Question: some people get into debt by buying things they don’t need and can’t afford. What are the reasons for this behaviour? What action can be taken to prevent people from having this problem?

Generally, people get into debts due to different reasons. It may be to buy something, or some other issues. Most of the people say that, people fall into debts by purchasing things they don’t need and cannot afford. In my opinion, there are some factors, for individuals to behave like that. Certainly, there are two reasons for such behaviour. Primarily, people get influenced by seeing others or by listening to them which increase their desire towards a particular thing. For example, if someone buy a fridge in our neighbourhood, then they will manipulate individuals by saying it’s uses and benefits. Secondly, to maintain the status in society, even though some people cannot afford to a particular thing, yet they will buy it by borrowing money. For instance, some may not need LED tv because they can’t afford to it, however, they will try by all means to purchase it in the end. Understandably, this type of behaviour can be prevented from people by taking some actions. Finally, government can follow necessary methods such as; implementing an Eligibility Criteria to buy expensive things which can be their annual income, or some particular reasons depending on item. One of the Example is that, in case, if government make a rule that only people above 1 lakh income per year are eligible to buy things which are under 30, 000rs, and as a result, they have to wait until their income meets the eligibility criteria which eventually stops people from getting into debts. To conclude, the measures which are mentioned above can be followed to prevent people from having these issues.