Managing your personal finances can be quite a struggle, I would know. It’s just always felt so overwhelming to constantly track expenses, stick to a budget, and work towards financial goals, all at the same time.
While I haven’t always been on top of my finances, I’ve tried to do my best when it comes to managing money and ensuring that my debts are paid.
However, sometimes life just throws you a curveball and you get three chances to hit a home run or you’re out of the game.
This is the story of how I overcame my debt with a little assistance from a bad credit loan, i.e., loans for people with bad credit, and began my journey towards financial freedom. If I could do it, I’m confident that anybody can as well.
Now, let’s dive into my story!
A Bit of Hard Luck
I’d say that I’m a hard-working individual. My week is largely spent at my desk in the office working hard for hardly much at all. This was a routine that I was far too familiar with. So, you can imagine my surprise when my company decided to hit all its employees with a salary reduction.
I’d just been scraping by with my meagre salary, and this decision felt like a slap in the face. I’d been working with my company for over four years, and this was the thanks I got.
Soon after this change came into effect, I had to cut corners wherever I could. This meant missing a few bill payments here and there to cover essential expenses, like my groceries. This worked fine for a while until the consequences of my actions eventually caught up to me and my credit score took quite a hit.
A couple of weeks later, disaster struck yet again when my car broke down on my way to work. I needed my car to get to my job, so leaving it unrepaired was not an option, but I’d also reached a point where I had absolutely no money to spare. What was I to do in such a situation?
A Beacon of Opportunity
This was the moment I recalled a passing conversation I’d had with a friend about the merits of emergency and bad credit loans. I’d never imagined finding myself in such a situation, but it seemed like these loans were my last lifeline.
During that time, I researched as much as I could about bad credit loans to see if I was eligible and if they could help me. I also compared multiple lenders, read through countless loan terms, and compared all the options I could find to ensure I was making the right choice.
Then, with great consideration, I finally sent in my application. To my good fortune, it was approved and I soon received the funds I needed. I used part of it to pay for my car repairs and the other part to pay off my missed payments and the minimum balances on my debts.
While this may have resolved my immediate financial issues, I recognised that it was by no means a long-term fix. This was when I decided that it was time to re-examine and regain control of my personal finances.
Righting Past Wrongs
I began by charting out a budget. I’d never made one before, so it was a little rough, but it was a start. I listed down my monthly income and expenses, and that was when I realised that I had way too much going out and not enough coming in.
This realisation was what motivated me to look for side jobs to supplement my current income. Fortunately, I was able to find many ideas online, and soon enough, I was able to make some extra money by selling old furniture. I also put my university degree to good use and began conducting online tutoring sessions.
Next, I decided to list down my debts in order of priority so I could start effectively paying them off.
After a bit of online research, I decided to follow the avalanche method and soon began to see the results reflected in my budget as well. Within just a few months, I’d paid off over half of my debts and significantly increased my earnings.
This newfound financial confidence also motivated me to take a proactive step to get ahead of potential setbacks and start building an emergency fund.
A Lesson Well Learned
It has been two years since I suffered my little financial crisis, and I’m happy to say that I am now completely debt-free. Not only that, but my emergency fund is going strong, and I’ve even begun to actively plan my financial future.
Not only do I feel more financially secure than ever before, but I can now rest easy knowing that I have a financial cushion to soften any potential setbacks. I have goals that I work towards every day and am more determined than ever before to achieve them.
While I would’ve liked to have received this sense of control over my finances under better circumstances, I’m grateful to have reached where I am today.
Comments are closed.