Effective debt management is crucial for financial stability, yet many fall into common traps. By recognizing mistakes such as ignoring debts and underestimating financial literacy, individuals can adopt proactive strategies like budgeting and seeking professional advice to regain control over their finances and enhance their well-being.

Short-term loans can seem like quick financial fixes but often lead to overwhelming debt due to high interest rates and hidden fees. To avoid these pitfalls, individuals should establish budgets, build emergency funds, explore alternative financing options, and maintain financial literacy, empowering them to make informed borrowing decisions.