Top 5 Most Common and Potentially Devastating Financial Blunders

No. 3: Paying off your debt using your savings

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While initially it might seem like a good idea to use your savings account to pay off debts, this initiative can very well ruin you in the long run. An instant pay off your debt is a short-term solution, but the truth of the matter is that it won’t do anything to change the habits that indebted you in the first place. So you might find yourself once again in debt in just a few years time. The only difference will be that you won’t have any money set aside to save you again. Instead of looking for a quick remedy, you’d be better off trying to correct your spending habits and pay your debt slowly and steady.