Three Lies You're Telling About Your Credit and Debt
Monday October 15, 2007
MSN journalist MP Dunleavey talks about 3 lies that people tell about their money - lies to ourselves, lies to others, and lies of omission.
At some point, we've all probably told at least one of these lies. "Of course, I'll cut out my morning Starbucks so my family can afford the new mortgage" or "I always pay my credit cards on time." It's hard to face the negative feelings that come with credit and debt problems. But denying the truth, to yourself and others, also denies you the opportunity to face your problems. It keeps you from ever fully addressing your financial issues.
I, too, have been guilty of lying about my debt. For three months after I graduated college, I ignored my credit card bills. I didn't have any money, so why open the bills, right? Wrong. Recovering from a three-month delinquency isn't so hard with one credit card, but it's nearly impossible when you have four of them and you're just starting a new job and paying real bills for the first time. While it's a tough situation for a 22-year-old, it's what happens when you're not honest about your finances. I had to face that fact if I ever wanted to rent another apartment, buy a house, or even change my cell phone provider.
Duleavey gives some tips for admitting the truth. Among other things, she says to practice admitting the truth, avoid blaming others, and figure out how to positively deal with negative feelings.
Ready to admit your financial lie? Leave a comment below.
At some point, we've all probably told at least one of these lies. "Of course, I'll cut out my morning Starbucks so my family can afford the new mortgage" or "I always pay my credit cards on time." It's hard to face the negative feelings that come with credit and debt problems. But denying the truth, to yourself and others, also denies you the opportunity to face your problems. It keeps you from ever fully addressing your financial issues.
I, too, have been guilty of lying about my debt. For three months after I graduated college, I ignored my credit card bills. I didn't have any money, so why open the bills, right? Wrong. Recovering from a three-month delinquency isn't so hard with one credit card, but it's nearly impossible when you have four of them and you're just starting a new job and paying real bills for the first time. While it's a tough situation for a 22-year-old, it's what happens when you're not honest about your finances. I had to face that fact if I ever wanted to rent another apartment, buy a house, or even change my cell phone provider.
Duleavey gives some tips for admitting the truth. Among other things, she says to practice admitting the truth, avoid blaming others, and figure out how to positively deal with negative feelings.
Ready to admit your financial lie? Leave a comment below.
Comments
There are easy ways to get yourself out of the situation by getting yourself a debt settlement company who woks in your behalf
to negotiate a plan with your creditor and you end up paying only 30-40 cents on the dollar. Credit clean up companies are then the next step. For 40-70 dollars a month you can have even charge offs taken from your record. It usually takes between 5-12 months to clear it all, but you end up with a 700+ FICA score.