Basic HTML Version
26
How to Have a Happy Marriage
the poor, and the borrower is servant to the lender" (Prov. 22:7).
Start today to have the strength of character to wait until you
can save the cash. It costs much more to pay the interest on
borrowed money than
it
would
to
save the money ahead of time.
Avoid spending sprees.
Almost every charge account is set up on a minimum
monthly charge. Yet when you
have cash, you not only save
the carrying charges, but can
often buy at a discount.
Of course, in certain cases
today credit buying has be–
come almost a necessity. The
principle to follow, however, is
that credit purchases should
be made for necessities only–
such as a car or home. Never
should you buy luxuries on
credit. Television sets, sport–
ing goods and hobby supplies
should be paid for in cash. It is
usually these items that give
people live so close to
the edge that just one
extra bill pushes them
over the edge into
financial oblivion.
people trouble in credit buying.
It
just seems so easy to buy the
extras now and delay the payment until later. Don't fall into this
trap.
Credit cards should not be used on major purchases
where you are forced to carry the payment beyond the
initial billing period. In other words, don't charge anything
that you can't pay for completely when the bill first comes.
Interest rates are so high on credit-card purchases that you
will end up paying much more for the items than if you
had paid cash.
How to Set It Up
Make a comprehensive list of
all
debts and expenses you
ordinarily have over a period of time. Include overdue, cur–
rent and future obligations-everything it will take to run
your family for some time to come.
If
the longest period you go between bills is a year, such
as insurance or taxes, then your list will have to cover a year.