No, you will not always have a car payment. No, you will not always have credit cards bills. No, you do not need to build up credit by occurring more and more credit.
Out of high school the only thing that I was working for was good credit. So what did I do, I put merchandise on credit cards. Why did I do this? Because like the majority of Americans, I wanted to build up credit. I was taught that the more I credit that I had the more higher my credit score. I made sure that I always had a balance and I was only making minimum payments.
Did I have a good credit score? Absolutely, but I also owned a ton of money to banks. I was paying more than a hundred dollars a month on interest alone. I know maybe that is not as high as other people but for a teenager, it was a lot and I thought I was doing well, building wealth. Little did I know.
Its true when people say if only I knew what I know now. I believe I would’ve been even more well off today but you know what, you also live and learn. The is exactly what I did, learn. I learned that having a line of credit does not mean that you are winning financially. Nor does it mean that you are on your way to incredible wealth. I used to think that my platinum visa card was my ticket to wealth and that the bank really liked me as a customer. I was naive, ignorant of how money works.
Here is how money works: You work for the money, the more you keep the more you can save and invest. The more you borrow the less money you can keep and invest. The financially fit people are those who keep their paychecks and in return use the money to make more money. The not so financially fit are those people who every paycheck have to pay car payments, credit card bills, student loans, payday loans and so on.
So do what you can to get to the point where you are financially fit. Enjoy your money and start to live as stress free as possible.
Avail a business opportunity only if your health insurance as well as home insurance and life insurance is all paid for, and your real estate papers are clear.
Avail a business opportunity only if your health insurance as well as home insurance and life insurance is all paid for, and your real estate papers are clear.
