Graeme Holm is aware of the debt that a lot of people are in. After doing a lot of research and making a lot of observations, Graeme Holm has come to a conclusion about the nature of debt. He and his company Infinity Group Australia have suggested that people use cash in order to keep from getting into debt. There are a ton of reasons for the suggestions. One article about Infinity Group Australia lists 7 of them. A lot of it has to do with the psychology that often comes with the use of a payment method other than cash, especially credit cards.
When people use credit card, they find it easier to spend more money. There are two ways that spending money is easier with a credit card. For a lot of people, it is very easy to swipe a credit card when it comes to paying for something that is high in price. When paying a large price for something, people find it a lot harder to pay with their own money. For one thing, the item they want takes up a huge percentage of their money. Chances are, they are not going to get paid for a while.
Another way that credit cards make it easier to spend money is that debt carries interest with it. Therefore, people who spend with the use of a credit card are going to be paying even more for a product. With cash, people pay a lot closer to the price of the product. With this being a factor, Infinity Group Australia and Graeme Holm recommend using cash as one of the effective methods of keeping debt to a minimum. Cash is also recommended because it makes tracking finances a bit easier. A lot of people do not realize how much they spend with a credit card.