Losing Money so Easily is all about Lack of Control

There is one overriding factor as to why people lose their money easily. And the reason for that is because they make the wrong purchases. That is to say they purchase what they want, instead of what they need.  This then sees their personal debt begin to rise until it gets to the stage were it becomes uncontrollable.

Of course, there are other factors involved such as ‘bad decisions in investments, banks going bust, or businesses going to the wall.  All of which can see you plunge into debt through no fault of your own. These are all unforeseen circumstances and should be treated as such.

However, there are circumstances in which personal responsibility is just that…personal responsibility . And these circumstances are many. Spending money on things like too many holidays, presents, and luxury foods – and on more than one item [ like owning two or three televisions, cars etc], can see you plunge into personal debt.

The waste of money – especially when using credit cards – is frightening. And it is no wonder that record numbers of people around the world are in deep, personal financial trouble right now.  This is staggering  – especially when one considers that the average personal debt is over $15,000 dollars for an American family.

This is in reference to a husband, wife, or partner who owns just one credit card in the family. One can immediately see that the interest rates that such debt builds up on that single card alone would be astronomical.   This is another reason as to why people lose their money so easily. They are paying out nothing but debt, instead of learning to control their spending habits by saving as much as they can.

Another reason for the waste of money is that a person could very well be good-hearted enough to donate their money to various charities and events.  As much as their heart may be in the right place, and as much as they may love giving away their finances, they are on a loser right from the get go. This is because they have not only spread their money in too many charitable institutions but also because money does not grow on trees. It is hard enough to come by money without wasting it on all and sundry.

Yes, give to charity, but do it in a way that will not see you out of pocket in the long run.  The trick here, is leaning how to control spending habits. Learn this, and you will go a long way into controlling your finances in the long run.  When in stores, purchase only the things that you need, and not the things that you want. 

By this subtle change in habits and attitude a person will begin having more money within their pockets. Greed and envy play a huge part in personal financial debt. The urge to be better than your neighbors never leaves many people. If a near neighbor has one car, you purchase two. and so on and so forth. Greed and envy can see the best-laid plans to save, fall by the wayside.

So, the first thing that anyone must do when striving to save as much of their pennies as they can, is to purchase those things that are needed. Do not buy for buying’s sake, because the money or credit card may be burning a hole in the pocket. Buy because that item is needed for something. 

Only by this subtle change in attitude – and learning to control personal spending habits, will you get back control. Money will stop being wasted on nothing at all.  This will then see personal debt gradually fall, because it really is all about being ‘sensible’.  To gain back control of personal finances and to stop personal debt from rising, then being in control and sensible over what to spend money on is the only way this can be achieved. And, in the long run, it will stop you losing money.