I have found the key to managing your finances and budgeting properly simply stems from your ability to manage time. Most people do so much business with people that they have no clue when, on what day and what time, a transaction occurs in their bank account. Someone who truly knows how much money they have in their bank account to properly allocate towards an upcoming transaction is far better prepared than someone who manages their account blindly. How can you ever know how much money you actually have, or what you can afford, unless you KNOW who it is you are doing business with? If you know then you are prepared to gain wealth and be successful. Management takes hard work and real effort. Strive to get rich by listening to wise people for tips, and never follow lemmings off a cliff. 90% of Americans are in debt, so ask the 10% how to get out of it.
The credit system is designed to show how people who carry a lot of debt are capable of managing payments well. Credit is accrued by making prompt payments, which means the credit system is for people who are in debt. Someone who is not in debt has no credit, because they are paying for everything in cash. Our economic system is designed to entice people to go into debt, manage payments, accrue credit (capital), and then qualify for mortgages and other loans. This happens in due time through the process of life. Be happy you are not in debt, get a job, and generate positive income until you can purchase a home in cash. You can live life without credit, and debt, but if you decide to take on a loan with anyone, you are in debt to someone else. You are also establishing credit. What’s better? An 850 – 900 credit rating, or being debt-free? You decide.