Whenever you’re about to make a purchasing decision, whether big or small, you should take 4 seconds to ask yourself these 4 valuable questions. Your thoughtful, honest answers will save you thousands of dollars and help you get out of debt for good.
1. Is this a want or a need?
If you’re in debt and want to get out of debt for good, only buy what you need. Save the purchases of your wants until you are out of debt for good.
2. Can I wait until tomorrow to decide?
See if you can wait until tomorrow to make any buying decision. There’s a possibility you could put the buying decision off for even longer. Maybe even until you are out of debt.
3. Is the price of the product or service negotiable?
If this purchase is something you need and you can’t wait until tomorrow to decide, try to negotiate the price. What do you have to lose by asking?
4. Is there a cheaper alternative?
Always, always look for a cheaper alternative to any product or service. It will take a little time and effort, but it will be worth it, especially when you see your debt timebomb at work.
Once you answer these questions honestly, you’ll know if you’re making a smart purchase, or if you’re just digging yourself deeper into debt. The best way to ignite your debt timebomb is to identify your “debt-causing” behaviors, then learn to think through these 4 simple questions. By doing this we already have a good start on combating those bad spending habits.
Martin Sher is CEO of AmSher Collection Agency and a recent past president of ACA International, the Association of Credit and Collection Professionals. Martin is the author of the 54 word Collector Pledge, committing credit and collection professionals around the world to the ethical and respectful treatment of all consumers. Martin’s personal mission is to get 5 million people out of debt-for good, and for FREE.