4. Ditch the Plastic – Use Cash Instead

Currently reading 10 Tips to Help Manage Your Money

Much has been written about the evils of credit cards and yet, outwardly suggesting to someone that they get rid of theirs is like trying to take candy away from a baby.

There are many times when a credit card is a blessing and even a necessity since many purchases cannot even be made nowadays without one.

However, you must understand the fact that with the ‘perk’ of a credit card come high interest rates, fees and penalties that, in one way or another, end up consuming a huge chunk of your annual income.

If you're responsible enough to manage your spending and repayments efficiently then your credit card won’t do much damage however, for most, it’s the primary cause of financial instability and woes.

If you know that you don’t have the self-discipline needed to handle the responsibilities of having a credit card, you're better off ditching the plastic for the paper.

I'm sure you’ve heard of the many studies that show using plastic leads to more spending then using paper – and it’s true. You’ll be more aware of what you’re buying and how much you’re spending if you have the cash in your hand and you have to count it out at the till – so if you're looking for a way to curb your spending then this is certainly a worthy option.

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