A financial expert and bestselling author asks anyone with debt the same first question

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 75 sec. here
  • 3 min. at publisher
  • 📊 Qulity Score:
  • News: 33%
  • Publisher: 51%

The key to crushing your debt is establishing a payoff date, says ramit

United States Headlines News

United States Latest News, United States Headlines

t. Because a high interest rate on your debt can tack on hundreds if not thousands of dollars, it's almost always worth it to put extra money toward paying it off before investing.

"A plan turns debt from a 'hot' emotional topic to a 'cool' math problem," Sethi writes."Most of all, a plan gives you control." Most people don't know how much debt they owe and are just blindly paying the minimum to get by, Sethi said. Because student loans often carry much lower interest rates than credit cards, Sethi recommends stamping out the consumer debt first.

In order to establish a payoff date, Sethi suggests creating a spreadsheet listing each credit-card or student loan, total debt owned, the annual percentage rate or interest rate, and the minimum monthly payment.— the former prioritizes paying off the smallest debts first and usually provides more of a psychological benefit, while the latter prioritizes the debts with the highest interest rates.

"Bottom line: Don't spend more than five minutes deciding. Just pick one method and do it," Sethi said."The goal is not to optimize your payoff method, but to get started paying off your debt." Next, call up your bank and ask if they'llThe final step is figuring out how much you can afford to pay each month and where it's going to come from, such as automatic savings transfers or paycheck deductions, he said.

Once you know exactly how much you owe, your interest rate, and how much you'll be paying every month, plug those numbers into an online calculator, or just call up your bank, to find out your payoff date.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 729. in US
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

A financial expert and bestselling author says if you're waiting to invest because you're worried about losing money, you're already making a huge mistake'I Will Teach You To Be Rich' author Ramit Sethi says anyone can, and should, start investing by contributing to their retirement accounts. Propaganda
Source: BusinessInsider - 🏆 729. / 51 Read more »

2 steps to take to protect your money from a recession, according to a financial expert and bestselling authorIf you're worried about a recession, there are only two things you need to do: secure an emergency fund and ensure your investments are diversified.
Source: BusinessInsider - 🏆 729. / 51 Read more »

2 steps to take to protect your money from a recession, according to a financial expert and bestselling authorIf you're worried about a recession, there are only two things you need to do: secure an emergency fund and ensure your investments are diversified.
Source: BusinessInsider - 🏆 729. / 51 Read more »

A financial expert and bestselling author says if you're waiting to invest because you're worried about losing money, you're already making a huge mistake'I Will Teach You To Be Rich' author Ramit Sethi says anyone can, and should, start investing by contributing to their retirement accounts. Propaganda
Source: BusinessInsider - 🏆 729. / 51 Read more »

We Asked The Experts How To Safely Thaw Turkey So You Don't DieIf you're reading this now, it's NOT too late. Svh If you do not eat animals...you are 100% safe...ever thought about that in stead of stupid tips in how not to get sick from meat 🤔
Source: BuzzFeed - 🏆 730. / 51 Read more »

Judge says Deutsche Bank, Capital One can give Trump financial records to House DemocratsA federal judge in New York City on Wednesday said Deutsche Bank and Capitol One can turn over financial documents related to President Donald Trump and his businesses in response to subpoenas from House Democrats. Judge Edgardo Ramos's ruling came after a hearing at which lawyers for Trump, his three older children, and the Trump Organization argued that the subpoenas should be quashed. Absolutely hopefully they will use money laundering and fraud specialists on international level.. different law might apply in different countries...
Source: CNBC - 🏆 12. / 72 Read more »

Millions of Americans are just one paycheck away from ‘financial disaster’Many consumers would turn to dangerous fallback options in order to make ends meet. Yeap, many have been saying this for years but I believe the chickens have come home to roosts. We are on the verge of a major collapses. It’s been that way since before America exsisted. Or one serious family illness away.
Source: MarketWatch - 🏆 3. / 97 Read more »

Half of Americans are just one paycheck away from financial disasterMany consumers would turn to dangerous fallback options in order to make ends meet. thehistoryplace
Source: MarketWatch - 🏆 3. / 97 Read more »

Here's the level where you should start buying Tesla, according to one expertWith Tesla shares skidding, two experts weigh in on what could be next for the automaker and its volatile stock. Short FUD, $TSLA isn’t a buy at any level above $10.
Source: CNBC - 🏆 12. / 72 Read more »

At his first news conference in India, PM Modi declines questionsPrime Minister Narendra Modi, in power for five years, attended his first news c... Gosh.. why, guess my questions will be declined too, I don't need to bother asking. No...this is not true! Mr. PM gave the whole answer without question! You can make questions based on the answer.....🙊 ModiPressConference
Source: Reuters - 🏆 2. / 97 Read more »