25 Characteristics Of Debt-Free People




It’s 2 a.m. and there you lie.

The suffocation you feel is unbearable.

Your fears and responsibilities crush against your chest.

Sleep is nowhere to be found.

All you can think about is your mailbox piling up with bills that are overdue.

The creditors call you relentlessly.

Your family is tired of bailing you out.

And the phony debt consolidation company failed to deliver on its promises.

You feel as if you have nowhere to turn.

Your options have run out.

But in the back of your mind, a voice is telling you there is a way.

Other people’s stories of achieving freedom from debt enter your mind.

You can’t help but wonder how they managed to accomplish such a feat.

It’s the hope you have been looking for. Now it’s just a matter of learning what set them apart.



Characteristics Of The Debt-Free


1. They Set Goals + Have A Clear Focus

First and foremost debt eliminators set goals. Without goals, you cannot lay the foundation of your plans. Tracking progress is also simplified by setting goals. If you set a goal to pay off $6.000 worth of debt by July 1st you are able to do the math backward and determine how much money is allocated each month to debt payoff.  Your goal is measurable and will let you know if you are hitting the mark.


2. They Identify Between Needs + Wants

When it comes to paying off debt, debt slayers understand there is a huge difference between wants and needs. Just because your living room may look a lot better with a new sectional and big screen TV doesn’t mean you need it. To become debt-free the only needs you have to address are food, shelter, clothing, and transportation.


3. They Have Open Communication About Finances With Their Partner

People working on the goal of becoming debt-free talk about it with their significant others. This is an important aspect because the journey of debt elimination is not on an easy road. It becomes more difficult if one person in the relationship is a spender while the other is a saver. Lack of communication could sabotage the entire process.


4. They Have Fun While Paying Off Debt

Paying off debt can be daunting and can feel very restricting. However, debt slayers find ways to still enjoy themselves. It could be anything from taking advantage of the free admission days at the zoo to date nights in with a bottle of sparkling juice and a meat and cheese platter.


5. They Pay Attention To Details

To a debt-eliminator, every penny counts. They meticulously track their spending and go over every detail of their bills.


6. They Pretend They Make Less

Debt-free people make a habit of living below their means. One way to ensure this happens is by budgeting your money by subtracting out 10-15% of your income. This trick can help you live on less and save more as it forces you to cut some spending.


7. They Save

Warren Buffet is often known for saying that you should pay yourself first and then pay your bills with whatever you have left over. And this is a technique debt-free people use to their advantage. They build up their savings and investments to get ahead for the future.


8. They Know The Value Of Cash

Debt-free people know that cash is a lot harder to spend because you can physically see it leaving your wallet. They use this to their advantage to keep them on track with spending. They know they are less likely to overspend when they have to hand over their last dollar in their budget on an impulse buy.


9. They Are Countercultural

Debt slayers don’t buy into the cultural saying that ‘debt is normal’. They know and understand that it’s not the tool for getting ahead like most people believe. They realize having no debt is what it actually means to get ahead.


10. They are Confident

Debt eliminators believe so much in their plan to get debt free that they don’t care what anyone else thinks. They will drive their rusty vehicle until the wheels fall off if it means staying on top of debt. They also don’t look at name brands but rather the prices of items because they know what they save will only boost their confidence as they pay more towards their debt.


11. They Make Sacrifices

Debt-free people follow the principle of not sacrificing what they want most for what they want now.Yes, they may want to head to the bar on Friday evening with their coworkers for a drink but they know this will not keep them on track financially so they decline.


12. They Are Disciplined

Debt eliminators understand that in order to reach their desired goals they cannot give in to every impulse they feel. They will pass up ‘good’ deals because they know that if its something they don’t need it really isn’t a good deal.




13. They Are Tenacious

Debt slayers know that in order to win the race they can never give up. They will fight through the setbacks and approach any derailments with creativity and persistence. Debt slayers know their future depends on their ability to stick to the plan.


14. They Change Their Spending Habits

Debt-free people refuse to let their old habits dictate the future quality of their lives. They learn to track and make adjustments to their spending habits. You could learn that you spend an insane amount on chocolate each month by tracking every transaction. Every spending adjustment can mean more money is left to pay down debt.


15. They Don’t Keep Up With The Jones

Debt eliminators don’t even know who the Jones’ are. They are too focused on reaching their goals that they don’t even care if the Jones’ put their house up for sale so they can move to the ‘in’ neighborhood. What matters to those seeking to be debt-free is just that, freedom.


16. They Are Patient

Another attribute debt-free people have is patience. They know and understand that becoming debt-free isn’t going to happen overnight. And they are totally okay with this. These people are willing to put in the required time to reach their ultimate goal.


17. They Ask For Help

Because debt slayers understand that managing money isn’t always common knowledge they don’t hesitate to ask for assistance. They aren’t afraid to inquire about methods others have used to pay down debts or learn best practices from financial mentors.


18. They Know Their Stuff

And because debt-free people aren’t afraid to ask for help they end up knowing their stuff. They utilize the experts in their life by asking questions of their bankers and accountants. They also take the initiative to do their own research online and by reading a lot.


19. They Think Long-Term

Debt-eliminators don’t buy into instant gratification. They understand that to get ahead they must think ahead. Every purchase is planned out and every penny saved is for something in the future.


20. They Say ‘No’

Debt-free people learn the power of saying ‘no’ in order to reach their goals. Even if it means carrying their screaming toddler out of the toy aisle to avoid an extra purchase and to stay on budget they will do this. It may also mean turning down friends and family when they invited out to eat.


21. They Value Experience Over Stuff

Debt slayers understand the burden of stuff. Things require time, energy, and money to maintain. Debt slayers would rather spend time on experiences versus money on things.


22. They Exercise Self-Control

Debt-free people know that the choices they make can keep them on track or hinder their progress. Purchases are often planned in advance and lists are made. And once a purchase list is made debt-free people make every effort to stick to the list to ensure they reach their goals.


23. They Are Not Materialistic

Material possessions aren’t as appealing to debt slayers as the idea of being free. No amount of trendy clothes or fancy vehicles can entice a debt slayer from their goals. They value not owing anyone anything far more than the labels they wear or the cars they drive.


24. They Are Determined

There are fewer more determined people in the world than debt-free people. They are always looking with intensity for ways to stay debt-free. They are continuously on the lookout for coupons, sales, and side hustles to keep them free.


25. They Are Creative

Debt-free people become masters of creativity. They are constantly on the lookout for things that will help them reach their goal of debt elimination quicker. If it means learning how to sew to keep clothes looking their best they will learn the new skill.


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