It’s not like we all have cash lying around in our bank accounts or stashed at home. Most of us live paycheck to paycheck and can barely afford big purchases. But you work hard; you need to treat yourself for something nice from time to time.
Debit cards and direct withdrawals are ways to make payments we can afford. What if you can’t afford to pay for something all at once? Here are 4 ways to pay for things you cannot afford:
With credit cards, you can make purchases on the spot. It is a great way to pay for products and services that you don’t have enough cash to purchase at the moment.
If you don’t have a credit card, you can apply for one at your bank. Paying using credit cards has the benefit of building a good credit history, which helps in case you are considering applying for a loan in the future.
Remember, just because you paid for it using your credit card does not mean you don’t have a card bill to pay eventually. Be careful not to go on shopping sprees for things you don’t need, and make sure you pay your credit card bills on time.
Paying in Installments
There is always a possibility that you may not be able to obtain a credit card. Maybe you had one before, and you found yourself drowning in debt due to uncontrollable shopping trips. So, no credit card.
Businesses offer the flexibility to buy now, pay later using installments. At check out, you ask to buy now and pay later. The total amount will be divided into 3-4 equal installments.
This will serve you well in big purchases, the kind you will have with products like furniture, electronics, and mobile phones.
Stores offering the shop now, pay later option also gives you the option to delay the payment. Let’s say you don’t have the whole amount now, but you will have it with you later. You can purchase the product or the services, and the payment will be withdrawn later.
Are you the kind of person who likes to pay for things all at once rather than dealing with the payment for months? Then installments and credit cards are not for you.
If you have a specific thing in mind, start saving for it to pay the whole amount in cash. Do some budgeting and determine what unnecessary expenses must go. The amount of money you get from reducing these expenses can go towards your saving goal. You can also allocate an amount from your monthly paycheck to save up for the thing you are eager to buy.
Sell the Stuff You Don’t Need
Most of us have the habit of keeping old things we don’t need, stacking them up, and telling ourselves we may use them later.
If you have such things, e.g., an old sofa, laptop, books, list them online to sell them and use whatever money you get for them to purchase the things you actually want and need.