5 signs you are reaching personal recession

gboyinwa ajomale

September 22, 2017 3:03 PM

These are signs you need to watch out for and shows you are getting into a personal credit crunch.

The recent economic recession In Nigeria created a change in lifestyle of most citizens. People really took some drastic measures to manage their finances by cutting down on the excessive living.

Recently, The National Bureau of Statistics stated that Nigeria had gotten out of the worst recession in over 20 years and people are gradually re-adjusting to their old lifestyle. But as our country, Nigeria is getting out of the recession gradually; people are getting into their own personal economic recession.

1. Having no budget

Making a budget cannot be over-emphasised. Having a budget makes it easy to curb and control excessive spending. A budget makes it possible for you to avoid reckless spending but how can you do that if you don’t have when you have no idea of how much you spend.

You should be able to have an idea about how much you spend monthly. Create a strict budget today, to keep track on your expenses.

2. Living on debt

Taking loans is not a bad idea if you are getting a loan for the right reasons, probably going into a business and you need a substantial amount of money to start up.

But if you find yourself always relying on a loan for survival, then you need to really check your finance and also yourself then there is serious problem lurking around the corner.

Nobody really wants to associate with a chronic debtor.

3. Excessive spending

Excessive spending is very common in Nigeria. The social functions and celebrations we do is mostly always too extra. The show off of wealth on social media platforms has made people who can’t afford the luxury lifestyle to keep struggling to keep up with the trend which actually affects a lot of people’s finance. Most Nigerians are slave to society, trying to please everyone around them.

Apart from societal factor, there are people who just have the habit to spend excessively, living them left with little or no money.

If you are an excessive spender, you should really watch it because you are on your way to a personal recession.