Even if there is no money, it is better not to take out a loan


We live in a time when more and more people find it difficult to keep pace with rising inflation and falling wages. A lot of citizens, especially in Germany, are now faced with the situation that “at the end of the money there is still a large amount left of the month” and that the opposite is not the case – as it should be.

The exact reasons for this development

The exact reasons for this development

Are very difficult to explain in just a few words because they are extremely broad and multi-layered, but it is certain that globalization and the ever-increasing “power of capital” take their toll. For example, all major stock corporations have made it their primary goal to make shareholders, i.e. company owners, permanently happy by increasing corporate profits and to provide them with high returns.

If, as is usually the case, only by moving the location to countries with lower salary costs, then that’s the way it is. In this case, it is not a person who is to blame, but the system itself. All too often, however, the “little citizens” are suffering. Be that as it may, the fact is that for many people the financial problems have increased over the past few years and it is often not even possible to make major purchases in the long-awaited family vacation or save savings contracts.

The last point, in particular, represents an enormous dilemma for many people, because on the one hand, politics keep telling you that you should provide for your own pension, for example, on the other hand, All too often life gives you the opportunity.

If the account is once again threateningly approaching the zero limit


Or even the overdraft facility has been used, the way to a loan for many is the easiest solution to effectively address these problems. It is also made too easy for one: All credit institutions massively advertise their credit products and promise that life will be much easier again by taking out such a loan.

One thing is clear, however cheap the loan is, it is never a free gift. Without exception, every credit institution also wants to earn and therefore every loan, including interest, has to be repaid at some point – but often at a point in time when the loan amount has long been spent.

So there is always the risk that the seduction is so high that people can take out a loan but actually cannot pay it at all. There is basically nothing to be said against the product “credit” at all, you should not misunderstand that, but it is important that you use credit only with great care.

Before taking out a loan, for example, you should always clarify whether you are financially able to meet the obligations from this loan permanently. If this is not the case, you should rather live without the loan and simply not afford one or the other purchase.