The Freedom Of Being Debt Free
Cut Out The Middle Man
One way to effectively mangage your money is to develop a
wholesale mentality. When I say this I mean that you should
consider not paying retail prices for electronics, furniture,
or other goods. You should think about paying wholesale prices
for these goods rather than retail, especially if they
depreciate in value. Instead of going to the mall or furniture
store to shop for clothes or furniture, why not go to a
clothing outlet or thrift store?
The Freedom Of Being Debt Free
Many people become wealthy and debt free by simply saving their
money, paying wholesale prices for goods, and placing some of
their savings in safe investments like IRA accounts. They often
will only have one credit card if any, and the amount of money
they have saved up will be much larger than the balance they
owe on their credit card. This is the real secret to wealth.
The get rich quick schemes and late night infomercials are
disinformation which will not give you true answers.
Don’t Be Another Sheep!
Avoiding debt and maintaining good credit is another key of
financial success. It is important to understand the 80/20
principle when dealing with personal finance. You will want to
avoid doing what 80% of the population does. Most people owe
tens of thousands of dollars on credit cards, student loans, or
car loans. Others use payday loans between paychecks to make
ends meet. This puts them in a cycle of debt which will keep
them from ever becoming wealthy or retiring in comfort. The
credit card companies and banks continue to make billions while
most consumers are getting further into debt.