7. Often use of credit cards

Nowadays people have become more addicted towards using credit cards every now and then. Do you rely on your credit cards for all your expenses? If yes then you are putting yourself in trouble as there will be huge debt on you later in future. Try to spend less and avoid buying needless this will help you save more for your future. Cut out extra expenses, for instance eating out regularly, paying for useless mobile services, shopping unnecessarily. Make a budget that allows you to live on a cash-only basis and try to use credit cards at the time of emergencies.

8. Focus more on mortgage than other debts

It might look easy to pay off your mortgage as quickly as possible, but if you have other debt lying with you with higher interest rates, for instance credit card debt, then you need to rethink. For instance if your home loan has an interest rate of only 5 percent, but on other hand if your credit card is 25 percent,  then it is more important to pay off the credit card debt to avoid paying more in interest over the long term. In addition to that your credit card interest is not tax deductible, so you will end up wasting money.

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