6 THINGS TO CONSIDER
BEFORE GETTING A LOAN
A loan is simply money you borrow from someone that you
must pay back with interest. People take out loans when they
don’t have the money to pay for something.
The danger with a loan is that it’s easy to get behind in
payments, which only furthers your debt.
Getting a loan is not something anyone should take lightly.
Don’t think that with a loan you’ll suddenly be financially free.
All loans must be paid back. That’s why, if you’re seriously
considering getting a loan, you should consider the following
WHAT EXACTLY IS A LOAN?
Is whatever it is you’re thinking about buying an absolute
need or just a want? If it’s just a want, don’t go through with
it, or at least wait until you have more than enough money to
1. IS THIS PURCHASE NECESSARY?
Sometimes you may have a justified need, but does that need
have to be satisfied right now? Often times you will have time
to wait and see if you can save up a little money first.
2. DO YOU NEED IT RIGHT NOW?
You need a car, but do you need a $30,000 car? Sure, it’s nice
to have fancy things, but not when you can’t afford them. Go
for the less expensive car that you won’t have to take out such
a huge loan for.
3. CAN YOU BUY SOMETHING CHEAPER?
If you do take out a loan, seriously ask yourself whether you
can afford the monthly payments. Even if you think you can,
will it be worth cutting back on other expenses? Be honest.
4. CAN YOU AFFORD THE PAYMENTS?
Paying off a loan as quickly as possible should be your goal. If
you know there’s no way that’s possible, you might not want
to go through with it. You can’t build wealth if you’re
consistently paying interest to others.
5. HOW FAST CAN YOU PAY IT OFF?
What if you were to lose your job, and you simply couldn’t
make those payments anymore? Would you be able to find
another job quickly? Your credit score will be negatively
affected as soon as you start missing payments.
6. WHAT IF YOU CAN’T PAY IT OFF?
If you know you can’t afford something, don’t buy it. People
who make unnecessary, extravagant purchases with credit
cards or loans may end up filing for bankruptcy.
Fortunately, a bankruptcy attorney can help anyone in a
situation where bankruptcy is really the only option.
DON’T GET IN OVER YOUR HEAD
If you’re in serious debt and can’t see any way out of it, filing
for bankruptcy could actually help you.
An attorney dedicated to helping people through the
bankruptcy process, like JMM Legal, has the experience and
expertise to get you back on your feet financially.
Don’t suffer through debt any longer. Contact JMM Legal today
by calling 801-505-9679 or by visiting jmmlegal.com.
BANKRUPTCY MAY BE YOUR BEST