Why Saying ‘No’ Can Keep You Out of Debt

Are you one of those people who just can’t seem to say no to anything or anyone? If you are you may not realize the impact it is having on your finances, not to mention your health. As parents, it can be particularly demanding to have children involved in recreation activities and organizations that beg for your help. As a single person or married couple without kids, people may often assume since you ‘have nothing better to do” you’ll have plenty of time to volunteer or plenty of money to donate. Guilt may guide you into to doing more or paying more than you really wanted but perfecting the art of saying nope may save you both time and money.

How so, you ask? Well, let me tell you why:

Saying No To Others

Guilt is the driving force behind people’s inability to say no to others. In our lifetime, we will likely be asked to do a number of things we feel obligated to do. While we may always feel obligated, we might also feel uncomfortable doing the things we can’t say no to, especially when it comes to finances.

Have you ever been asked by a friend or family member for a loan? Do you regularly donate more money than you have for your kid’s fundraising efforts? Have you spent money you didn’t have because of peer pressure? Situations like these may seem out of your control but if you begin to practice the art of saying no, it will get easier.

Many people spend more than they can afford because they want to please others and be helpful. However, with the current state of the economy it is becoming more socially acceptable to say no. It has become necessary for people to really take stock of their financial situation, their time management skills, and their stress levels and more often people are finding that no is not a four letter word.

The only way to perfect your ‘no’ is to know when to use it. If you are being pursued to volunteer time or donate money that you just don’t have, be polite but strong in your decline. Let people know you appreciate the opportunity to help but be upfront about the fact you just can’t do it. It can be uncomfortable for awhile and people may at first be put off, but you must respect yourself and take on only what you can handle. Set limits to what you can do with your time and how much you can donate and adhere to these limits. You might be surprised to find yourself back in control of your finances and your time.

Saying No to Yourself
After the debt crisis of the last few years, people have begun to realize the consequences of not being able to say ‘no’ to themselves. Careless buying habits, not creating reasonable budgets, and spending more than they earn are the main causes of the consumer credit issues people are just now beginning to deal with. So many consumers are overwhelmed with debt, filing for bankruptcy, and not being able to make ends meet because they ere unable to say no to themselves.

‘No’ is not a word anyone really wants to hear but it is necessary for people to be able to control their finances. Consumers need to learn how to budget their income and expenses. Living within your means requires that you change your spending habits and learn to say no to yourself. Set savings goals for big purchases and work to establish a savings account. Eliminating debt will also help to build your financial knowledge and confidence that will make saying no even easier as time goes on.

It does take a strong person to fully understand their capabilities. Over-committing yourself financially and personally will no doubt lead to debt, stress, and general unhappiness so make a commitment to lead a more stable, more effective life just by saying ‘no’.