Question: The lottery is my debt settlement program! I’m feeling lucky! After I win the lottery, what should I do with the windfall of cash?
Answer: Stop right there. The words “lottery” and “debt settlement” used in the same sentence can only spell trouble.
You should never, ever, rely on sheer luck as your plan for paying off your debt. The lottery is nothing more than a way for government to take in more of your hard earning money. Contributing to the lottery pool every week is stupid. Basically, you’re allowing yourself to be taxed by your local and state government.
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"Eighty percent of success is showing up."
- Woody Allen |
Paying more taxes by choice is really NOT a very good plan.
While you do have just about the same chance as everyone else to win the lottery, you have a much, much, bigger chance at winning absolutely nothing. In fact, the odds of you winning the lottery are less than you being struck by lightning.
So as you continue to play the lottery, your debt will increase, and you will fall farther behind in being able to repay the money you owe. It is time to get your head out of the clouds and back into some serious debt management practices.
No one is going to fix your money problems except you. The time to start is now… and avoid becoming a victim of the countless so-called debt settlement programs that promise to fix all your money issues for you. They can’t, most likely it’s a scam!
The fact is that no one can do anything for you to lower your debt, at any price, that you can’t do for yourself for free – so why pay anyone?
When you opened a credit card account, applied for a student loan, or signed for a mortgage, you signed an agreement stating that you would repay the money you borrowed. You must live up to that agreement.
Even if you file for bankruptcy, you will not be completely free of your repayment responsibilities. It is best to organize your finances and start managing your money closely, seeking out ways to pay down your existing debt.
Avoid bankruptcy if at all possible – it will only damage your credit report for years to come and will not solve all your debt problems.
Managing your money in a responsible manner and changing your poor spending habits will save you from financial ruin – the lottery won’t.
Complete a personal financial statement in order to identify all money coming in and going out. Do you have too many credit cards and loans? Are you guilty of unnecessary spending on unimportant items? Get your entire financial picture clearly in front of you. This way, you can make knowledgeable choices for your financial future.
Next, set up a budget for yourself. Only allow yourself a set amount of money for items you truly need. For now, you will have to forgo luxury items. This is especially true if you are deep into debt.
If your debt is extreme, you should do the above, as well as contact your creditors in order to see if they can offer some sort of emergency debt settlement program or assistance.
Through the use of a smart debt settlement program, provided by your creditor, you’ll be able to better handle your payments and feel more confident about being able to repay the amount(s) you owe.
Likewise, it’s time to stop playing the lottery. Every dollar you spend is money that could be going to pay down your debt. By following good solid financial planning advice, you will become the “winner” you aspire to be.
"Always bear in mind that your own resolution to succeed
is more important than any one thing.”
- Abraham Lincoln |
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Debt is NOT your friend. It's not a wonderful "tool" for building wealth. That's a myth.
