Saving And Paying Down Debt

Should I Make Extra Debt Payments Or Save? 

“To many people spend money they haven’t earned, to buy things they don’t want, to impress people they don’t like.” – Will Rogers

When one decides to reduce one’s debt, many times people tend to spend their resources towards debt payments because they think it is the easiest way to become debt free. However, when one utilizes all of one’s resources in order to reduce one’s debt, one will not be able to build one’s cash cushion. It is important to establish a cash cushion to have sufficient resources for unforseen expenses, because one may end up using the credit card that one worked so hard to payoff.

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