Imagine not having to stress every time the phone rings. Also imagine getting up in the morning and realising that you no longer have debt. Indeed, every debt has been paid, and you have enough cash at hand to enjoy a debt-free lifestyle. Is it even possible?

Truth is that you can enjoy a debt-free lifestyle if you develop certain traits. You can also live a debt-free lifestyle if you are willing to make some sacrifices. If your home mortgage is killing every fibre in your body, and your vehicle finance takes the pleasure out of driving your luxury car, then it is time to make a change. You can do so through voluntary sequestration. Our attorneys will explain the process, advantages, disadvantages, pitfalls, and costs related to such.

To get you started on enjoying a debt-free lifestyle, let us look at the traits that are needed. You can develop these traits, and even if you opt for voluntary sequestration, which will help you fast track towards a debt-free lifestyle, you will still benefit from putting the advice below into action after sequestration.

  1. Not Competing with the Neighbours

The pressure to have the same luxuries as your neighbours leads to over spending. You max out your credit and store cards, simply because you also need to have a designer couch, a lush garden, the latest make and model SUV, and trendy clothing. It becomes a culture, and freeing yourself from the pressure to match, or even beat the living standards of neighbours or friends, helps to keep the money in your pocket. You can start to live a debt-free lifestyle that also comes with less stress.

  1. Exercising Self-control

Impulse buying leads to over spending and running up debts. Exercise restraint, even if your kids pressure you for the latest and trendiest technology. Pass on buying things you do not need. Do not buy just because something is on sale. Get something else to do if shopping helps you to feel better after a horrible week at work. Rather go for a walk on the beach, enjoy family board game evenings, or spend time reading. Find something that does not cost money, such as foraging or hiking, but exercise self-control when it comes to buying. Make a habit of it to never buy on the spot. It is amazing how many times you will wake up and be glad that you have not incurred more debt, simply by not buying on the spot.

  1. Set Financial Goals

True, it is hardly possible to save anything when the petrol price keeps going up and salaries are not increasing. But, if you enjoy a debt-free lifestyle, or want to work towards living without debt, you need to set financial goals. Indeed, a debt-free lifestyle goal is already a good start. Keep it as your objective. Every time you are inclined to opt for fast food or dining out, movies in the middle of the week, or an additional holiday per annum, check how it fits in with your goal to live a debt-free lifestyle.

  1. Do Something to Break the Cycle

If you are unable to pay your monthly debts, you are already in serious trouble. If your liabilities far-exceed your assets, and you cannot pay the debt when due, take the responsible step in dealing with the matter. You can wait until the creditors take judgment against you, but it will affect your credit record. Indeed, unpaid judgments can stay on your credit record for as long as 30 years. Instead, speak to experienced insolvency attorneys about voluntary sequestration and how it can help you to get rid of up to 80% of your debt through a single legal process. You will, once sequestrated, be able to live a debt-free lifestyle without having to be concerned about possible creditor harassment or demands.

  1. Start Saving

Once you have been sequestrated, start saving money to buy what you need in cash. Stay financially disciplined, and set long-term financial goals. One goal should be to apply for rehabilitation as soon as possible. Once done, you will have full control over your estate, and be able to fully enjoy the benefits of a debt-free lifestyle.

Call our attorneys to help you start your journey towards a debt-free lifestyle in South Africa.

Disclaimer: This article is for informational purposes only and does not constitute legal advice. Call our attorneys for legal advice, rather than relying on the information herein to make any decisions. The information is relevant to the date of publishing.