Is it Possible to Live Completely Debt-Free?

What if I told you it is possible to live a debt-free life? A life with no mortgage, no loans and no bills!

Sounds crazy right? Well it’s not! While it’s important to build a good credit history over time, it is not necessary to always have debt in your life. Being debt-free is obtainable if managed the right way. Here are some traits of a debt-free individual.

Knowing the Difference between Good Debt and Bad Debt

If your debt is always in the ‘good debt’ category then you are on the road to becoming debt-free. All debt is good debt until it becomes unmanageable. Good debt is any debt you acquire with the ability to pay back for the term of the loan. Purchasing a home on a mortgage or investing in student loans can be examples of good debt only if you will be able to pay back the entire loan during the term. If you see your debt has become unmanageable you may want to reach out to a debt solutions program or debt counseling service to help you get back on your feet.


Organized people keep track of their bills and make sure everything is always paid on time. Knowing when your bills are due and how much you owe each month can eliminate any late fees and help you one day become debt-free (and help you maintain good credit). Consider creating a budget in order to keep track of your finances. A budget will document your spending and will help you remove unnecessary costs. If you are new to budgeting or struggle with it, then you may want to sign up for an online budget tool to help you. A good tool to use to help you get started is Budget Jewel. Budget Jewel is a detailed budget planning tool designed by the credit and debt experts at the Tayne Law Group P.C.


Someone who really wants debt out of their life has the ability to practice self-control. They know what they can and can’t afford. They understand that the 60” flat screen TV can wait if it doesn’t have a spot in their budget. Remember, just because an item doesn’t fit in your budget now, doesn’t mean it never will. Consider setting up an emergency fund or “what if” fund to help you save money. You can also try cutting back on some of the non-essential expenses from your budget. Use this extra money to put into your savings to help you get closer to a debt-free lifestyle. If you save your money, then you will be able to comfortably afford the item later on rather than putting yourself afford the item later on rather than putting yourself in debt over it. While being patient is a hard virtue, it can really keep you out of debt!

Understand Credit Cards

Too many people charge items to their credit cards because they know they won’t be affected until the end of the month. It is important to only charge your credit card if you can pay off the full amount when the bill comes in.  A person who checks their credit card statement and pays their bill in full is financially responsible. Make sure to include your credit card expenses in your budget.  Credit cards can provide great benefits, but it’s important to be responsible and use your cards accordingly.

If you find yourself falling into deep debt with several high-interest credit cards, then you may want to take a step back and reevaluate your spending. Ask yourself, what is your income to expense ratio? If you are spending more than you are earning then you may be digger yourself in a financial hole. Consider speaking to a debt attorney to help you get out of your unhealthy habit before your debt falls into collections and your creditors start to sue you for your missed payments.

Have a Stress-free Attitude

A person who is able to handle their stress has no problem taking care of their car payments. It is important to live within your means and be practical. You don’t need that fancy car or four story home. Try and stay focused on essential expenses and follow your budget. You will find yourself more confident and less worried when your bills roll in at the end of the month. If you practice a good attitude, you are on step closer to living a debt-free life.

To become debt-free you may have to cut some of your non-essential expenses out of your budget. If you are struggling to get debt out of your life, take a step back and practice these traits to help guide you to financial freedom. Before you know it, you will be living a debt-free lifestyle – what could be better? Are you debt-free? What are some other characteristics of debt-free people? Feel free to share your comments below!


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What People Have to Say

I just wanted to thank your entire staff at The Law Offices of Leslie H. Tayne, for helping me get out of debt. If it wasn’t for your firm, I would have never been able to resolve my $13k worth of debt in less than 3 years. Your staff did a great job, I was finally able to buy myself a brand new car without using a cosigner. I can’t tell you again how happy I am. I would recommend your services to anyone.

L.C. Client 2007-2009

I sleep like a baby at night now because of the work that you and your office have done. Rest assured that I will refer anyone I know to your office with conditions that are similarly circumstanced.

R.S. Client 2012-2014

You have been very helpful at first directing me in the right direction when I had no clue how to go about handling everything, I really appreciated all your advice and help and hope we can work something out. Thanks again for all your help and kind words, and patience.

D.M. Client 2009-2012