It is not surprising to find that most of our young adults are in debts˳ From school loans, credit card bills to mortgages for the new car and house˳ Most of the young families in America are finding it harder than ever to live a life without debts˳
Young adults mostly blame it on the rising cost of living, school fees and the easy accessibility of credit cards˳ But did they ever take a closer look or even examine at their spending habit??
Well, the sad truth is that according to the latest US Government report the personal savings rate has plunged to a negative 0˳7 percent in December from negative 0˳2 percent in November˳
The question is: Are we getting financially richer therefore reducing the need to save?
Or are we getting poorer and living hand-to-mouth monthly with no extra money to save?
As the national disposable income did not change much, it means that people are still earning a considerable amount of money – but are still getting into debts and saving less!
If you ask me, spending habit and carefree mentality plays the biggest part in young adults running into debts˳ Young adults today do not have a clue on what budgeting is all about˳ They spend on credit to get a fanciful car or watch, dine in good restaurants and live in big houses all on credit˳
With little knowledge about ‘needs’ and ‘wants’ spending, young adults tend to splash money on ‘wants’ expenditure that left them heavily in debts without them realizing it!
Yes˳ I believe that the ease of getting credit must be questioned˳ But still, the carefree mentality and attitude of young adults spending habit are more problematic and tricky˳ This I feel is an issue that needs to be work on if the nation wants to help young adults from running into debts – a problem almost unseen of 20 years ago˳
Source by https://ezinearticles˳com/?Debt-Consolidation-For-More-Young-Adults—Why-Is-That-So?&id=193280
