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Some people get into debt by buying things they do not need and cannot afford. What are the reasons for this behavior? What action can be taken to prevent people from having this problem?
Nowadays, it is true that we are living in a society based on consuming. As a result, some people have problems in dealing with their budget and get into debt by purchasing things unnecessary and unaffordable. There are various reasons that have caused the situation and there are some actions that people could do to address the problem.One of the main reasons why this kind of behavior is encountered quite often is that applying and obtaining credit cards are easier these days. Hence, people buy most of the goods using the credit card without having a clear idea on how much money they possess or they owe. Another cause for this behavior could be psychological. Advertisements and the subliminal messages one encounters in a regular day in a big city have an enormous impact on one’s consuming habit. He may not need it but he buy it impulsively soon after they watch the advertising.In order to prevent people from adopting this dangerous behavior, measures should be taken immediately. One of them is that there should be a clear regulation about credit cards that must be followed by banks and financial institutions, regarding the procedure of issuing credit cards to their consumers. It must be ensured that the credit limit that is given to credit card holders is aligned with the individual’s income. Also, one must learn how to manage his budget in order to get a balance between necessity and pleasure. Keeping a record on income and monthly spending would be very helpful and would give to him an overall image on how his budget should be spent.In conclusion, some of the factors that trigger the problem are due to the effect of social media, the easier procedure in obtaining credit cards. And to solve the issue, the government should make a better regulation about credit card usage and individuals should manage their budget appropriately.
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