I have unbelievable news! What if I told you that I know a proven way to build wealth, a way to get out of debt and stay out of debt forever? Many people have paid fortunes to learn about this amazing plan. Like a magician who divulges his methods, I‘ll probably get in trouble with all the financial gurus out there if I share this incredible secret with you. But just for today, and only for the faithful readers of the moneytrip blog, I will share this fantastic secret of wealth and prosperity!
Are you ready for the secret knowledge that will change your life forever? Are you ready to set sail on a course for the debt-free life of wealth-building that you have always dreamed of? Okay, get ready and grab a pen because here it is –
Stop Borrowing Money
Yup. That’s it.
See, this stuff is easier than it looks.
There is no “forever” mortgage. There are no 100 year car payment options. The furniture store will not give you 3 generations to pay for that dresser, even if it is heirloom quality. All consumer debts have a finite period of repayment time built into their formula. If you stop borrowing money, you will eventually become debt free. How quickly depends on many factors, but you will get there.
When my wife and I decided to become debt free, we were highly motivated. To me, slow progress can be painful progress. However, even slow progress is progress, and slow progress is better than no progress. If you just stop borrowing, stop swiping the Visa, stop “signing and driving” at the auto dealer, you will eventually owe no one. Imagine no payments. Imagine keeping what you earn. Wouldn’t that be something?
There is some debate about the best way to pay off debts. Some financial gurus advocate for a debt snowball approach, where you pay debts from largest to smallest. Some recommend instead paying debts from smallest to largest. Some advise attacking debts by first going after the balances with the highest interest rates. Whatever. Just do it! My wife and I demolished our debts from smallest to largest, because this method allowed us to get some quick wins. It doesn’t really matter. All methods work – if you first stop borrowing.
Once your debts are paid you will stop paying interest. This will save you money. Once you start saving and investing the money you were paying in payments and interest, that money will start growing. Rather than working for money, your money will be working for you. How cool would that be?
Well, now you know the amazing secret, the proven path to a fabulous debt free life!
The reduction of debt correlates strongly with the creation of wealth, and it all begins when you stop borrowing. What you do with this powerful knowledge is up to you.