Your Pecuniary Debt-Free Date For The Most Pragmatic and Important Debts

Your Pecuniary Debt-Free Date For The Most Pragmatic and Important Debts


There are many Americans who don’t understand the seriousness of debt. It is important to understand debt vs. credit, debt buying, and debt to asset ratio to understand debt. Then there is a debt payoff calculator that can assist you with getting out of debt. Among major debt problems are oversized student loans, huge credit card debt, unaffordable home loans, and large car loans.

The most important issue with the main debt issues; is how debts can snowball out of control, and the importance of avoiding predatory debt. Also, too much debt can easily cause a loss of a home or car, which, unfortunately, is common. Unmanageable debt does not have to happen when you understand the principles of bad or too much debt. 


Some debtors confuse debt vs. credit. Debt is the accumulation of things you buy on time with borrowed money. Credit can be a single item purchased with borrowed money over time. 

Recent studies show 70% of Americans are in debt. Some are in excessive debt while others are not. Some are comfortable with excessive debt, while others could never live with it. Why is excessive debt a “bad thing?”

The problems are not only financial, excessive debt can cause terrible emotional stress and double or triple your original balance, due to interest. Therefore, it is necessary to understand how debt affects you and set your debt-free date now.

First, let’s start with the emotional stress. With thoughts of excessive debts, for most people, causes excessive stress. Many of you will agree with that, from past experiences. Getting rid of debt-related stress makes you feel better, and feeling better leads to healthier living. For some, when debt is released, it is like getting a boulder off your back. Debt vs. credit is the same when it comes to stress because none of it is paid back yet. 


Before getting into debt, study your debt to asset ratio, and create a plan A, and plan B for paying back debt. Plan B would be the plan included if you lose your job, get sick, or get divorced. When it comes to car debt, home loan debt, and credit card debt it is easy to calculate a debt to asset ratio. But, when it comes to student loan debt, the debt to asset ratio gets tricky since most students don’t have assets. This is where you use the ability to guess future income, based on the proposed occupation. Some fields are easy to guess and some are hard.

In the case of student loans, the borrower must “error on the side of caution” to keep debts low. If the borrower plans to be a teacher, it does not make sense to borrow more than $15,000. On the other hand, if the borrower plans to be a cyber-security expert, the total could be $30,000.

Keep in mind, those debts have to be paid if a borrower is sick or well. So, the loans should not be more than a prospective first-year salary. And every single effort should be made to pay on time and pay off loans early. A borrower can change their loan amortization on cars, homes, credit cards, and student loans. A change in amortization is how loans are paid off early. 

Understanding Debt Can Get You Out of Debt


There is a debt payoff calculator that is a lifesaver. It can give you guidance to pay off debts, small or large. Another equally serious problem with debt is that it runs on auto-pilot, placing an individual in even more debt. How so, you say? There are two reasons, one is that most of us don’t pay attention to the interest included in our monthly payments. Another is how missed payments affect your balance.

Many borrowers don’t know, interest is compounded monthly. The fact interest charged is compounded monthly, means borrowers pay more for credit than they realize. The goal is to get the debt vs asset ratio under control. Assets should be way over debts for a healthy financial snapshot. 

The longer the period of amortization of a loan, the longer it will take to pay off. Use this mortgage calculator to change a loan amortization table, and pay more to the principal to pay off the loan early. 
It can be used for any loan. 

Why saving money is important and how to use a saving money chart.

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Understanding Loan Amortization Makes Debt Pay-Off Simple


Many companies exist only for the purpose of debt buying. The consumer gets behind in debt payments, gets into collections, and a collections company pays another company to buy the debt. The new company tries to collect on the debt. The debt can be sold over and over. The new debt buying company pays for the debt and adds it to the loan balance. The loan gets larger and larger when the debt is constantly bought and sold. 

Zombie debt is when a small debt is sold over and over and later becomes huge debt. An example is if a $500 debt is ignored, in 20 years when a debtor is making good money, that debt can be as much as $10,000, after the debt is bought and sold without the borrowers’ knowledge. The same can happen when a 75-cent debt can become $2000 to $3000 in several years later. Don’t make zombie debt create havoc in your life. Pay the debts soon. 

To alleviate excessive interest charges the remedy is to, get out of debt quickly. How can you accomplish this without stress? For starters, it will definitely take very serious planning. Pull out your credit card bills. First, look at your monthly payment, then look at the portion that goes to interest only, make an additional monthly payment and designate it to “principle only“. This will help to widdle down your balance significantly since interest will be decreased. That can be done with many bills. Plan ahead, if you come into a windfall, instead of using it for more debt, use it to get out of debt. 


Debt payoff is not easy, and because of that MsFinancialSavvy Calculators has provided debt payoff and credit card payoff calculators. There are also mortgage payoff calculators, which can also be used to pay off student loans faster. 

Say you owe $10,000 on a credit card. Your interest rate is 15%. Use our Minimum Payment Credit Card Calculator to find out what additional payment you will have to pay in order to pay off your $10,000 credit card balance in 1 year, 2 years, 3 years, and 4. Remember, you must stop using your credit card, (unless for dire emergencies), in order to pay it off. This goes for other bills as well.

Our Online Calculators to get you out of debt at Our Sister Site LiveRichCalculators:

Accelerated Debt Payoff Calculator |  Retirement Calculators  |  Mortgage Payoff  | Irregular Payments Budget Calculator

Understand debt vs. credit, debt buying, debt to asset ratio, and debt payoff calculator


In order to understand debt, getting out of debt, and staying debt-free, understand all of the the various issues surrounding debt to stay debt-free or keep low debt. Among the most important issues to understand is how and when to set a debt-free date.

But first, understand what debt vs. credit is, then calculate your debt to asset ratio. Learn how debt buying by collection agencies can ballon a debt balance, and how to use a debt payoff calculator to get out of debt. Take the free Fantastic Finances eCourse to learn more about finances.

Your Pecuniary Debt-Free Date For The Most Pragmatic and Important Debts

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12 Responses

  1. Whitney Stewart

    Financial anything is so confusing to me; it’s makes me wonder why I ever tried to study it in college! Thankfully this post explains it well and have has a lot of really good advise in it. Thank you for sharing this with us!

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