Is America in a recession? Consumers are feeling the pinch. Borrowing in order to spend our way to economic health isn’t an option, say consumer debt management experts at ClearPoint Financial Solutions, Inc. Their advice: Green your lifestyle by spending less and using your tax refund or May stimulus check from Uncle Sam to pay down debt.
Green budgeting is a new concept for a generation of Americans who are used to satisfaction on demand. The problem of climate change has people thinking of ways to reduce their carbon footprint, but consuming less also keeps ‘green’ in your bank account.
“We can’t continue to live on credit cards,” warned Ann Estes, vice president of counseling delivery at ClearPoint. “Food and gas prices are rising, home values are falling, and credit is less available. The time has come for people to make serious lifestyle changes,” she said.
The certified counselors at ClearPoint, one of the largest 501c3 non-profit credit counseling services in the country, are advising their clients to seriously rethink the way they make financial decisions. “We call it ‘greening’ your budget,” said Estes. “For many people, compromise is necessary if they are going to live within their means. For example, with gas prices at record highs, it’s time to organize a carpool,” she said.
In the past five years, consumers have taken on unprecedented levels of debt, but now credit is becoming more expensive and less available. The threat of inflation and already rising costs has people redefining need, and making budget cuts in all aspects of their lives. “A child is just as happy on his birthday with a cake and one new toy as he is with a destination party and 20 pieces of plastic made in China,” she said.