Online lending and borrowing services on a Peer to Peer Lending or P2P Lending platform are very helpful for the people of Indonesia, including those not yet reached by banks to improve their financial condition, whether they are in need of emergency funds or venture capital.
In addition to being easy and not complicated, the funds raised are also quickly disbursed. As an illustration, to make it easier, in general, this fintech lending platform is a non-collateral loan container that can be accessed only through smartphones and their guests with very easy requirements, including KTP, NPWP, and salary slip. Without having to wait a long time, the amount of funds submitted will immediately be disbursed in approximately 2 x 24 hours.
When they have decided to apply for an online loan
Automatically the borrower has the responsibility to pay the installments every month until they are paid off. However, unfortunately, many people also underestimate so that there are those who are heavily in debt.
Without thinking to pay off their debts quickly, they decided to make another online loan to a different fintech lending or an activity like this is better known as the hole digging hole cover. This is not the right solution, it will make the debt unresolved.
Before it’s too late, you should stop these harmful activities and start managing debt well. Here are five smart ways that online borrowers or borrowers can practice to avoid digging holes when online loans are in progress.
Make Debt a Priority
When there is an online loan you are applying for, it means that the monthly register records also increase. In addition to having a monthly list of needs that must be met, debt is also part of a very important list.
If debt repayment is prioritized, it will make you more meticulous when managing monthly finances. For example, reducing the budget in certain areas such as traveling or choosing shopping items that are cheaper than usual.
Tip: put the debt on the monthly priority list. This aims to be seen more often and to avoid payment of debt installments that are forgotten.
Apply Life Savings
The thing that is often ignored and underestimated by many people is not being able to implement life-saving. In fact, no longer think long spending money just to fulfill a high lifestyle.
Even though frugality does not make life miserable, it is precisely by implementing a frugal and simple life that makes financial conditions better. It’s okay to fulfill the desire, but remember there are still other needs such as debt that must be paid as the responsibility of the borrower.
Tip: Immediately aware, start not to spend too much money just to hang out in cafes, expensive restaurants or shopping for items that are not actually needed just to fulfill your desires. If there is a need to spend, use the promos to be a very appropriate solution.
Use Credit Cards Wisely
In this day and age, almost everyone has a credit card. Because, many credit cards provide benefits in transactions for users, one of which can shop first and pay installments later.
But, it’s this convenience that makes not a few people dark eyes. They use credit cards to fulfill their high lifestyle by shopping for branded goods without thinking about the installment fees that must be paid every month.
If you do it like that and have other debt installments, it will certainly burden your costs every month. It’s possible that defaults can occur which causes the debt to pile up. For this reason, avoid using credit cards just for consumptive life.
Tips: Consider again if you want to use a credit card, whether the items to be purchased are needed or not. It is better to use a credit card wisely, for example, only for shopping for monthly needs.