Some people get into debt by buying things they don’t need and can’t afford. What are the reasons for this behaviour? What action can be taken to prevent people from having this problem?

In recent years more and more
people
are getting into
debt
, the cardinal reason for
this
phenomenon is
people
purchasing stuff
that is
unnecessary or even unaffordable. In
this
,
essay
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I will be discussing the main reasons for
this
habit and what measures could be taken to overcome
this
issue.
To begin
with, many
people
nowadays are facing
debt
due to overspending which is mainly encouraged by advertisements. Advertisements are everywhere in the stress , TV, even in our mobile devices we receive advertisements messages.
Moreover
, following famous
people
and trying to live their luxurious life by buying the latest fashion trend and the most recent tech items will not only lead to bankruptcy but
also
get into
debt
. A recent study that was conducted in the UK showed that almost 60% of
people
who have credit card
debt
is due to buying fancy expensive thighs that they can not afford.
Moreover
, making bad financial decisions plays a major role in many
people
falling into
debt
such
as buying an expensive car or withdrawing retirement funds. All of these things are disastrous financial moves that could lead to a person being in
debt
.
However
, there are many measures that could be taken by individuals and governments to tickle
this
issue.
Firstly
, there should be a clear regulation
that is
followed by banks and financial institutions.
For example
, the credit card
that is
given to the cardholder should be aligned with that individual income.
Furthermore
,
instead
of building more malls and shops that attract
people
to spend more, governments should focus on building more schools or funding the health sector. And
last
but not least one should have the self-discipline to be able to control overspending problems. In conclusion, having
debt
has become a major issue
that is
affecting millions of
people
so in order to overcome
this
problem individuals should have self-discipline and awareness about what is necessary and what is a luxury,
also
governments should make strict rules that should be followed by financial instructions.
Submitted by ph.amal.just on

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