Changing your habits BEFORE they get you into trouble

Consumers cut debt by a record $21.6 billion in July 2009. Unfortunately this was only after a crashing economy, unobtainable credit and job losses forced them to stop spending and borrowing.

Of course, borrowing within their realistic means, and spending less than they had would have avoided this mess altogether. Why does it take such a bad situation to make us change our habits?

It’s a relatively simple idea, but apparently difficult for many to execute: Spending within your means.

With debt consolidation company commercials tempting you to avoid repaying your full debts (somehow this is supposed to really fix the bigger picture?) and tax debt negotiator commercials boasting their success in helping people avoid paying 75% of the tax debt they owe, no wonder there is a lack of a sense of personal responsibility when it comes to our finances. I mean really, how does an economy function when you don’t pay what you owe in full? It may seem tempting for someone in a dire financial situation to legally avoid repaying their debt, but as you can see in this recession, when many people have that attitude, it can hurt us all.

Stop spending what you can’t afford. Take responsibility for what you owe. Change your bad habits before they hurt you.