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Why You Need to Get Out of Debt
Debt is a prison that holds many North Americans bondage. Debts are strong chains — they bind us and feel overwhelming.
Statistics show that the “Average American holds about $38,000 in personal debt (not counting your mortgage!)” (https://www.cnbc.com/2018/08/20/how-much-debt-americans-have-at-every-age.html )
Canadians are also drowning in debt, with most households owing about $1.78 for every $1 they make! Think about that for a minute.
The consequences of debt are many:
- Worry, stress and anxiety.
The number one thing baby-boomers worry about is that they will run out of money when they retire. Death is number two.
Baby-boomers would rather die than run out of money.
Despite this, baby boomers have still failed to save enough for retirement. This worry consumes them.
Worrying about money reduces your ability to think about other issues going on in your life. Your cognitive abilities decrease and other areas of your life can suffer.
Worrying about money causes relationship stress and even breakdown. How many divorces can cite money issues as a cause for the breakup?
2. Debt causes you to pay more for an item than it is worth.
