Money Management Advice...Dealing With Debt

Money Management Advice Concerning Your Debt

Ways to Manage Money…Eliminate Debt and Live Debt Free

Step#7 in our Financial Freedom Course will teach you ways to manage your money to eliminate debt.

If you examine the average American family, their debt burden has become severe. Many families are stressed and burdened by debt. It can overwhelm them.

Many have fallen into the debt trap.

Without realizing it, they suddenly find themselves in a financial crisis with debt and do not even know how it happened.

Worse yet, they don’t know what to do.

As Henry David Thoreau said, they lead “lives of quiet desperation”

They need genuine, effective money management advice.

How about you?

Does this describe your situation?

Dave Briggs, money management expert, can help you. For over 20 years, he has shown thousands of people wise ways to manage money.

We will examine the poor money management habits that many people practice.

We will look at the causes of this so you can prevent it. Most importantly, we will give you a system so you can become and remain debt free!

First, let us look at the typical American family and their financial situation...

Debt and the American Family

Credit card debt has nearly tripled in the last 11 years
The amount spent using credit cards has risen 26% recently
70% of all credit card holders do not pay off their balances each month … of those people, the average balance in 2001 was $8,367. In 1990, credit card debt averaged $2,985 … balances have nearly tripled!
Dave’s money management advice: pay off more that the minimum balance every month. (We’ll show you how)
81% of all college students have credit cards with an average balance of over $4,000.
Dave’s money management advice: Don’t incur any credit card debt in college
Among those who carry a balance on their credit cards, nearly half made only the minimum payment in 2001.
Dave’s money management advice: Use our debt reduction system to eliminate one credit card debt at a time. Even if you do not use our system, pay off more that the minimum balance every month.
A credit card with a balance of $3,000 in which only minimum monthly payments are made would take 32 years to pay off … even if no more charges were added! This means if you pay only the minimum balance, it can take you most of the rest of your life to eliminate the debt.
A family living off credit cards will pay an average of 26% more, than the same family paying in cash!
Dave’s money management advice: Pay for purchases using cash, Not credit cards.
Personal bankruptcies in 1980 hit 250,000 in the U.S. Last year they exceeded 1.4 million … a nearly 500% increase in just 21 years … mostly caused by a misuse of credit cards and debt.
Bankruptcy rates today are higher than they were during the Great Depression
For a person in their thirties, every $1,000 of credit card debt accumulating interest will cause the card holder to forfeit $1,000 in retirement income every year for as long as they live! Bad ways to manage money.
23% of after-tax income goes to paying interest on consumer debt. Bad ways to manage money- we will show you a plan to change this.
Studies have proven that people are likely to spend twice as much for and item if they can use a credit card rather than with cash.
Debt is like volunteering for a pay cut.
For example, if someone just out of college buys a modestly priced car and has a payment of $250 per month.
That means that he will have $250 less per month for things like insurance, food, utility bills, and entertainment.
He also will have to earn $340 each month to end up with the after tax amount of $250 to make that car payment.

Credit versus Debt

It is important to understand the difference between credit and debt.

Credit is money owed while you are in control. In other words, you have the choice whether to pay it off or keep it.

For example, you buy some land for $15,000 with credit (a mortgage) that is worth $20,000. You have the choice to sell it at anytime for a profit and pay off the mortgage.

Debt is money owed and other people are in control. You do not have the freedom to eliminate the amount that you owe at any time. For example, credit cards. A more accurate name for them really should be “debt cards”.

Watch Out For The Credit Card Whirlpool!

Often, without even realizing it, people are pulled into the Credit Card Whirlpool and feel like there is no escape.

Learn how to recognize and avoid the Credit Card Whirlpool.

The Debt Trap

From the credit card whirlpool, many often are caught in the debt trap.

Learn how to avoid or escape the Debt Trap.

Debt Reduction Steps

There are some practical steps that will put you on the path to total debt elimination.

These debt reduction strategies can work for you!

Learn to effectively use our debt reduction forms.

Using Credit Cards Wisely

There are some good things to understand about using credit cards.

There credit card tips will help you lower your credit card costs.

Money Management Advice FAQ

We have numerous frequently asked questions that address ways to manage money and debt issues. These are common struggles and learn how Dave Briggs helps them.

Click here for our Directory of Money Management Advice FAQ.

Post This to the Bathroom Mirror:

“Debt keeps us paying for pleasures we have long since forgotten and luxuries we scarcely have time to enjoy” (Anonymous)

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