As a Kenyan, it is only understandable that we do not fear debts.
If we’re being honest, our whole lives depend on them seeing as though our very own government is selling us to Neo-colonizers through debts and more smh. The number of Kenyans listed in the CRB keeps growing by the day, as much we as Kenyans are unfazed by the whole situation. Any Kenyan who owes money to these money-lending apps remains unbothered when threats are sent to them by the debt-collectors.
It is an alarming situation as debts and loans can only go so far.
It is better to have savings than loans if you can avoid loans just stick to that kind of life. There’s no point in living a fabulous life while you’re financially tied to a bank that will always be chasing you down. Stop making these mistakes and be financially happier.
1. Avoid credit cards
There’s a difference between a credit card and a debit card. Credit card is when a bank gives you a card with money then you use it and pay them back. A debit card is what you should use once in a while, it is when you have a card that has your own money, which is better to finish because it’s your money. Don’t use credit cards, because it’s the way a bank enslaves you.
2. Have an overestimated budget
Have a budget where you write unexpected things. There are months you may have to spend more because of medical expenses or because you have to buy something or pay for extra bills like insurance. Always work a monthly budget because sometimes they keep changing every now and then.
3. Live within your lifestyle
Don’t go beyond your budget because at the end of the day everyone is on different lanes. Just because you have the money doesn’t mean you have to spend it and finish your money.
4. Save for the things you want
Always have a goal, set a goal and stick to a savings plan. Please don’t take a loan for something like a car unless it’s something that will bring you money to help you pay off your loan. Other than that, have savings especially if you’re new in employment or you have just started a business. Also use a savings plan like M-Shwari which helps you track your savings and helps you reach your target with the interest they give you.
Loans are okay only if you need to pay off something to do with education or perhaps for an investment that will give you money. Loans are not necessary for things like cars or parties or even furnishing your apartment.