top of page
Search
Writer's pictureTracy Kollker Coleman

Slaying Debt: Understanding the Psychology of Debt to Defeat the Dark Ninja


Debt is like a ninja that creeps up on you when you least expect it. One minute you're living your best life, swiping your credit card for that fancy dinner, big trip or the latest gadgets, and the next thing you know, you're drowning in debt. Sometimes debt is unavoidable after life serves up a few hard or untimely challenges, but often we can work to make different choices to better understand the cycle of debt. One of the best things to do with debt is learn from it -- so what causes us to fall into the trap of debt, and how can we get out of it?

The psychology of debt is a complex and multifaceted topic. From our innate desire for instant gratification to our social status and self-worth, there are many factors that contribute to our relationship with debt. One of the biggest culprits is our desire to "keep up with the Joneses." We see our friends and neighbors with the latest cars, houses, and toys, and we feel like we need to keep up, even if we can't afford it.

Another factor is our tendency to prioritize short-term pleasure over long-term gain. It's hard to resist the temptation of that new outfit or that dream vacation, even if it means racking up credit card debt. We want to enjoy life now, and worry about the consequences later. But as we all know, the consequences can be pretty dire.

So how can we change our mindset about debt and get out of it? First, we need to acknowledge that debt does not have to be a normal part of our lives. And, too much debt isn't healthy for us. It's not something we should aspire to or take lightly. We need to be proactive and take responsibility for our finances, rather than waiting for things to spiral out of control.

Secondly, we need to start prioritizing our long-term financial goals over short-term pleasures. This means creating a budget, setting achievable goals, and sticking to them. It also means being honest with ourselves about what we can and can't afford, and resisting the temptation to keep up with the Joneses.

In the end, the psychology of debt is all about balance. We need to find a healthy balance between enjoying life now and planning for our future. It's not easy, but with a lot of self-determination (and a little bit of help from your friends at Lift Lending), we can all take control of our finances and live debt-free lives.

45 views0 comments

Comments


bottom of page