Arrest Your Debt

Being independently wealthy means you have enough money you never have to work again to pay for your expenses, or need monetary support from others. When you are independently wealthy, you not only pay your bills without help, but you also do not need to work to earn any additional income. For instance, if you make $5,000 every month from your investments (passive income) and your monthly budget is $3,500, you have already created independent wealth. While some debts, such as a small business loan, can help you start a business and build wealth, bad debts will cripple your dreams to become independently wealthy.

With bills to pay and unexpected costs, it makes sense that you may need a helping hand from time to time. If you live in a home that’s already proving to be more than you need, the requirement for cash could mean it’s time for you to trade down for something smaller. There may be a small outlay for materials, but if there’s enough interest in what you’re doing, you may find that your profit margin is enough to allow for new materials and extra funds for a rainy day. Whether COVID-19 has wreaked havoc on your income or you’re facing unexpected bills, it’s essential to know how to come up with extra revenue.

A bank is a place that stores your money, a place that invests your money, a place that loans you money, and a place that provides you with investment opportunities. It can be easy to look at all banks as part of a megalithic entity, whose values, interests, ethics, and goals are all the same: to make as much money as possible for its clients and shareholders. An organization’s corporate culture might seem like an afterthought to someone who has never worked for or done business with a large company, but it lies at the heart of everything they do and often how successful they are. If you are choosing a bank to deposit your funds, borrow money, and potentially build a long-term relationship with an investment advisor to help you manage your capital, consider how the bank’s culture incentivizes certain behavior attitudes towards you as a customer.

If your monthly situation is so dire that you need your credit card to cover even your basic expenses, then it’s a good idea for you to find new ways to earn additional income, such as taking the time to learn how to invest in a gold IRA. Even when paying the minimum on your credit card bills seems like an impossible task, do everything you can to make the minimum monthly payments. Along with the tip above, if there’s room in the budget for you to increase your monthly payments, put everything extra towards one single debt you want to pay off first. Paying more than the minimum by putting extra money towards the debt principle will help you reduce the amount of interest you pay and help you pay off the loan faster.