Is It A Good Idea To Consolidate Credit Card Debt

So in this video we're going to talk about is it a good idea to consolidate your credit card debt and more specifically fight the pros and cons and the number one thing to do if you are in credit card debt. So specifically I'm going to share the pros and cons if you should consolidate your debt. I'm going to tell you like number two why you should get more credit cards. Absolutely. Number three the number one thing you're going to do if you are in credit card debt and even more importantly how to do what I call a power down how to pay them off faster. So get ready we're going to take some notes. So number one let's talk about the pros and cons of consolidating. So the pro obviously is that all these cards and all this debt goes nice into one big bundle typically you know a lot of people they'll like refinance it into their house and now you devalue your property by putting your lifestyle inside your house and typically traditionally every three years people do this. So you go out and get in a bunch of debt you consolidate you dump it into your house even though your house is like a lower debt why you're diluting you're like diluting the equity in it. I do not like that strategy at all. So the other thing like again the pro of it is just one payment here's the cons and it's not talk to you because it's like in little fine print little itsy bitsy point zero zero zero the fees the amount of money that you pay to consolidate all of your credit cards into one payment is ridiculous. I mean you might as well just come pay me like a whole bunch of money I mean it's tens of thousands of dollars for a lot of people and it's all in hidden fees but they give you one nice payment you feel great about it. So no not a fan at all but stay tuned why it is absolutely critical. So here's the other thing I want you to do when you consolidate your cards you typically will actually reduce your credit score it's not going to help you. I'm going to give you a different strategy which is getting more cards. See a lot of folks that have you know consolidation issues they may have a lot of cards but typically they have cards with really thick like use they use them a lot. I'd rather spread out your use on more cards it affects your credit in a better way. Now I have an amazing credit expert on my team she is phenomenal at increasing your credit score and really looking at what we call your thin or thick credit profile. A lot of people have really thickly only use a few cards really deeply you consolidate you do it again you're not doing yourself any benefits by doing that by getting more cards you're actually going to start staging for better credit and you want to have more frequent use and then pay them off every month right. So you say well Laurel you don't understand I'm already in credit card debt. I know so going forward you're going to have more cards more activity and more frequent payments. It's going to show the financial systems that you're actually shifting your payoff behavior. So here's what I want you just to remember debt is the cost of money right. So if your credit cards are up in 18 19 20s I mean you almost got to like hit a redo right and you got to hit a redo by coming back into our system getting a lot of like credit cards using them a little bit frequently paying them off. You say but Laurel I don't have enough money to pay them off so let's solve the right problem. Let's solve the right credit card problem. The reason you're in debt is because you want a big life and you don't know how to make enough money so you've outlived your paycheck so you start using your credit cards to pay for the rest of your life. What's really the answer to this whole problem? Make more money. So I'd rather teach you as my one-time strategy how to make as much money as you want when you want and how you want versus do this little nickel and diming move I call it I call it credit card roulette. All you do is move your credit cards around you're taking this balance pay off this balance and just like it's crazy making and the amount of time that you spend doing that is I don't even know. It'd be interesting for you to track it but I can tell you if you spent half of that time of worrying about your debt and absolutely transfer all of that energy to money-making activities what could you do to make some more money? What's the skill? What is it that you do right? If you have a job and you're an assistant well you could do virtual assistant work. You could help somebody with a spreadsheet. You could build a powerpoint if you're very technical. You could do something with their phone. You could do something with their computers. There's so many things you could build a website. You could do photography. What is it that you want to do? How could you do it to create more money? That's the ultimate answer. Some of you say that's not answering the problem that I have and it is and so let's talk about how do you pay them down. I really am going to encourage you like insist that you learn some money-making techniques. So at the end of the video I'm going to talk about our marketplace and where I teach you to make money. In fact I guarantee you'll make money if you do everything I say. So save that I don't want to make money talk and we'll get back to that. Right now with your debt how do you pay it down faster? Well first of all let's get your the cost of the money down. That's really the first strategy. So we're going to work with the credit specialist and we're going to re-get those credit cards like balances down. You can get the balances down. You can level them out. You can renegotiate the payments. Now this isn't consolidating. It's very different. You're going to call each of your credit companies. I don't care if you have medical bills. I don't care if you owe the IRS. There's a negotiation strategy to take down the amount you owe and take down the interest payment when you negotiate for the payments. There's a way to do it. I promise you. But a power down is paying one card off at a time. So in the back of my Millionaire Maker book page 194 I give you a power down approach. So you actually list all your credit cards. You list the amount of interest you pay and what that's actually going to cost you long term. It's kind of a startling number and I want you to start paying just one card at a time and once you pay one down then you take that amount and you pay it to the next card then you pay it to the next card. So there's a whole process. It's totally described. It's about a whole chapter of how do you power down and speed your debt payments off. But that has to be coupled with your ability to make new money. If you know you need this information because I'm doing a video and education to you every day. I need you to subscribe to my channel so we can keep building on this education. So this isn't just today about getting out and consolidating your debt. We want to teach you. I want to teach you how to make money because that's really the answer to all of your money issues. Let's just be honest. Making new money solves every problem. I always say money solves almost every problem in life right and as far as a client you are a very different client when you're in a generative making money space. Then you are whining and crying about your debt and again the only reason you have debt is you want the bigger lifestyle. You just can't afford it right now because you don't know how to make money. Let's solve the right problem is the answer right. The answer is not consolidate. Not end up in that pattern. The answer is make more money. Power down your debt. Let's clean up your credit and get more credit cards. Believe it or not that is going to absolutely increase your ability to get more financing in the future doing it right. Now I do a marketplace every three weeks and this is a live event that I teach live on zoom and I teach you marketplace technologies. I teach you how to build a funnel. I teach you what you could buy and sell in the marketplace. I teach you pricing. You do everything I say. I need you for two days. I guarantee you will make money. We've had people on average make two three thousand dollars in a few day period. If you're a superstar you're going to make five ten. I've had somebody make nineteen thousand and twenty one thousand. I would challenge any of you to beat those numbers. So you're going to click on the link below and I'm going to give you fifty percent off a ticket to come to our marketplace. Come when it works for you where you can totally pay attention. Learn to make money and leave with a power down payment towards these credit cards and never consolidate your debt again.