One time belonging to the baby boomers, the group that now makes up the largest segment of the United States population, is the Millennials, or Generation Y. These individuals—defined as being between the ages of 19 and 34—have different financial concerns than previous generations. According to a recent analysis conducted by Experian, they are the least credit savvy. To improve their financial position and possibly avoid having to file for bankruptcy, there are several things that members of this generation can do.
The first is to create a budget and stick to it. While it may be tempting to take a summer off to travel around Europe, doing so without first saving money is not a good idea.
Second, come to terms with having student loan debt. While you may graduate from college with a high level of debt, remind yourself that by spending that money to go to school you are investing in yourself and your future.
Next, if you purchase a car, opt for a basic, less expensive vehicle. There will be plenty of time for a more luxurious vehicle later in life when your are more financially settled.
Understand that credit is important. Learning the difference between credit and debt and how to use credit wisely is an important step toward building good credit and ultimately achieving financial success. Along those same lines, paying attention to your credit report will help you know where you are with your credit.
It is fair to say that no one wants to have to file for bankruptcy. However, there are multiple situations in which things happen and it is the best option for dealing with financial difficulty. Because this process can be scary and complicated, the sooner one contacts a lawyer for assistance, the better.