CALL NOW!
FREE PHONE/VIRTUAL CONSULTATION

Five Tips for Young Debtors

More and more these days, graduates are finishing their college careers deep in debt. Before they even join the job market, get married, buy a home, or start a family they are saddled with significant debt. Statistics also show young adults are accumulating wealth at a much slower pace than their parents are grandparents, due in part to their student loans.

And in addition to the burden of student loan debts, many are accumulating a great deal of consumer debt just to maintain an average lifestyle. They are forced to put everyday items like gas and groceries on high-interest credit cards, worsening their already bleak debt problems.

The good news is as a young debtor, you have some time to fix your problems. It could be several years before you are ready to make major purchases or do anything that would warrant a look into your credit, but the important thing is you take action as soon as possible to get your situation under control now instead of ignoring the problem.

What are some of the most important tips for young debtors to begin moving toward a brighter financial future?

Know Where You Stand

First and foremost, you must be aware of your current situation. Before you can make improvements, you need to know what you owe and what you earn. If you haven’t already, calculate your total debt and know what you have incoming from various sources.

Pay Yourself

Once you have a clear picture of your financial situation you can create a budget. Any way possible, within that budget, pay yourself in savings before you pay anything else. For some this is impossible, but really take a hard look at what you spend. Even $5 or $10 per week cut from your spending and put toward savings can make a big difference. In time, this gradual savings will give you a cushion that can help you avoid sliding back into debt in an emergency.

Don’t Jump the Gun

If your financial situation is less than ideal, postpone any big purchases for the foreseeable future. You should have your debt eliminated or well under control and a comfortable savings in place, as well as putting money toward retirement, before you invest in big ticket items like a home. Rushing into serious financial commitments too soon can get you into a world of trouble that will take decades to erase.

Make Smart Choices

Make sure any money you do spend is well thought out. Now is not the time to be overindulging. Once in a lifetime opportunities might come along, but you do not need those opportunities to derail your long-term financial plans. Also be smart about small daily and monthly expenses. A little bit spent here and there adds up quickly and could instead be put toward eliminating debt.

Know When to Say When

Does your financial situation seem bleaker than it should? Did your original calculations result in the realization you owe more than you earn? Now is the time to realize a financial emergency is on the horizon.

If you are a young adult and unsure how to handle a financial crisis, we can help. Contact the Law Offices of Robert M. Geller at 813.254.5696 for more information.

Archive

Video Testimonials

Tampa Bankruptcy Law Blog

What Happens If My Spouse Dies During Bankruptcy?

Seniors declaring bankruptcy have many concerns. One of the most pressing is how their health or their spouse’s health might...
Read More

Can I File for Bankruptcy Without a Job?

Bankruptcy is often considered a tool used by people without money, without income, and without any financial hope. The truth...
Read More

Should I Use Retirement Savings to Avoid Bankruptcy? A Tampa Bankruptcy Lawyer Can Help You Protect Your Retirement Nest Egg

Withdrawing money from your retirement savings is rarely advised by financial experts, even if you are facing bankruptcy. Working with...
Read More

Can You File for Bankruptcy and Keep Your Home

Foreclosure is something that occurs after a homeowner has missed multiple mortgage payments. Working with a Florida bankruptcy attorney helps...
Read More

Is There Such a Thing as Mortgage Bankruptcy?

Your home is one of your primary concerns when filing for bankruptcy. Can you claim bankruptcy and keep your home?...
Read More

What Do You Need to Know about a Home Auction in Bankruptcy?

Home auctions are a common topic that arises when someone is faced with the prospect of bankruptcy. Bankruptcy protection for...
Read More

Can a Florida Bankruptcy Attorney Help Me Avoid Eviction

Losing one’s home is one of the most common concerns you can have when filing for bankruptcy. A Florida bankruptcy...
Read More

Covid-19 Tax Tips

The COVID-19 pandemic has affected a variety of things including taxes. These COVID tax tips can help you prepare and...
Read More

How Can a Bankruptcy Attorney in Tampa Florida Help Me If I Fall Behind on My Mortgage After Filing for Bankruptcy?

Many people find that filing for bankruptcy provides all of the financial relief they need to get back on track....
Read More

Are Bankruptcy Laws Designed to “Trip” You Up? Here’s How a Bankruptcy Law Firm Can Help You Avoid Trouble

It’s no surprise that people are skeptical of how bankruptcy can help their financial situation. Many have heard stories about...
Read More

Bankruptcy

For The Next 5 Days GET A FREE BOOK About Bankruptcy

Learn More

Infographics

We are A Debt Relief Agency.
We help people file for bankruptcy under the Bankruptcy Code

Pay Online Bankruptcy Courses Newsletter Subscription

NACBA Logo avvo1 avvo2 avvo3 LEA BBB Logo

Call For A Free Initial Consultation

813.254.5696

Tampa Office

Law Offices of Robert M. Geller, P.A.
807 West Azeele Street
Tampa, FL 33606
T: (813) 254-5696
T: (800) 853-7549
F: (813) 253-3405

Map And Directions

St. Petersburg Office

Law Offices of Robert M. Geller, P.A.
125 5th Street South
(Wells Fargo Financial Center)
2nd Floor, Suite G
St. Petersburg, FL 33701
T: (727) 532-3939

Map And Directions

Pasco Office

23526 State Road 54
Lutz, FL 33559
T: (813) 336-2320

Map And Directions