• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar

National Debt Relief

National Debt Relief - A+ BBB Accredited Business - Get Relief From Credit Card Debt, Medical Bills And Unsecured Loans

Talk to a debt counselor toll free:

800-300-9550

Get Relief From Credit Card Debt

Medical Bills and Unsecured Loans

  • Apply Now
    • Qualifications
    • Is This Right For Me?
  • Proven Results
    • Debt Relief Benefits
    • Credit Card Debt Relief
  • Debt Relief
  • Credit Card Debt Relief
  • Debt Consolidation
  • Login
HomeBlog Personal Finance4 Bad Habits You Can Change For Financial Literacy Month
Video Transcript

Free Debt Consolidation Quote

By clicking "Get Free Quote", you agree that the phone number you are providing may be used to contact you by National Debt Relief (including autodialed and prerecorded calls, as well as text/SMS messages). Msg. and data rates apply, and your consent to such contact is not required for purchase.
  • National Debt Relief, LLC BBB Business Review
  • McAfee SECURE sites help keep you safe from identity theft, credit card fraud, spyware, spam, viruses and online scams

4 Bad Habits You Can Change For Financial Literacy Month

April 22, 2019 by Tom Harkins

learn to change bad habits for financial literacy month
money going down drain during financial literacy month

April is Financial Literacy Month. Just as you make New Year’s resolutions to exercise more or lose weight for your physical health, April is the perfect time to make some changes that’ll put you on the track to better financial health.

Here are four bad financial habits, along with some ways you can start changing them.

1. Living Beyond Your Means

Almost half of all Americans are living beyond their means; they spend more than they earn, with nothing left for savings, investments, retirement, or emergencies. As more and more Americans shift into a self-employed or freelancing status, the ability to get the most from the money you make is critical. If you feel that your spending habits are outpacing your ability to earn and save money, one of the best ways to assert control of your finances is with a budget.

A good budget will help you allocate resources for paying bills, save money for important events such as buying a home or retirement, and invest your hard-earned cash regularly. Budgeting is easier than ever now, too, since there are so many great computer programs and mobile apps that do the work for you. You can use simple, affordable budgeting software to help keep your budget on track and make sure you’re living within your means.

2. Too Much Debt

Personal debt is one of the most pressing financial issues facing Americans today. In fact, the average household that carries a balance on their credit cards has nearly $16,000 in credit card debt. Once your debt reaches a certain level, in can be difficult to pay it down faster than the interest expenses add to the balance. High debt balances can lead to high monthly payments, which can make it hard to save, invest, or pay your other monthly bills. If you feel that you’re carrying too much debt, break this bad financial habit as soon as possible.

Make a serious effort to start paying down short-term debt, such as your credit cards. If you feel you can’t deal with your debt on your own, you should consider getting outside help, such as a credit counselor. Many nonprofits offer free credit counseling services, and talking to a debt expert can help you determine the best options for dealing with your current financial situation. Another option you could consider is using debt settlement services. Regardless of how you decide to do it, work hard to get out of debt as soon as possible.

3. Ignoring Your Credit

If you don’t think about your credit rating until you need it, you’re not alone. In 2016, a survey found that over 40% of Americans who attempted to access their credit (for a major purchase or for a new credit card) faced “real or perceived” challenges in using it. Failing to pay attention to your credit rating could leave you unable to make a critical purchase, such as for a new home or automobile. It could also affect your ability to get certain types of jobs. If you’ve always taken a lackadaisical approach to your credit, work hard to break this habit as soon as you can.

You can download a free copy of your credit report every year, once from each bureau. Reading it entirely will help you determine if any major issues or habits are affecting your credit rating, such as unpaid debts or overdue bills. Many online banking services allow you free real-time access to your credit score, too, so you can monitor it regularly. Fluctuations in your score will provide you a signal that something with your finances is amiss; then, you can take action to correct it and keep your credit rating healthy. Finally, you should ensure you understand the various factors that are used to determine your credit rating, such as your bill paying habits, and work hard to ensure that the way you handle your finances doesn’t have a negative impact on your credit.

4. Failing to Prepare for the Unexpected

Most Americans simply don’t have the available cash to handle a financial disaster. Only 40% of Americans have enough money in their savings account to cover an unexpected $1,000 bill, such as a car repair or a trip to the emergency room. Not having the money on hand during an emergency could cause you to rely too much upon credit cards, which will only add to the debt you’re already carrying. If your credit cards are maxed out right now, you may not have any good options to deal with an emergency at all. Therefore, if your savings account is currently sparse, you should definitely work to change this bad habit before the next emergency happens.

One of the best ways to build up an emergency fund is to pay yourself. Determine a specific amount that you can consistently put into a savings account each month and, when you pay your bills, pay yourself as well. If you receive unexpected cash inflows, such as a gift or a bonus at work, commit a portion of that money to the emergency fund, too. Even small amounts will add up over time. As your emergency fund slowly reaches the desired balance, you’ll have peace of mind knowing you’re better prepared to deal with the unexpected.

Even small changes to the way you deal with money can add up and make a huge difference in helping you regain control of your financial situation. Therefore, consider the advice provided here and start ridding yourself of these four bad financial habits today.

April is Financial Literacy Month! Take the chance to really get to know your finances and make sure you’re all set to end your year on a strong financial note.

Do you qualify for debt consolidation?

Primary Sidebar

Consolidate Your Debt!
Find out how NDR could help.
  • Get one low monthly payment
  • Avoid bankruptcy
  • Get out of debt in 24-48 months
Get Your Free evaluation
Free Debt Consolidation Quote
By clicking "Get Free Quote", you agree that the phone number you are providing may be used to contact you by National Debt Relief (including autodialed and prerecorded calls, as well as text/SMS messages). Msg. and data rates apply, and your consent to such contact is not required for purchase.
 Trusted By Our Clients

"My debt relief program"

I was very satisfied with the advise and help Sharde gave me in setting up my program. Even though she doesn't know me personally, she made me feel like she was my friend that I could trust with my personal information. I will definitely recommend National Debt Relief to any of my friends and family if, and when, they need their help. Thank you again.

Trustpilot star rating Trustpilot star rating Trustpilot star rating Trustpilot star rating Trustpilot star rating

Ardith Kershaw
ConsumerAffairs Reviews

Latest Personal Finance Posts

  • What is Considered Unsecured Debt vs. Secured Debt?
  • My Tax Return Was Accepted, Now What?
  • 5 High Yield Savings Accounts To Compare
  • Here’s What You Need To Know About Your Tax Return For 2021
  • Ready for Tax Season? Here’s Your 2021 Tax Checklist
National Debt Relief, LLC BBB Business Review AFCC Top Ten Reviews Gold Top Consumer Reviews Consumers Advocate Trust Pilot
Company
  • About Us
  • Contact Us
  • Blog
  • Careers
  • Corporate
  • Privacy Policies
  • Terms Of Site
  • Disclaimer
  • Sitemap
Products
  • Debt Relief
  • Credit Card Debt Relief
  • Debt Consolidation
  • Debt Settlement
  • Calculators
  • FAQs
Debt Resources
  • Credit Card Debt
  • Bad Credit
  • Medical Debt
  • Personal Loan Debt
  • Unemployment
  • Divorce Debt
  • Retiree Debt
  • Veteran Debt
  • Business Debt
  • Personal Finance
Follow Us
  • Facebook
  • Twitter
  • Linkedin
  • Instagram
  • Pinterest

© 2021, National Debt Relief, All Rights Reserved.

Disclaimer
Disclaimer
Disclaimer