Tag Archives: financial stress

How to Pay Back a Loan

There are many people who wind up taking out loans at one point or another. Perhaps they needed the funds to invest in their education, pay bills, cover a sudden emergency, etc. However, regardless of the reason, the ultimate reality is that borrowed funds must be paid back.

Unfortunately, there are countless individuals who struggle with paying back loans which they took out. This ultimately doesn’t bode well, seeing as interest rates can be astronomical and quickly pile up with the passing of time. Therefore, people who are struggling with paying their back loans should adhere to the following steps.

Make Payments

Although this step sounds obscenely obvious, it’s one that many individuals fail to truly follow through on. So often, people get caught up in other financial demands, thus putting off loan payments. In even more unfortunate circumstances, some borrowers are unable to pay off their loans and simultaneously cover their everyday living expenses. Both scenarios almost always engender higher interest fees, and in some cases, total financial ruin.

According to OneMain Financial, some of the best ways to pay back loans are on a biweekly basis and via extra income. Extra income could be bonus/pay raises at work or even money which is gifted as a birthday or holiday present. No matter what, finding a way to put money towards borrowed funds is absolutely critical. Depending on the terms and conditions of the loan, certain lenders may be well within their rights to sue if their money isn’t returned to them within a certain time period.

Increase Revenue Streams

Individuals who find themselves struggling to pay the bills and also pay back their loans should look for ways to increase their income. Thankfully, this is relatively easy in 2018; the freelance market and gig economy are absolutely full of opportunities for people who know where to look. Sites like Fiverr and Upwork are free, thus allowing people to create profiles and market skills which potential clients are in need of. Some of the most popular and well-sold skills on the aforementioned platforms include writing, video editing, website design, etc.

Additional opportunities in the gig economy include driving for rideshare services such as Lyft and/or Uber or even renting out rooms on Airbnb. Each of the preceding options should be strongly pursued, especially if someone finds themselves struggling to comfortably pay back money they have borrowed from a financial institution.

A Final Word

While the process of paying back a loan may feel inconvenient at the same, the long-term benefits truly do pay off. Debt is like a proverbial cloud looming over one’s head. Getting rid of that cloud truly makes a difference and allows the borrower to not only avoid interest fees, but also put their money in savings, towards bills, or even towards investments.

 

Authored by Gabrielle Renee Seunagal

Discover How You Can Stop Worrying About Money Today

li-financial-stress-stock-6

Many of us worry about money for no specific reason at all–and in fact, most general worrying is quite normal. However, constantly worrying about paying bills, buying groceries, having enough money to make it, etc; this is not natural.  While so many Canadians do have pause for concern with their finances, there is a way to find a balance and avoid this taking a negative toll on your health, or within your relationships.  This is the good news.  The bad news is that it takes time.  Understanding why you worry and finding a solution isn’t always easy.  It is a process.  You should begin by simply asking yourself some general questions such as: ‘Why do you worry about money and what can you do about it?’  You might find that listing your worries on paper puts everything into better perspective for you.  So, do you know how to identify the signs of excessive worrying about money?

The Signs You’re Worrying Too Much About Money And What You Can Do About It

Canadian cash

Canadian cash

Stress and anxiety are two of the more common signs of excessive worrying, whether this be in regards to money, living situation or simply paying your bills in general.  There are many Canadians with the common complaint of “insomnia” when they constantly worry about money issues.  Now, if you can find a way to reduce your stress then you can begin dealing with financial problems in a more pragmatic way.  Makes sense, right?  Some choose to add a form of exercise to their life, while others enter into a program of meditation and soul searching to minimize anxiety and stress.

Now, we do want to tell you right now, burying your head in the sand and remaining in denial about money issues is not going to resolve your anxiety or minimize your stress.  You have to be ready to face your fears and seek solutions. Once you are ready to approach your problems in this way you’ll be more able to do something about it.  It is far better than walking around keeping your worry bottled up inside of you. Seeking advice from credit counselors, or even, financial professionals might put you more at ease too.

Yet another thing Canadians can do to ease their financial woes and concerns is to stop spending so much time reading articles or listening to broadcasts about the economy.  This can put a real damper on you, and believe it or not, this is one of the primary causes of stress for a majority of folks.  When you hear about job loss, income division, housing bubbles etc; this doesn’t make anyone feel confident at all. So, we recommend turning it off.  Do something positive, versus constantly hearing about economic difficulties.

It’s time to stop worrying and really start living your life in a more productive way.  Everyone wants to be healthy, happy and have a long-life, but you won’t do that if you don’t quell your stress about finances now.  So, try establishing these remaining healthy habits listed below and see where it leads you.  Remember, you have to be ready to diligent, patient and committed to transforming your financial portfolio and your life!

The Canadian flag flies outside the Bank of Canada building in Ottawa, Ontario, Canada, on Wednesday, Oct. 23, 2013. Bank of Canada Governor Stephen Poloz surprised investors by dropping language about the need for future interest rate increases that had been in place for more than a year, citing greater slack in the economy, while keeping his main policy rate unchanged. Photographer: Patrick Doyle/Bloomberg via Getty Images

Start a spending tracker and keep up with every little expense, no matter how small it is.

Plan a monthly budget around your earnings, and always pay yourself first.

Look for the leaks in your budget and work to patch those.

Find joy and happiness in the less expensive things in life, then watch your money grow.

Don’t avoid discussing your fears and concerns with your significant other,and devise a plan together!