What are the benefits of leading a debt free life?

If there is something that financial advisors stress on, it has to be the need for individuals to take charge or rather control of their finances. We all have seen first-hand what debt can do. The constant worrying, the harassment from debt collectors, the loss of assets, self-respect just to mention but a few are things we might not wish even on the worst of our enemies. The truth of the matter is, living a life laden with debt is not fashionable. In fact, there is nothing to celebrate about being deep in debt. You always have to look over your shoulder, your financial decisions are limited and you simply lack peace of mind. With that in mind, what are some of the benefits of leading a debt free life?

Leading a debt free life means freedom

Leading a debt free life is exhilarating, liberating and above all welcoming. I mean, when you are in deep into debt, your choices in life are limited in many aspects. When you are deep in debt, you suddenly find yourself unable to quit the job that you hate, you can’t wake up one day and decide to move from a town that you clearly hate, and you can’t start a business investment. It’s like you become a slave to your own circumstances.

You have to work to repay your debts and you can’t quit a job you feel is not right for you because it’s your lifeline. The same cannot be said of a person who is debt free. Such a person has the freedom to do whatever they want. They can quit a job that is not fulfilling, move to another city if they so wish and not have to worry about looking over their shoulder or not being able to pay their bills. In other words, being debt free gives you a sense of freedom and the power to do what you want and when you want it.

Increased savings

Think about it for a moment. How often do you save when all your income goes into paying off debts? Never! However, when you are debt free, you can put a lot of your money towards saving and by so doing increasing the same tremendously. You have the leeway to save for your kid’s future education without any problems, put some funds aside for an emergency, save for retirement and effectively save towards buying your first home. I mean, being debt free makes life simple!

Debt free means having peace of mind

The constant worrying about where you will get money, the lack of sleep at night, the fear every time your phone rings because you think a creditor is calling becomes a thing of the past. You worry less, your days are much more fulfilling and you have peace of mind in the knowledge that you have your finances in order.

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In a nutshell, being debt free is rewarding in every sense. You don’t have to worry about high-interest rates or what will happen to your property when you default. You become a happy human being and able to make investment decisions without having to worry about interest rates!