How I Avoid Debt and Save Money

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hi welcome back to my channel today I

wanted to discuss how I've avoided

financial debt and how I really think

that people in their young 20s like

myself need to be paying more attention

to this usually this isn't a taught

class that's taught in school and it was

really disheartening a couple weeks ago

I was at a friend's place and her

boyfriend had some friends over and they

ordered pizza and when it arrived all of

a sudden people forgot their wallet sir

we're gonna pay next week or didn't get

paid from their job yet no one had the

money for it to the point where my

friend's boyfriend had to ask my friend

to pay for it because it was either him

paying for the pizza or him paying for

rent and these are situations where I

just think wow how did it get that bad

and how can you avoid that from

happening so here are the tips today

that I've utilized to keep myself debt

free first off you need to understand

what you're paying for now this could be

any type of bills or whatever the case

if you have a phone bill and maybe you

have add-ons that you don't need special

protection that maybe doesn't really

help you out or you have internet that's

a lot faster than the things you

actually use the internet for if they're

giving you more than what you're

actually utilizing why should you be

paying that extra amount reduce those

fees get rid of those add-ons get your

money back so that you can put it

towards things that you're actually

utilizing and the second thing from that

is know how to access all of your

banking your bills your subscriptions

make sure that you have the passwords

for that that you have it where you're

able to access and see where your

money's going at all times when I was

helping a couple clients with this and

friends they had no idea how to access

their bank accounts online they had no

idea how to call somebody or what the

numbers were that the people were asking

for on the phones yeah this isn't taught

in school but you need to teach yourself

this because how else are you going to

keep track of your money and how are you

going to know if suddenly something

increases and they're taking more money

away from you if you don't even access

your account regularly my next tip

become a minimalist being minimalist has

opened my eyes physical clutter

to a clutter emotional clutter all of

that when it's removed and you're left

with very clear thinking you're able to

make a lot more positive decisions

towards everything including money next

up is have a budget and this budget

needs to have an income and outcome

expense of at least zero meaning

whatever you're making and whatever

you're spending shouldn't leave you in

debt in fact it's preferred if you're

actually making more than you spend now

you can even put this into savings or

and oh my gosh the amount of times I see

this happen there are women friends of

mine that I've had where they have a

little bit of extra money at the end of

the month and they're like oh I'm gonna

go get $200 hair extensions or fake

eyelashes or whatever and that's great

but do you remember you have ten

thousand dollars of student debt this is

it's like it doesn't even exist to them

all of a sudden when they have this

extra money at the end of the month that

money needs to go to words to your

freedom your freedom is going to come

from releasing yourself from all these

institutions that have a debt on your

head financial freedom is one step

closer to the freedom to explore the

world explore yourself and you're not

going to have that if you're going ahead

and taking that extra cash and spending

it somewhere else

I mean preferably it's actually more fun

to over pay your debt so that you end up

releasing yourself earlier than the

estimated date I think this is also just

like a North American problem too

because in North America we seem to just

be obsessed with just buying things and

not paying attention to what we owe now

over here I'm currently in Scotland and

there are billboards saying pay off your

mortgage in larger amounts than what

you're expected to so you can have your

mortgage done with faster they're

actually helping you I've never seen

that before it's very odd to me next up

would be prioritizing your needs

that means no eating out no buying

things no going to events until you have

your debt taken care of or you have

whatever your goal is that you're trying

to get to that's you know like I said

I've seen too many times where my girls

are going to $400 raves with their $200

hair extensions with their $50 name

that one night or two nights of partying

could have been put towards one month or

two months of financial freedom now if

you do need to buy things try and buy

high quality things why because it's

easier to buy a high quality piece that

you only need to buy once then buy a low

quality piece that you need to buy

multiple times and from there repair

before repurchase any time that my heels

are getting a little bit worn out go

ahead and replace that heel you can

replace your heel for five ten fifteen

dollars tops opposed to buying a new

pair of heels because you're gonna over

wear the other ones so you're saving a

lot more money in the end and you get to

keep wonderful high-quality pieces for a

lot longer and quickly going back to the

idea of the North American saving money

I think it's really important that we

understand sales and what they really

mean when you see buy two get one free

or save 50% off you're not saving money

when it says save I don't see this so

much over in Europe but in America

there's this concept of save money but

you're still spending it and as long as

you are still spending money especially

if you are not needing to spend that

money it's money that's leaving your

pocket it's not going into your savings

I think that trickery of words leads

people to go oh well I'm saving fifty

percent so it's okay to buy I think that

we need to really look into the wording

of these things not only for a money

perspective but just for the things that

we have you know we'll buy two and get

one free well maybe you just need one

but you're gonna buy two and then you're

gonna get another one free and maybe you

didn't need all of this excess to begin

with it's a mentality that starts with

purchasing but it goes farther into just

our financial problems that I see with

so many people my age and now the

biggest one understanding your credit

card you need to understand the interest

rates you need to understand the

benefits you need to understand where

you might have some problems or where

the bank might loophole you into

something you need to understand the

policies of it and you need to

understand the amount and by this I mean

if you are somebody who makes an average

income of maybe

$1400 a month is it really wise to have

a $10,000 max credit card I personally

don't like using my credit card and I'll

only use it if I can't pay for something

another way and even then I've the

amount of times I just want to cut it up

it just it it irks me I don't like the

idea of spending money that isn't really

there and so my number one tip to avoid

credit card debt especially sorry I get

so worked up about this because just

recently I found out a friend of mine

accidentally yes accidentally maxed out

her credit card because she didn't

understand how it gets paid off and it

just makes me sad that people aren't

learning about this and don't understand

until it's too late if you're gonna

spend money on a credit card please

please please make sure you have that

money already and that you know don't

need to spend that money on rent or

something that this is actual money that

you have in your bank account that you

are able to spend if you have 50 hours

of makeup that you want to buy online do

you have that $50 in your bank account

to pay off that credit card the moment

it comes through if you don't then what

are you gonna do when that comes through

with that bill payment and all of the

interest that comes through with it when

are you going to pay it off it's not

magic money it doesn't exist you're

gonna make it exist because you're gonna

have to overwork those extra hours and

all of that time that you're going to

lose it's just too frightening and our

lives are too valuable and our time is

too valuable for this kind of catch that

we get stuck on with credit card all of

that kind of stuff so thank you so much

for watching sorry for making it a bit

of a rant but there is just a lot on my

mind and I see so many people that are

my age that are running through this

problem and I just you know if you have

any questions if you want me to make

more in-depth videos I'd be happy to do

that so let me know if that's of

interest to you but I just want to get

this out there for people and they're

young 20s like myself who you know we

weren't taught how to take care of our

money that's not a course that's taught

in school and there's so many of us

stuck in debts and loans and it's just

stress and lack of freedom that we are

trapped in so anyway thank you so much

for watching like and subscribe

you want to see more videos and I will

be back with more content soon bye