Month End: October Snapshot

Honestly, I’m looking forward to this year being over with and starting my life with my soon to be wife. If you’re struggling with debt and you’re unable to have help emotionally, and financially, then depending on how big your debt level is I suggest three options. Those options are find a way to lower your expenses and increase income, close all open accounts and leave one card open and begin negotiating your debt with your creditors, and finally consider bankruptcy. The third option is an option of last resort, but bankruptcy is a way to start over. Don’t let your debt and finances take you to the place where you would harm yourself or others. If bankruptcy is the only option, then I suggest you contact multiple bankruptcy attorneys.

Fortunately, in my situation, I’ve openly discussed my finances with my fiancé and she’s openly discussed her finances too. We’re considering different debt consolidation options together, discussing a debt repayment strategy as well as how to grow our existing businesses. We openly discuss every topic with each other, and being in our mid-thirties we’re comfortable enough to not need much. I encourage you to find someone to openly discuss your finances with. The first step to becoming debt free is in your thinking, and the next step is having a budget. My questions to you are how much do you make? Is that gross or net income? What is your bottom line number? Knowing your thoughts and knowing your numbers is critical to not just get out of debt, but grabbing control of your financial future.

If you want to learn more about how I’m increasing my income, while reducing debt or if you want to have someone to discuss your debt reduction strategy with, or if you need a financial check-up, contact me.

The rich ruleth over the poor, and the borrower is servant to the lender.
https://bible.com/1/pro.22.7.kjv

I believe in your journey to….

A Debt Free Me

Month End: September Snapshot

This month, I was able to reduce the credit card debt, and I continue to make the scheduled payments to the term loans on time without issue. If you’ve consolidated your debt into a loan that is set to pay off, continue to make your payments on time. It’s important in general to make your payments on time, because missing payments will affect your credit score. If your payment due date isn’t in line with your cash flow for the month, it’s important to contact your credit card company or lender as soon as possible to see if they can change the payment due date. Changing the payment due date may require signing new loan documents or verbally agreeing to the change, but it’s important to contact your creditors as soon as possible if you are faced with a life event that can affect payments to them. I don’t recommend ignoring or avoiding the situation. The worst case scenario is you can have liens and or judgements placed against you. If you find that your fixed expenses are more than 50% of your take home pay you are at risk to losing your assets. To clarify fixed expenses are rent/mortgage payments, utilities, insurance, subscriptions, phone payments, and any other monthly reoccurring transactions. These payments should not be greater than 50%, because it gives you no room to save money and reduce your debt. For example, if you make a $1,000 a month and your fixed expenses is $600 per month then you are at risk, simply because if you have any type of emergency you may have to borrow to cover the emergency. If your fixed expenses are greater than 50% you are more likely to stay in debt. Personally, I continue to do my plan of reducing debt and increasing income. I may use a balance transfer option to take advantage of the promotional balance transfer rate to continue to accelerate my debt reduction. Next month, I’ll discuss three strategies you can use to reduce debt.

If you want to learn more about how I’m increasing my income, while reducing debt or if you want to have someone to discuss your debt reduction strategy with, or if you need a financial check-up, contact me.

The rich ruleth over the poor, and the borrower is servant to the lender.
https://bible.com/1/pro.22.7.kjv

I believe in your journey to….

A Debt Free Me

Month End: August Snapshot

This month, I did a balance transfer in order to reduce the balance on the regular Barclay’s card. It’s important to not fully use your credit limit, because that can weaken your credit score. It’s good to have monthly usage, but it shows poor debt management if you have high balances with only minimum payments and no principal reduction. Even if you have to sell something, I recommend reducing your balances on your cards. I was recently approached about an income earning opportunity, and after discussing it with my fiancé, I decided to take a chance. If you’re interested in learning about how to make spare time income at your own pace and being one of the few who were a part of the next big opportunity, then click on contact me at the bottom. I’ve set a goal to create income generating assets while I’m getting out of debt, and so far, to date I have two. Continue to take one step at a time no matter how rough the road ahead will be.

If you want to learn more about my opportunity, or if you want to have someone to discuss your debt reduction strategy with, or if you need a financial check-up, contact me.

The rich ruleth over the poor, and the borrower is servant to the lender.
https://bible.com/1/pro.22.7.kjv

I believe in your journey to….

A Debt Free Me

Month End: June Snapshot

Becoming debt free is a journey, and not just a destination. In my opinion if you’re in the middle class you will constantly battle with debt. Is debt necessary? Not necessarily. Look at the poor and the rich. The poor doesn’t have the means to have debt, and the rich know how to make debt work for them. With this struggle comes an opportunity to trust God more, and communicate ever more with your companion. Communication both above and with the one you trust can not only bring comfort, but also growth towards a debt free me. As the wedding date gets closer, I realize that the balance on the Barclay’s card is going to fluctuate up and down. As long as the balances on all of the other debts goes down, then that is still progress. You have to find moments of encouragement and understand you are making progress to debt freedom.

I’ve continued to follow my process, and I’d be glad to share my process with you in the contact me section. I believe if you follow the process not only will you have an increase in your savings, and still reduce your debt. The order is very important, and you have to follow the process in order. This month I’ve continued to save, but also my fiancé and I have continued to grow our business. We were able to sell one of our products. I encourage you to not just pay down debts, but also acquire assets and increase income. The mistake I made was paying down debt and not increasing income. If not used properly, you lose one of your most valuable assets, which is time. “Committed and persistent work pays off; get-rich-quick schemes are ripoffs.” Proverbs
28:20
MSG‬‬‬‬. My mindset has also found validation through the Slight Edge by Jeff Olson. Below is a YouTube link to an animated book review:

https://youtu.be/bi7yB7wH3to

Have someone to discuss your debt reduction strategy with, and if you need a financial check-up contact me.

The rich ruleth over the poor, and the borrower is servant to the lender.
https://bible.com/1/pro.22.7.kjv

I believe in your journey to….

A Debt Free Me

Month End: May Snapshot

At the close of May, I’ve decided to start setting aside more money for the wedding, and  my savings account. At the same time, I’m sticking to the Process. It’s four simple steps which I’ll be glad to share when you sign up for a financial check-up. I will continue to make regular payments to reduce each credit card, but there may be months where I reduce my payments to just over the minimum payment requirement to increase retained income. At the same time, I will be looking for opportunities to increase my cash flow. It’s important to cut spending, but at the same time look to increase income.

I’m so thankful for my beautiful bride to be. In this past month, she’s picked up her activity in our spare-time business, and I couldn’t pick a better person to spend my life with. When I’m weak, she’s my strength, and when she’s weak I’m her strength. Even if you aren’t in a committed relationship, I suggest you find someone to do life with. What’s the point of living, if you can’t share it with someone?

If you need a financial check-up contact me. More details about a financial check-up is in the contact me section.

The rich ruleth over the poor, and the borrower is servant to the lender.
https://bible.com/1/pro.22.7.kjv

I believe in your journey to….A Debt Free Me

Month End: April Snapshot

Every journey has its own set backs and detours, however in spite of those moments, you have to remain consistent about where you want to be. Will you run into unforeseen expenses and liabilities? Absolutely! I encourage you with this idea: I’m in no way perfect, but I serve a perfect God. He knows an exit strategy into every situation I’m placed into whether it’s good or bad. Repent quick, Forgive quick, and Move on quick. This previous month, I had to adjust my strategy and take advantage of the zero percent balance transfer offered on the Capital One card. As the wedding date draws closer, Jill and I have had to discuss the costs involved in the wedding. I’ve found this discussion very important, because in discussing finances, we’ve come into agreement on how to handle our finances together. I love her more and more each day, because she fills in and covers the weaknesses I never knew I had.

Specifically, I’ve re-focused my debt reduction on paying down the Barclay’s card while slowly reducing the other debts and applying principal reduction payments where I can. Always seek wise counsel where you can, and use their counsel to take advantage of the best situations that present themselves. Their counsel will help you discern if the choice you make is the best one for you. When I got out of debt before, all I did was focus on making extra money to pay off debt. This time I’m paying down debt, saving, investing in assets, and growing my assets that produce income. Why? Time is fixed. We only have 60 seconds in a minute, 60 minutes in an hour, 24 hours in a day, 7 days in a week, and 52 weeks in a year. Time will run out. Use and manage your energy efficiently and effectively so that you can get as much out of each moment as you can. If you consistently focus on saving and buying assets, then when you finally are out of debt, you will have a larger amount in savings and more income producing assets vs. getting out of debt and then having to build savings and assets. Also by saving and investing while you are getting out of debt, will create a discipline inside of you. How am I able to do it this way vs. the last time? I have a budget. A budget will put order into your life. Order proceeds increase, and increase proceeds multiplication. Knowing your net income number is the key to being able to get out of debt, save, and invest. There is a process that I follow that I will share in future posts. Remain consistent and diligent on your journey.

Have someone to discuss your debt reduction strategy with, and if you need a financial check-up contact me. More details about a financial check-up is in the contact me section.

The rich ruleth over the poor, and the borrower is servant to the lender.
https://bible.com/1/pro.22.7.kjv

I believe in your journey to….A Debt Free Me

Month End: March Snapshot

3-31-16

Current Balance Amount Paid Remaining Balance
Barclay’s $3,700.00 $56.00 $3,644.00
Barclay’s Mastercard $5,130.00 $130.00 $5,000.00
Capital One $4,980.00 $110.00 $4,870.00
$13,810.00 $296.00 $13,514.00
Wells Fargo $7,090.00 $290.00 $6,800.00
Prosper $7,103.08 $283.59 $6,819.49
Wells Fargo Line of Credit $2,000.00 $2,000.00 $0.00
$16,193.08 $2,573.59 $13,619.49
Total $30,003.08 $2,869.59 $27,133.49

Over this past month, I’ve had the opportunity to pay off the Wells Fargo Line of Credit, and utilize a zero balance transfer option on my Barclay’s card to reduce the payment amount of my overall debt. My next target will be the Barclay’s card as I chip away at the Capital One card. It’s important to be flexible with your debt re-payment strategy. Set your sight on a balance and target it, but be open to opportunities to reduce the debt faster, even if you utilize a promotional balance transfer option. A word of caution, when you do use a promotional balance transfer remember two points: 1) the offer is for a 12-month period on average (check your terms) and 2) you are charged a balance transfer fee (weigh the cost vs. benefit). In the end, a balance transfer can eliminate the high interest debt which can not only eliminate the payment but also create a lower payment overall which increases cash flow.

An increase in cash flow, creates more money to reduce debt, or to be used towards living expenses. In your journey, you’ll experience a lot of emotional forces at play which may encourage you to spend. The best process to fight these forces is to seek help from others, set up small reward systems to curb the spending, and grow your asset column. As I said in one of my earlier posts, I’ve gotten out of debt before, but when I did, I had no control over my spending and got right back in the hole again. Why? Because I didn’t take time to address my spending issue in the first place, and I didn’t grow my asset column. While you’re getting out of debt, see if you can create something which will produce money for you. The one thing we have which is absolutely fixed is time. At some point the clock will reach zero. Value your time, and maximize your use of it.

This new year has been challenging, because of the wedding planning and the financial obstacles that present itself. Every obstacle creates an opportunity to trust God and those closest to you. You’re not in this process alone. There’s a four step process that I do whenever I receive income, which I will share with you in a later post. This process has blessed me in my journey to debt freedom. I’ve included a short video clip from Joe McGee to help you turn an obstacle into an opportunity. Enjoy:

https://youtu.be/IT5U87RtsSo

Turning an obstacle into an opportunity is about changing your vision and your thinking. Have someone to discuss your debt reduction strategy with, and if you need a financial check-up contact me.

The rich ruleth over the poor, and the borrower is servant to the lender.
https://bible.com/1/pro.22.7.kjv

I believe in your journey to….

A Debt Free Me