You + Overspending = Debt. This is why we need to budget! Just because budgeting is simple does not mean it's easy. Sometimes we fall into debt because we didn't make a plan and frequently overspend. Starting an emergency fund or savings account will help us prepare for emergencies like job loss or car accident. But sometimes it's too late because we're already in knee deep. The most common reasons for overspending are - mental mistakes, social pressure, and emotional spending.
If you have questions about paying off debt, Ask Your MoneyCoach!