Debt Solution
Understand how debt kills you from inside out.
GET TO KNOW YOUR DEBT
Almost everyone carries some form of debt from month to month, whether it is a credit card debt, a mortgage, a student loan, or an auto loan. when you have debt, it can feel overwhelming, but with a little discipline and a good game plan, we show you how you CAN get rid of it.
Let’s start with the “what” before we get into the “how”.
Secured Debt vs Unsecured Debt: What’s the Difference?
All debt essentially falls into two categories: fixed (equal monthly payments like a mortgage or installment loan) and revolving (minimum payment change based on the total debt amount like a credit card).
Secured Debt – Secured loans or debt are asset-based loans where an asset (i.e. your car or house) is used as collateral. Your mortgage or an automobile loan are examples of a secured debt.
Unsecured Debt – Unsecured loans or debt aren’t backed by anything. These include credit cards, medical debt, student loans, personal loans, etc.
Even though some debts – such as your mortgage or student loans – can be considered “good” since your home or education will increase in value, paying them off quickly will put you in a much better financial position sooner rather than later.
THE POWER OF COMPOUND INTEREST
Compound interest can be a powerful force! When it’s working for you through an investment strategy, the interest your money earns can add up to a BIG benefit. However, the flip side of that is when it’s applied to a loan or credit card account, it can potentially add up to hundreds or even thousands of dollars over time, on top of the original purchase price!
TAKE THE RIGHT STEPS
An easy strategy you can use right now uses the concept of Debt Stacking to focus on paying down one debt at a time while continuing minimum payments on the rest. As you pay debts off, you add those now freed-up funds to the minimum payment of the next in line.
Schedule Your Financial Needs Analysis
Find out how Dallas Gooden and his team of experts can help you to secure your family from financial crisis and help you to achieve your financial goals