Rationalize Your Spending…thinking about your purchases will help you rationalize your spending.  Is it necessary?  Will I have to dip into my savings? Prevent buyer’s remorse and move yourself into great financial management.
6. Save Money…is the rule of this day and time.  With jobs shutting down and banks going under, you must be responsible with your money.  Have at least an 8-month cushion in your savings.
7. Start As Soon As Possible…it is very important that we start now getting our finances under control with first seeking God’s Word for our financial guidance.

We must be wise with our spending and move into the life that is financially healthy. As a realtor, the saddest thing to hear is that a buyer really wants and needs a new home, but their credit is hindering the process.  So, if you are really wanting that first home, move toward healthy finances TODAY!

RDPrealtor