In most situations debt is best dealt with if you avoid it completely. Going by the incredible numbers of Americans who are in debt it shows that this method is not in use by the masses. With the current credit crisis in full swing there are thousands of Americans trying to climb out of the financial mess that they are in. But, is prevention of debt better than any cure?

In America, the answer to the previous question is of upmost importance, that in response, teh amount of self proclaimed experts from debt management comapanies who offer citizens correct ways to avoid falling into debt is multiplying rapidly, thanks to the easy use of online services. Yet, the results of these solutions are any but satisfactory most of the time. Are they all just selling worthless information? That would be too easy an answer and not at all accurate. The advice and tips are generally sound. What is the problem then?

Most debt management experts and consultants are not out to defraud their clients by offering bogus information and solutions. More importantly, it is vitally important that the customers fully comprehend what is required to stay clear of debt. For example, the experts say that you should "live within your means." It makes sense in a way. You should not live beyond your means by using credit cards excessively and multiplying debt after debt through outrageous spending. If you live within your means, you simply spend what money you bring in each paycheck.

Certainly, linving within your means could mean that you are not saving eneough for that rainy day and it could be possible that you live on a month to month pay basis. There is no financial growth. The chances of going into debt are still quite high when you have no extra cash flow or savings to deal with problems should they arise. Is there a better solution that will help you avoid debt and also provide the extras that will help you in the future?

Here is a question for you: Have you ever thought about living below your means? This is not a new idea; it is no innovative approach. At one time, this financial philosophy was considered a virtue. Have you ever heard of the word frugality? The modern equivalent is unfortunately viewed as a derogatory term in our consumer driven culture. Have you heard of any body being called a cheapskate?

In many ways, it is disappointing that many consumers in America will hold those who live by frugral means with a high disregard. These consumers do not comprehend that this is the best and most true technique to be clear of personal debt because the chance that you could become rich is relatively small. In fact, being a frugal person is a solid founfation to becoming rich. Some of the world's wealthy people made their money by living cheap and simplistic lives, while saving and investing their money.

If you want to live below your means, you must spend less, create a budget to manage your expenditures, and look for ways to bring in additional income each month so that you have a surplus at the end. This surplus will be your protection against debt because it can be used to build savings. If you still don't understand what living below your means requires, you should look at it this way: You may have the money to spend on whatever you want but should you? What happens if this attitude characterizes your regular spending habits? Here is where the problem begins. If you spend all of the extra money you have, it is more likely that you will turn to extra sources like credit cards and loans to get more cash to facilitate your developing lifestyle of living beyond your means.

Learn to live with less and pay attention to where your money goes. If you keep it simple now and live frugally, you will avoid debt and maybe enter retirement earlier than the people around you who are struggling under enormous debt.