DEBT MANAGEMENT Case Study
DEBT MANAGEMENT & LEASING CASE STUDIES
Case study 1
Situation: Raiyan Mellizas works as a clerk in one of the clothing companies in the Philippines for about seven years. He supports his family and himself through his job. He uses credit cards for additional to pay his essentials and his expenses.
Question1: By the time Raiyan couldn’t control his expenditure using credit cards and he is having a difficulty in paying his debt, what he supposed to do?
Carrying debt can be extremely stressful for anyone. The only way to stop debt from running your life is through debt management. By managing your debts, you can avoid spending more than you earn and maintain some semblance of control over your finances. The key to successful debt management involves understanding where and how you spend your money. If you are like most people, you don’t keep a clear record of your ingoing and outgoing income. This needs to stop.
Debt management is all about knowing exactly where every single penny goes. To develop a successful debt management plan, you need to begin faithfully recording and monitoring your expenses.
The first step toward taking control of your financial situation is to do a realistic assessment of how much money you take in and how much money you spend. Start by listing your income from all sources. Then, list your fixed expenses, those that are the same each month like mortgage payments or rent, car payments, and insurance premiums. Next, list the expenses that vary like groceries, entertainment, and clothing. Writing down all your expenses, even those that seem insignificant, is a helpful way to track your spending patterns, identify necessary expenses, and prioritize the rest. The goal is to make sure you can make ends meet on the basics: housing, food, health care, insurance, and education.
You can find information about budgeting and money management techniques online, at your public library, and in bookstores. Computer software programs can be useful
Case study 1
Situation: Raiyan Mellizas works as a clerk in one of the clothing companies in the Philippines for about seven years. He supports his family and himself through his job. He uses credit cards for additional to pay his essentials and his expenses.
Question1: By the time Raiyan couldn’t control his expenditure using credit cards and he is having a difficulty in paying his debt, what he supposed to do?
Carrying debt can be extremely stressful for anyone. The only way to stop debt from running your life is through debt management. By managing your debts, you can avoid spending more than you earn and maintain some semblance of control over your finances. The key to successful debt management involves understanding where and how you spend your money. If you are like most people, you don’t keep a clear record of your ingoing and outgoing income. This needs to stop.
Debt management is all about knowing exactly where every single penny goes. To develop a successful debt management plan, you need to begin faithfully recording and monitoring your expenses.
The first step toward taking control of your financial situation is to do a realistic assessment of how much money you take in and how much money you spend. Start by listing your income from all sources. Then, list your fixed expenses, those that are the same each month like mortgage payments or rent, car payments, and insurance premiums. Next, list the expenses that vary like groceries, entertainment, and clothing. Writing down all your expenses, even those that seem insignificant, is a helpful way to track your spending patterns, identify necessary expenses, and prioritize the rest. The goal is to make sure you can make ends meet on the basics: housing, food, health care, insurance, and education.
You can find information about budgeting and money management techniques online, at your public library, and in bookstores. Computer software programs can be useful