What other options are there?
These days, people often borrow money without really thinking about it. After all,
TV and newspapers are full of adverts about borrowing and credit cards – it
seems normal. Everyone does it.
But lenders want us to think that. Why? Because they make money through interest
rates every time someone borrows from them. You always have to pay back more than
you borrow. If they didn’t make money from it, banks and other companies would not
offer loans!
If you are thinking of buying something you know you can’t afford, consider these
options.
- Don’t buy it. It sounds simple, but we often tell ourselves we really need something
when actually it won’t make a big difference to our lives. Clever advertising often
makes us think we need things we don’t.
- Wait until you can afford it – you’ll appreciate it more. Save up the money first,
even if you just put a few pounds aside each week. If you have children, you could
get them involved by counting down the days until you have saved up the money, maybe
using a calendar or chart on the fridge. If you get them used to saving, this might
help them avoid getting into debt when they are older.
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