Do you have loans-what is your interest rate and what is your plan to pay it off.

Do you know anyone who have loans or debts, I bet everyone of us do? Do you know anyone who is living the American dream by worry about looking into their mail box for bills or other loan repayment from banks? Do you know that new car you are driving and paying $499 car note every month is costing you millions of dollars in retirement? You can invest half of your car note's money for the next 25 years and you will retire with at least one or two million dollars to dance around when you are in your 60s. 7 out of 10 people you know right now are living paycheck to paycheck. Even though, I am not a believer of debts, car loans, house loans and personal loans including credit cards. I am shocked that a random research of 10 students from University of Cincinnati about student loans and their rates. Only 1 out of 10 students have an idea of the amount of debt and rate. You cannot win, when you fail to plan and execute. You cannot go to school to study anything and forget to plan for your life to win. It is hard to believe that half of them can win in this financial system without trying to figure it out quickly. A good friend of mine, who is very educated is currently struggling to get a hold of all his lenders and find a way to get rid of debts. My advice to these students and everyone-they have to stay in-tune to their life and less on Facebook, Twitter and others. You have to research about your loans and rates-know how much you are in debt, percent and plan on getting out of debt using the Dave Ramsey Baby Steps.
1). Save $1000 to start an emergency fund.
2). Pay off all debts by paying off the smallest debt while paying minimum payments on other debts. Then, use the money from the paid off debt to attack the next smallest debt. Using the Snowball Effect. The goal is to change behavior. To win with loans and debts, you have to change your behavior.
3.). Increase your $1000 from step 1 to 3 to 6 months of expenses in savings and have the money available in a bank account where you can get to it easily.
4). Invest 15% of household income into retirement.
5). College funding for your children
6). Build wealth and give to others.
7).  Be rich and continue to change your legacy and family.


  1. What suggestions do have for those of us struggling and can't even save right now?

  2. Changing your life long habits can be difficult, you cannot decide to change everything about you in a heartbeat. It is not easy to completely change your behavior in one day, I truly believe that small wins here and there is the best way to go. My advice is to find something that you spend some money each week and gradually decrease it at least once a week. For example, if you go to Starbucks 5 days a week for a $5 coffee, let's reduce it by one to save $5 each week in 4 weeks, you will have $20. Another one is eating out 5 days a week for $10, if you can reduce it by one and eat for 4 days a week, you will have $40 in a month. Overall, you will have $60 in a month and it will give you momentum to find other ways to cut other expensive and save for your initial emergency fund. In a long run, I will like for you to buy a coffeemaker and coffee bean at home, to save money and increase your savings. In addition, you can make your lunch every day and save your lunch money which will increase your savings and investment. Thank you for the question.


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