Bad things happen to everyone who is alive on Earth. That is a fact, and it is also a fact that for one reason or another some people spend more money than they earn each month. If you are one of those people sooner or later you will become homeless, on the street with nothing to eat.

On the other hand, you can make a life plan for yourself as a means for you to control your monthly spending. In other words, you should not waste your money by buying things things that you do absolutely need, in order to remain healthy and alive. Sure, you want to live the “good life” but your income does not allow you to do so.

As a result, you begin to charge some of your purchases using a credit card or receiving vendor credit. In so doing you will most likely be charged interest for any unpaid balance of that debt, causing your monthly expenses to go higher for no good reason other than the fact that you really wanted the item in question.

As luck would have it, you one day discover that your current bills exceed your current income and you can do no more then increase the balance owed on your charge cards just to pay current expenses. As you do your interest expense increases and it is quite likely that you will can payment due notices from your creditors. If you are that deep into debt it is quite likely that you will go bankrupt in the future, even if you are employed and earning some money.

It is too bad for you that you are out of control but you come to the realization that you must reduce your debt the best way that you can. There are ways to pay those debts, but how long will it be before you are free of debt? Only you can answer that question since we are all somehow different from every other person who is alive on Earth. You can easily end up on the street, homeless, with nothing to eat. Yes, a few million people are currently hameless and you can add to that number or end up in jail if you become a criminal.

Therein is the importance of creating a life plan for yourself and then sticking to that plan as best as you can. Bad things do happen and you better believe that a few bad things that are beyond your control will happen to you.