I got out of debt one month before my 40th birtday. I'm now 56. I can tell you it never gets old being out of debt. I think about it all the time and am filled with gratitude. After ]paying off my debt, my net worth was basically the value of the house, as I used all savings to achieve it. So basically my net worth was 140,000. I swore I would never borrow again and instead I would invest in the market consistently and automatically. 16 years later, I'm just shy of a 2 million net worth. Again, not bragging. Just hugely grateful!
I’ve been debt free since at least 2010. I refuse to borrow anything. I went years where I put a wad of cash in my wallet at the beginning of the week, and would only spend that. And I only used the credit card to buy gas. Now I’ve lightened up and regularly use the credit card. But I always pay off the balance during the month. I paid cash for my most recent vehicle purchase.
Becoming a minimalist made a huge difference for me. I culled and gave away what I really didn't use/need and learned to really really really appreciate what I already own.
I was born a minimalist. Truly, I hate junk, I hate excessive. It's such a freeing way to exist. Oddly, I'm an independent housekeeper of 20 years. Let me tell ya America's got junk and a lot of it. The unessessary garbage people buy and hang onto boggles me However it gave me a job and a means of support😊
I walked the steps by Dave Ramsey long before I knew him - somehow it seemed the most logical way of doing it. Debt extracts so much value, it’s unbelievable. I’m now at step seven and working to create a passive income stream from investments that will cover most of my fixed costs. Many people criticise and mock Ramsey as “outdated” however common sense is never outdated. It worked for millions of people so I don’t care about the critics.
There is no feeling like going to work knowing if you got laid off, you are not a slave to car notes, mortgages, student loans and credit cards. You are at Unicorn status of life when you are without obligations -- to any form of loans out here. To me, being debt free to those things i mentioned, allows to enjoy walking through life instead of running through it. You can enjoy pure time that is an obligation to yourself instead of someone else.
I'm so glad you said increase your income. If that wasn't in this video i was going to blast off! You have to increase your income in all of this. You can't be lazy.
I started following Dave Ramsey in 2014. I have paid off over $154k in student loan debt, have a hefty emergency fund and have money in a high yield savings account. I do still have debit but I feel so free with having an emergency fund in cash and money in savings. I would be totally out of debt but my husband still hasn’t gotten on board with saving and not spending.
What you said at the 2:30 mark is right on- you have to WANT to be debt free. You have to make it a priority every day. I made this decision back in 2020. I bought a car and my goal was to pay off by 12/31/21. I met that goal. We our currently working on our last debt, our mortgage which will be paid of May 2024. We are making 4 payments per month and we are able to do that because we have no other debt.
You know, your honesty about not achieving your goal and not giving up is so helpful. It is such a blessing to have the flexibility to adjust a goal date. Eventually you will achieve it.
Rob - Excellent video. As a boomer I remember what my father told me after I bought a Schwinn Sting Ray bicycle witth the banana seat with my paper route savings. He congratulated me and said that I earned it but remember one thing "nothing is a good deal if you cant afford it" (I bought on sale). His defination of affording something is still having savings in the bank and paying cash for what you buy. I never forgot that wisdom my father passed on. Retired at 60 with no debt. Unfortunately too much tempatation to buy too much "stuff". Like you also have one car and do just fine. Keep cars for 10-15 years and take good care of them is a fantastic way to control/get out of debt. Keep doing what you are doing - helping a lot of folks out there!!!😊
This was just suggested to me by good ol' TH-cam, and I must say that I love how you calmly share the message...not yelling or judging people. Thank you
the best thing I ever did was follow a budget. It allowed me to see where all of my money was going and then the left over money after bills could be redirected towards savings, investments, debt etc. It took a good 3 to 4 months to have a solid foundation of a budget for me, but now about 10 years later I am rolling and things are running smoothly. You MUST know where every dollar you earn goes.
We love Ramsey and his team! We followed the baby steps to get out of debt and build wealth. On average people who follow the baby steps can get out of debt and reach baby step millionaire in less than a decade.
Thank you for this video. I follow Dave Ramsey and we are about to move from our large house to a smaller place. We want to be out of debt and our goal is to do it within 3 years and 10 months. The funny thing about making such a decision is I feel God has opened so many doors for us because we are willing to let go of what we do not deserve at this moment, which is this big beautiful house. I also want to start a TH-cam channel like you. I appreciate sharing your journey and helping others. Sending you blessings.
Why don’t you deserve a nice house? If it is because it’s out of your budget, I get that. But, if it is you thinking you are not good enough, you need to think better of yourself!
This is an interesting comment...how people prioritize and justify their spending is revealing on many levels...and what you choose to deny yourself, especially if it is something you could afford, is an opaque window into your psyche.
People have to SEE the problem before they can want to get out of debt. There is a shopping/spending addiction going on that has to be addressed. I have had $23k in debt ( with minimal overhead expenses) and I was in full denial. I got counseling for it. I had to take a look at why I didn't want to be debt free..it was a black cloud over me. It was shame disguised as debt. It is also a punitive parent substitute. My parents could no longer nag and hassle me with their authority, but creditors and legal situations had the same punch. I just switched the appearance of my parents. I had to be under their thumb and had to stay in their good graces. Those days are almost over..
I became debt free last year and it's the best feeling ever. I avoided students loans and I think that's the best decision I've made in my life. Seems a large amount of people's debt comes from student loans. Now I'm working on saving for a house, that is if I decide to buy one. Still debating on whether it's worth it.
This was actually helpful I appreciate the specific steps . Most experts and I saw that loosely just want you to sign up with them and never give any info or how to’s
I did this Dave Ramsey course back in the early 90's and got out of debt and stayed out for many years! Today, I'm back in debt due my business, which is a little different... but I want to get out of That, as well. I Hate debt, but they say without debt, we have no economy.
This was so helpful Rob! It gave me hope haha. You explained everything perfectly and in a way that didn't sound overwhelming.Thanks for making this video!
Thankfully I was never in an unmanageable amount of debt. We were able to use the stimulus checks to pay off all debt (except mortgage). The feeling of being debt free is awesome
We're in a good spot. We haven't taken on any new debts and we are are close to 4 months in an emergency fund. I've also started funding a sinking fund for big purchases like cars.
Rob, a few years ago I did just what you're talking about I was so sick of all the credit cards that's how they were draining. I did start with my biggest one that had 22% interest. And took the extra money that I had when I paid it off to pay off the next bill and it went so much faster than I had imagined. Now I'm taking that extra money and puting into a Roth ;)
A million thanks for this video. I now have a clear idea of how to sort out my debts and have a solid plan to get rid of it in no time. This feels challenging, but absolutely achievable. Thank you Rob! You are the best. ⭐🙌🏻
Rob has a lot of great advice here. I think the most important is the first step of understanding the details of your situation and track progress monthly.
I'm still paying off my college debt 10 years later. From 30k to 3k.... now is the hardest since my bills are higher than ever before due to inflation and raised rent and less hours of pay.
Hang in there man, so close! But also if things are that bad you might need to find a cheaper place to live and also a job that gives you full time hours with adult pay. You know the cost of groceries and gas isn’t the real problem brotha 🖤 (even if it sucks)
Stay the course you're almost there. I have 3,500 left to pay on 23,000 truck. I have that in savings fs but it's all I have so I gotta just keep plugging away at it. We'll get there
If you are sick and tired of being in debt and got to a place where you are really disciplined with your budgeting either because of necessity or practice you might want to look into velocity banking. It’s not for everyone but those who are ready to really hunker down it might be a good option
Avoid taking on student loan debt, either for yourself or for your children. So many of my peers, flush with pride that Junior got into a good college, are signing away their financial stability and retirement right now. The interest payments can be crushing. Look at some alternate routes to a college degree, such as doing two years at community college and transferring to a state university. Private schools with large endowments might actually give better financial aid than public schools, so comparison shop carefully, considering the value and not just the prestige of the degree. Also -- tough love here -- some 18-year-olds are not mature enough for college, and a year or two of CC or work before going off to school will help ensure you get value for your tuition, rather than squandering your retirement savings on keg parties and incompletes. Also question whether a tuition-based Master's degree is a good investment, or just a source of oppressive debt.
Jennifer. If someone would have told me or explained to me the amount of students loans that I would have to pay back.................I WOULD NEVER EVER WOULD GONE TO COLLEGE.........................
I agree! I tell people this all the time.I don't understand how all these people think its ok to take on so much debt.It's so normalized.They push 4 year schools in high school and really don't give a lot of options to the students.This was how it was at my daughters school.
Yeah, it's usually very shocking to me how much I hear people have in student loan...its just too sad that yound people are trained to start off their life with so much debt. However, depending on how the Masters degree is planned, I beleive that in many cases, it's helpful-but has to be very well planned
financial aid depts at schools prey on kids to take out huge loans they dont understand. happened to me. it sucks. cant buy a house at that age but u can get a loan for the same amount for school. make that make sense 🤦🏼♀️
I've always had a £500 car. I've never had a streaming service or purchased any nice things. Sold anything good on ebay. It's living hand to mouth waiting for a pay cheque that makes it hard. Interest racks up!
Sold our home and went into a 1960's bungalow. We cut up all our credit cards over 10 yrs ago. We have one Visa and it's off the line of credit of our home so 3% plus prime instead of 19 % or higher. Sold our 2nd car so we plan everything on a calender for usage . If we don't have cash for it then it doesn't get purchased. I feel sorry for my friends. They all have $500,000 + homes, 2 new vehicles, Quads, campers, sea do's, ski doos, cottages and they will never see it paid off.
Thank you. I'm learning. New with these credit cards. By choices, but I need to bring these cards down to zero! No longer uses them and paying them off SLOWLY!!!
Thank you for such a great video! You have a calming presence which really helps the anxious nerves as I'm going through tabs of spreadsheets, statements, and TH-cam videos about debt. This has been my favourite!
In one of his books Robert Kiyosaki had a system for getting out of debt also. Similar to yours. He said start by finding $120 extra a month, use that to pay down your smallest debt first, then snowball (like your method) into other debts--every time you pay something off add that payment to the amount you are paying to the next debt. He said by this method in about 4 years you can pay off all your debts. He said some other things about it too, very interesting. I'm not even sure which book it was, I've read several of the Rich Dad series of books. Hope this helps someone God bless. His books are worth reading, don't remember which one it was though.
120 a month is 4 a day. i like that idea, could be cut out the daily coffee, or start a sideline and make a profit of 4 a day. or look at all expenses and try to cut the total by 120/month. a lot of food for thought there. thanks.
I am working on 4% monthly interest rate now. whenever it will finish, I will go with Ramsey rule but right now I must pay off this monster. whatever you say on credit cards, I consider it as a gateway of hell. I have already closed two. Still three to go. within this month one will go. next month another one and in December the last one.
I so appreciate your great tips but with a gentle manner, I think it’s important with the guilt attached to money issues. Feeling self compassion is vital for me to feel I can tackle it, otherwise I get stuck in a cycle of feeling bad about my spending, putting my head in the sand and making the same mistakes again.
I don’t know how taxation works in the US but in Australia you are charged a 45% tax rate on a second job so it’s never worth it unless your job can have some sort of massive tax deductibles which is highly unlikely because companies have better tax breaks than any sole trader or partnership businesses ( if it was your own business). If you’re working for someone you have that ridiculous tax rate.
Somewhat I did that, great advice, it works: sold my motorcycle, moved out to a smaller place so lower bills (it takes less to heat and cool our house now), the new place is out of a gated community so no more mantainance fee, changed one of the cars to a hybrid so less gas (looking forward to do the same with my wife's car), cheaper vacations, installed solar panels so no more gas bill and little to none electricity bill, cooked more, no more monday through thursday dine outs, no more gym membership but bought a cardio machine and dumbells and walked more my dog :) (I already recover the investment vs gym), I took a nigth school job as a teacher (pays for the monthly gas of a hybrid car, and 2 weeks grocery)... no more debt and we live a confortable life.
Other things you can do it cut out unnecessary entertainment and leisure expenses. For example going out to socialize, concerts, movies and dinners. Do them on a budget or only if it is necessary. You be amazed how much you will save just by not going out to socialize on a daily or weekly basis. Just saving 20 on tips from eating out 4 to 6 times a month which is 80 to 120 just in tipping makes a difference.
Your minimum payments are set. You can't not pay any. They simply all have to be paid at the set amount regardless of loan size, credit car or interest. I've never missed a payment!,
I am thankful that I've never experienced this so far in my life. I am grateful to God that I didn't have student loans from BSc-MSc-PhD, as I received full scholarships at all three levels with additional funding and support from research grants and other opportunities. I've always been a saver, so that makes it easier. I feel for folks who are in debt and hope you all can turn it around. ❤
Thank so much for sharing this video, this was perfect timing because I just came across it. This very is very knowledgeable and very interesting of the breakdown to become debt free which I'm thriving for .
Excellent presentation I totally agree with you , working on lowering the interest has really worked on me for a long time . Thank you for those excellent inputs.
I tried to do a zero balance transfer. No one wanted to play ball with me for more than a few thousand. My Fico score was in the low 700s. My credit union would not consider a loan because I had too much debt at $15k. I got it under $10k. I was able to turn revolving cc debt into a straight loan at 10% not 15%. The debt could only go down, not up with revolving debt.
My #1 move to get out of debt was getting divorced. 7 years later I have $0 debt , saved in my $160K in my 401K(s), saved 5 months of salary for emergencies, and have an additional 60K saved for a down payment.
Thank you for sharing. Still on step 2. Geeze. I'm still afloat. My only car for work died (I'm required to drive). Garage & plant sale this spring will pay that replacement off.
Thank you for this video, very clearly explained and step by step. Question: I have a credit card debt of $3,000 and I got a new credit card with a balance transfer 0% apr for $1,000. do you think is worthy to take it and pay this to my cc debt? thanks for your response.
You CAN get out of debt even on a low income. One strategy that has helped me is every time you get paid, take minimum 10% and move it to savings which will be used to pay down debts. You start to see how easy 10% is and then on many pay periods you will be able to do maybe 20%. When you get out of debt, continue to take that same 10-20+% and put in savings which is there for you in the future.
The refect card!! What the heck! I Never heard of this. Thank you! WF reflect card, 21 mo no interest. I can bring my wf platinum card 4500. Its 10,000 now. Then after that savings, transfer it to my low interest credit union. Cefcu. Thank You!!! My current platinum is 27% int. Yikes
If you transfer a balance does the card you’re transferring from care? Like will they close your account or lower your limit? I have a card I’m considering doing this with it comes with a nice savings account account so I don’t wanna lose that.
Thanks, Rob. My question is, in mid fifties, do we add a bit more to our mortgage payment (interest rate is 4% 5% ish and if we did nothing but pay the minimum we could pay it off in five years), or do we add that to our 401ks, which are over full match contribution but aren’t at maximum for the year - and we are behind in the size of our nest egg due to about fifteen lean years.
I got out of debt one month before my 40th birtday. I'm now 56. I can tell you it never gets old being out of debt. I think about it all the time and am filled with gratitude. After ]paying off my debt, my net worth was basically the value of the house, as I used all savings to achieve it. So basically my net worth was 140,000. I swore I would never borrow again and instead I would invest in the market consistently and automatically. 16 years later, I'm just shy of a 2 million net worth. Again, not bragging. Just hugely grateful!
Wow! Incredible! How did you invest and what did you invest in to become a millionaire?
@@FaithfullNess I invested everything in VTSAX!
That’s incredible and inspiring ❤
It took me 5 years to pay off 40,000, and now I am debt free house and car is paid off and no credit card debt, fico score 842 , and it feels good
Congrats!
@ToOpen6seven thank you, I was determined, to be debt free,except for utilities and insurance, and maintaining, my house 🏠
Congratulations.
Huge congrats! How did you do it?
Determination, cur back on eating out,and buying clothes, and only going on one vacation a year
I listen to DR and got out of debt and paid off my mortgage in 2022. I was 37 years old working in public safety.
I’ve been debt free since at least 2010. I refuse to borrow anything. I went years where I put a wad of cash in my wallet at the beginning of the week, and would only spend that. And I only used the credit card to buy gas. Now I’ve lightened up and regularly use the credit card. But I always pay off the balance during the month. I paid cash for my most recent vehicle purchase.
You should have borrowed when interest rates were at 1%.
@@marcoprolo7318 missing the point.
Goals 🙌🙌
I do the same thing and people think I’m nuts, they don’t understand why I don’t use a credit card or apple pay
Becoming a minimalist made a huge difference for me. I culled and gave away what I really didn't use/need and learned to really really really appreciate what I already own.
Absolutely. I also did that it has helped in so many ways. Best thing I ever did!
I was born a minimalist. Truly, I hate junk, I hate excessive.
It's such a freeing way to exist. Oddly, I'm an independent housekeeper of 20 years. Let me tell ya America's got junk and a lot of it.
The unessessary garbage people buy and hang onto boggles me
However it gave me a job and a means of support😊
That's my goal for 2025. Problem is, my spouse is emotionally attached to everything, including junk.
I walked the steps by Dave Ramsey long before I knew him - somehow it seemed the most logical way of doing it. Debt extracts so much value, it’s unbelievable. I’m now at step seven and working to create a passive income stream from investments that will cover most of my fixed costs. Many people criticise and mock Ramsey as “outdated” however common sense is never outdated. It worked for millions of people so I don’t care about the critics.
ramsey shcmamsey. Making money off of people already in debt. I don't like him at all. He's like an ambulance chaser of people in debt.
There is no feeling like going to work knowing if you got laid off, you are not a slave to car notes, mortgages, student loans and credit cards. You are at Unicorn status of life when you are without obligations -- to any form of loans out here.
To me, being debt free to those things i mentioned, allows to enjoy walking through life instead of running through it. You can enjoy pure time that is an obligation to yourself instead of someone else.
Got mine paid off except the mortgage this year. About $85k in 3.5 years.
Totally worth it. Will start chipping at the mortgage here soon too.
Take home pay?
I'm so glad you said increase your income. If that wasn't in this video i was going to blast off! You have to increase your income in all of this. You can't be lazy.
I started following Dave Ramsey in 2014. I have paid off over $154k in student loan debt, have a hefty emergency fund and have money in a high yield savings account. I do still have debit but I feel so free with having an emergency fund in cash and money in savings. I would be totally out of debt but my husband still hasn’t gotten on board with saving and not spending.
What you said at the 2:30 mark is right on- you have to WANT to be debt free. You have to make it a priority every day. I made this decision back in 2020. I bought a car and my goal was to pay off by 12/31/21. I met that goal. We our currently working on our last debt, our mortgage which will be paid of May 2024. We are making 4 payments per month and we are able to do that because we have no other debt.
You know, your honesty about not achieving your goal and not giving up is so helpful. It is such a blessing to have the flexibility to adjust a goal date. Eventually you will achieve it.
Rob - Excellent video. As a boomer I remember what my father told me after I bought a Schwinn Sting Ray bicycle witth the banana seat with my paper route savings. He congratulated me and said that I earned it but remember one thing "nothing is a good deal if you cant afford it" (I bought on sale). His defination of affording something is still having savings in the bank and paying cash for what you buy. I never forgot that wisdom my father passed on. Retired at 60 with no debt. Unfortunately too much tempatation to buy too much "stuff". Like you also have one car and do just fine. Keep cars for 10-15 years and take good care of them is a fantastic way to control/get out of debt. Keep doing what you are doing - helping a lot of folks out there!!!😊
I just wrote your father's quote down on a piece of paper and put it on my fridge, to keep me balanced. This is a great advice. Thank you.
This was just suggested to me by good ol' TH-cam, and I must say that I love how you calmly share the message...not yelling or judging people. Thank you
the best thing I ever did was follow a budget. It allowed me to see where all of my money was going and then the left over money after bills could be redirected towards savings, investments, debt etc. It took a good 3 to 4 months to have a solid foundation of a budget for me, but now about 10 years later I am rolling and things are running smoothly. You MUST know where every dollar you earn goes.
I also don't listen to Dave Ramsey much, but listening to him several years ago was the "kick in the pants" I needed.
We love Ramsey and his team! We followed the baby steps to get out of debt and build wealth. On average people who follow the baby steps can get out of debt and reach baby step millionaire in less than a decade.
Thank you for this video. I follow Dave Ramsey and we are about to move from our large house to a smaller place. We want to be out of debt and our goal is to do it within 3 years and 10 months. The funny thing about making such a decision is I feel God has opened so many doors for us because we are willing to let go of what we do not deserve at this moment, which is this big beautiful house. I also want to start a TH-cam channel like you. I appreciate sharing your journey and helping others. Sending you blessings.
Cutting spending with maximum living style.
What a wonderful comment. Us to God opened doors for us to live comfortably but humbly and we're grateful every day. Sometimes hourly.❤️
Why don’t you deserve a nice house? If it is because it’s out of your budget, I get that. But, if it is you thinking you are not good enough, you need to think better of yourself!
This is an interesting comment...how people prioritize and justify their spending is revealing on many levels...and what you choose to deny yourself, especially if it is something you could afford, is an opaque window into your psyche.
People have to SEE the problem before they can want to get out of debt. There is a shopping/spending addiction going on that has to be addressed. I have had $23k in debt ( with minimal overhead expenses) and I was in full denial.
I got counseling for it. I had to take a look at why I didn't want to be debt free..it was a black cloud over me. It was shame disguised as debt. It is also a punitive parent substitute. My parents could no longer nag and hassle me with their authority, but creditors and legal situations had the same punch. I just switched the appearance of my parents. I had to be under their thumb and had to stay in their good graces. Those days are almost over..
I became debt free last year and it's the best feeling ever. I avoided students loans and I think that's the best decision I've made in my life. Seems a large amount of people's debt comes from student loans. Now I'm working on saving for a house, that is if I decide to buy one. Still debating on whether it's worth it.
Paid off all consumer debt in 2014 but went all in on rental houses. Retired early years ago. Not all debt is bad.
This was actually helpful I appreciate the specific steps . Most experts and I saw that loosely just want you to sign up with them and never give any info or how to’s
Good advice throughout....
I did this Dave Ramsey course back in the early 90's and got out of debt and stayed out for many years! Today, I'm back in debt due my business, which is a little different... but I want to get out of That, as well. I Hate debt, but they say without debt, we have no economy.
I only have around $1800 in debt, if these steps would save you they can sure help me.
This was so helpful Rob! It gave me hope haha. You explained everything perfectly and in a way that didn't sound overwhelming.Thanks for making this video!
Payed off little over 300,000 in 4 years. Grinding hard everyday! And never stopped learning
Thank you for your wise tips! I agree that paying higher interest rate debt first makes better sense.
Thank you! This is an extremely simple guide to follow.
Thankfully I was never in an unmanageable amount of debt. We were able to use the stimulus checks to pay off all debt (except mortgage). The feeling of being debt free is awesome
Until you get into debt again !! Ha once you pay it off you feel rich again ! And that’s the problem you get back into debt quickly enough
We're in a good spot. We haven't taken on any new debts and we are are close to 4 months in an emergency fund. I've also started funding a sinking fund for big purchases like cars.
@@sd0753 congrats bro, don't listen to negative people. You're in good spot, keep that positive you gonna go far.
@@sd0753 I need to pay 500 dollar debt
@@iamasmurf1122 control your self
Rob, a few years ago I did just what you're talking about I was so sick of all the credit cards that's how they were draining. I did start with my biggest one that had 22% interest. And took the extra money that I had when I paid it off to pay off the next bill and it went so much faster than I had imagined. Now I'm taking that extra money and puting into a Roth ;)
Smart
A million thanks for this video. I now have a clear idea of how to sort out my debts and have a solid plan to get rid of it in no time. This feels challenging, but absolutely achievable. Thank you Rob! You are the best. ⭐🙌🏻
Rob has a lot of great advice here. I think the most important is the first step of understanding the details of your situation and track progress monthly.
Excellent video! Thank you and congratulations!
I'm still paying off my college debt 10 years later. From 30k to 3k.... now is the hardest since my bills are higher than ever before due to inflation and raised rent and less hours of pay.
Hang in there...soon you will pay It off....
Hang in there man, so close! But also if things are that bad you might need to find a cheaper place to live and also a job that gives you full time hours with adult pay. You know the cost of groceries and gas isn’t the real problem brotha 🖤 (even if it sucks)
Stay the course you're almost there.
I have 3,500 left to pay on 23,000 truck. I have that in savings fs but it's all I have so I gotta just keep plugging away at it.
We'll get there
You can do it!
Me too. I have a lot of debts too including car loan with high interest and credit card debt 😢😢😢
This was by far, the most helpful video on this topic that I've watched. Thank you!
Thank you for your vulnerability & sharing. It was practical & left me better 🙋🏻♀️
I enjoy your calm presentation.
Great video😊
If you were truly broke you wouldn't have anything in your savings or checking account. If you've got 100k debt and low income it's seriously hard.
If you are sick and tired of being in debt and got to a place where you are really disciplined with your budgeting either because of necessity or practice you might want to look into velocity banking. It’s not for everyone but those who are ready to really hunker down it might be a good option
Avoid taking on student loan debt, either for yourself or for your children. So many of my peers, flush with pride that Junior got into a good college, are signing away their financial stability and retirement right now. The interest payments can be crushing. Look at some alternate routes to a college degree, such as doing two years at community college and transferring to a state university. Private schools with large endowments might actually give better financial aid than public schools, so comparison shop carefully, considering the value and not just the prestige of the degree. Also -- tough love here -- some 18-year-olds are not mature enough for college, and a year or two of CC or work before going off to school will help ensure you get value for your tuition, rather than squandering your retirement savings on keg parties and incompletes.
Also question whether a tuition-based Master's degree is a good investment, or just a source of oppressive debt.
Jennifer. If someone would have told me or explained to me the amount of students loans that I would have to pay back.................I WOULD NEVER EVER WOULD GONE TO COLLEGE.........................
I agree! I tell people this all the time.I don't understand how all these people think its ok to take on so much debt.It's so normalized.They push 4 year schools in high school and really don't give a lot of options to the students.This was how it was at my daughters school.
Banks/credit card companies prey on teens
Yeah, it's usually very shocking to me how much I hear people have in student loan...its just too sad that yound people are trained to start off their life with so much debt.
However, depending on how the Masters degree is planned, I beleive that in many cases, it's helpful-but has to be very well planned
financial aid depts at schools prey on kids to take out huge loans they dont understand. happened to me. it sucks. cant buy a house at that age but u can get a loan for the same amount for school. make that make sense 🤦🏼♀️
This is the most realistic way/advice I've seen. And very doable. Thank you
Awesome advice, solid! Thanks 🙏
Thanks- im in a big pickle!!! Your advice & the way you said it was very helpful & motivating!!!
I've always had a £500 car. I've never had a streaming service or purchased any nice things. Sold anything good on ebay. It's living hand to mouth waiting for a pay cheque that makes it hard. Interest racks up!
I'm working this plan. Thank you. Working more going forward. I'm blessed
Excellent advice very good steps.
God paid my debts!
Amen 🙏🏽 Jesus Christ is real!! Thank you for giving a shout out to our Lord! God provides and fights our battles! Very important to learn our lessons!
Sold our home and went into a 1960's bungalow. We cut up all our credit cards over 10 yrs ago. We have one Visa and it's off the line of credit of our home so 3% plus prime instead of 19 % or higher. Sold our 2nd car so we plan everything on a calender for usage . If we don't have cash for it then it doesn't get purchased. I feel sorry for my friends. They all have $500,000 + homes, 2 new vehicles, Quads, campers, sea do's, ski doos, cottages and they will never see it paid off.
amazing Calculator. Tnks so much!!!
Thank you. I'm learning. New with these credit cards. By choices, but I need to bring these cards down to zero! No longer uses them and paying them off SLOWLY!!!
Thank you for your kind and sensible advice!
I listen to dave ramsey and think he does a great job. I like you too. thanks
Thank you for such a great video! You have a calming presence which really helps the anxious nerves as I'm going through tabs of spreadsheets, statements, and TH-cam videos about debt. This has been my favourite!
Thank You!
In one of his books Robert Kiyosaki had a system for getting out of debt also. Similar to yours. He said start by finding $120 extra a month, use that to pay down your smallest debt first, then snowball (like your method) into other debts--every time you pay something off add that payment to the amount you are paying to the next debt. He said by this method in about 4 years you can pay off all your debts. He said some other things about it too, very interesting. I'm not even sure which book it was, I've read several of the Rich Dad series of books. Hope this helps someone God bless. His books are worth reading, don't remember which one it was though.
120 a month is 4 a day. i like that idea, could be cut out the daily coffee, or start a sideline and make a profit of 4 a day. or look at all expenses and try to cut the total by 120/month. a lot of food for thought there. thanks.
Thank you for making this!
I am working on 4% monthly interest rate now. whenever it will finish, I will go with Ramsey rule but right now I must pay off this monster. whatever you say on credit cards, I consider it as a gateway of hell. I have already closed two. Still three to go. within this month one will go. next month another one and in December the last one.
Thank you for sharing your story - needed this inspiration.
Debt free totally debt free feels great. A decade with nothing but taxes feel good. Sleep good
Very good ideas.
Impressive 👏 thanks for you knowledge
It’s important to be focused and disciplined.
I so appreciate your great tips but with a gentle manner, I think it’s important with the guilt attached to money issues. Feeling self compassion is vital for me to feel I can tackle it, otherwise I get stuck in a cycle of feeling bad about my spending, putting my head in the sand and making the same mistakes again.
I don’t know how taxation works in the US but in Australia you are charged a 45% tax rate on a second job so it’s never worth it unless your job can have some sort of massive tax deductibles which is highly unlikely because companies have better tax breaks than any sole trader or partnership businesses ( if it was your own business). If you’re working for someone you have that ridiculous tax rate.
Somewhat I did that, great advice, it works: sold my motorcycle, moved out to a smaller place so lower bills (it takes less to heat and cool our house now), the new place is out of a gated community so no more mantainance fee, changed one of the cars to a hybrid so less gas (looking forward to do the same with my wife's car), cheaper vacations, installed solar panels so no more gas bill and little to none electricity bill, cooked more, no more monday through thursday dine outs, no more gym membership but bought a cardio machine and dumbells and walked more my dog :) (I already recover the investment vs gym), I took a nigth school job as a teacher (pays for the monthly gas of a hybrid car, and 2 weeks grocery)... no more debt and we live a confortable life.
No rollin in the debt!!!!
Great advice. 👍👍
Thank you so much for this practical advice. Brilliant!!
Other things you can do it cut out unnecessary entertainment and leisure expenses. For example going out to socialize, concerts, movies and dinners. Do them on a budget or only if it is necessary. You be amazed how much you will save just by not going out to socialize on a daily or weekly basis. Just saving 20 on tips from eating out 4 to 6 times a month which is 80 to 120 just in tipping makes a difference.
Your minimum payments are set. You can't not pay any. They simply all have to be paid at the set amount regardless of loan size, credit car or interest. I've never missed a payment!,
I am thankful that I've never experienced this so far in my life. I am grateful to God that I didn't have student loans from BSc-MSc-PhD, as I received full scholarships at all three levels with additional funding and support from research grants and other opportunities. I've always been a saver, so that makes it easier. I feel for folks who are in debt and hope you all can turn it around. ❤
Thank so much for sharing this video, this was perfect timing because I just came across it. This very is very knowledgeable and very interesting of the breakdown to become debt free which I'm thriving for .
3% charged on a total today is not the same type of interest on a card charged at 15% over a year's time. ASVAB score musta been low.
Excellent presentation I totally agree with you , working on lowering the interest has really worked on me for a long time . Thank you for those excellent inputs.
I tried to do a zero balance transfer. No one wanted to play ball with me for more than a few thousand. My Fico score was in the low 700s. My credit union would not consider a loan because I had too much debt at $15k. I got it under $10k. I was able to turn revolving cc debt into a straight loan at 10% not 15%. The debt could only go down, not up with revolving debt.
My #1 move to get out of debt was getting divorced. 7 years later I have $0 debt , saved in my $160K in my 401K(s), saved 5 months of salary for emergencies, and have an additional 60K saved for a down payment.
Thank you for sharing. Still on step 2. Geeze. I'm still afloat. My only car for work died (I'm required to drive). Garage & plant sale this spring will pay that replacement off.
Thank you for this video, very clearly explained and step by step. Question: I have a credit card debt of $3,000 and I got a new credit card with a balance transfer 0% apr for $1,000. do you think is worthy to take it and pay this to my cc debt? thanks for your response.
Great video, the examples and personal experience shared made your steps so practical. Thank-you
Very informative.
I can do this! I know it will take time but I have plenty of that. At least I now have a plan I can manage.
Thanks so much
Thanku for telling me abt mint! I’ve been looking for something like this
You CAN get out of debt even on a low income. One strategy that has helped me is every time you get paid, take minimum 10% and move it to savings which will be used to pay down debts. You start to see how easy 10% is and then on many pay periods you will be able to do maybe 20%. When you get out of debt, continue to take that same 10-20+% and put in savings which is there for you in the future.
Great video! Thank you so much
I like this video and very thought out presentation. I will be out of debt very soon.:)
Great content.🥰 Ty for sharing.😍 Enjoyed it subscribed.😊
I made a consumer proposal and I almost finish to pay my debt I feel better
Great advice. Thanks the Golden Bachelor!
The refect card!! What the heck! I Never heard of this. Thank you! WF reflect card, 21 mo no interest. I can bring my wf platinum card 4500. Its 10,000 now. Then after that savings, transfer it to my low interest credit union. Cefcu. Thank You!!! My current platinum is 27% int. Yikes
Great video!
Can you talk more about how it feels to be debt free and the benefits? Or point me to a video that has that info? Thank you
THANKS!!!❤❤❤ VERY MOTIVATING
Brilliant advice kind Sir 👍🏻👍🏻
If you transfer a balance does the card you’re transferring from care? Like will they close your account or lower your limit? I have a card I’m considering doing this with it comes with a nice savings account account so I don’t wanna lose that.
How do you feel about debt alvanche method?
Thanks, Rob. My question is, in mid fifties, do we add a bit more to our mortgage payment (interest rate is 4% 5% ish and if we did nothing but pay the minimum we could pay it off in five years), or do we add that to our 401ks, which are over full match contribution but aren’t at maximum for the year - and we are behind in the size of our nest egg due to about fifteen lean years.
Thanks for patiently taking us thru all the advise,... Very good!
That was so good 👍. Just what I needed to hear.
Very helpful thank you