0:04

Hello, I'm

0:04

your host, Mr. Chuck, I retired

0:07

accountant turned truck driver,

0:07

I reduce my debt in a relatively

0:12

short period of time, debt

0:12

reduction, to achieve financial

0:17

freedom takes commitment,

0:17

confidence, determination, debt

0:25

reduction plan, details of debt

0:25

reduction plan to work for

0:31

everyone. This brings together

0:31

tracking, budgeting and debt

0:37

reduction to make financial life

0:37

better. So what is a debt

0:45

reduction plan, the plan is

0:45

nothing but outline or guidance

0:52

on what you should do in order

0:52

to reduce your debt. So it just

0:59

gives you guidance on what

0:59

you're gonna do, and gives you a

1:04

plan on how to achieve the goal

1:04

of paying off your credit cards,

1:10

or paying off all your debt or

1:10

whatever particular goal would

1:15

be. So I'm gonna start out here,

1:15

by just giving you a debt

1:20

reduction plan, they all are be

1:20

similar. And just note, I don't

1:26

have any article links on my

1:26

show notes. Because usually when

1:30

you do debt reduction, you're

1:30

gonna get a lot of counseling

1:36

services, consolidated loan

1:36

services, and things like that,

1:42

I'm looking at this plan that

1:42

you do, and do it yourself or

1:49

you're not going to do a loan

1:49

consolidation, because that's

1:52

really not reducing your debt,

1:52

that's just rearranging your

1:55

debt, you're not going to use a

1:55

credit counseling services yet,

2:00

unless you cannot get beyond the

2:00

stage. And you're definitely are

2:07

not looking to file bankruptcy,

2:07

he can work through this and get

2:14

out of debt on your own. If you

2:14

can be focus, have a plan, and

2:21

do every step it takes I gave

2:21

you step one is tracking. Step

2:26

two is doing your monthly

2:26

budget. So you can see, in a

2:30

nutshell, where your money is

2:30

gone. Step four, if you're

2:34

trying to pay off debt, it

2:34

doesn't have to be credit, any

2:38

type of debt, student loan,

2:38

credit card, auto, loans,

2:44

mortgages, whatever it is, for

2:44

whatever reason, you're trying

2:50

to reduce your debt or get out

2:50

of debt. This is the plan one,

2:55

quit using credit to make the

2:55

minimum payments, three, start

3:01

an emergency fund, build it up

3:01

to a minimum of $1,000. Continue

3:08

building it till you have

3:08

$4,000, take the excess over

3:14

$1,000 apply it to one of your

3:14

debts for repeat, he keep doing

3:21

this over and over and over and

3:21

your debt will start to

3:26

disappear. Now let's go through.

3:26

I know number three seems

3:32

involved. But it's not. You're

3:32

setting up a savings account, or

3:37

you're gonna refer to as an

3:37

emergency fund. You gotta put

3:40

money in there. And where's that

3:40

money coming from? Well, it's

3:43

coming from, you're making the

3:43

minimum payment. You're not

3:47

making any extra payments on

3:47

that debt right now. Because we

3:52

need an emergency fund. And why

3:52

do you need an emergency fund in

3:58

need in case some thing on

3:58

expected happens, you'll have

4:04

some money cash available to

4:04

help pay for it, which is gonna

4:11

reduce you using credit, which

4:11

is step one, quit using credit.

4:17

So all is enter related to each

4:17

other. You're making a minimum

4:22

payment, because that's going to

4:22

free up cash to build up your

4:26

emergency fund and your savings

4:26

account. You're building up a

4:30

savings account. So if something

4:30

would happen unexpectedly, and

4:35

emergency plan events that you

4:35

had not budget for that you did

4:43

not foresee an accident or

4:43

something breaking. Yes, you can

4:48

argue that you should set aside

4:48

money for repairs, things like

4:53

that. Yes, but at this point.

4:53

We're trying to keep things

4:59

simple. And that's how this is

4:59

gonna work. So let's go back

5:05

quit using credit. How do you

5:05

expect to pay off your debt if

5:09

you keep increasing it. So if

5:09

you say what the average person

5:15

done, and I did this for years,

5:15

I made sure I every month I paid

5:20

at least the minimum payment.

5:20

And then I was paying 100 or

5:24

$200 Extra, what I thought I

5:24

could afford at the time. And I

5:29

usually made that at this one

5:29

payment, when a credit card bill

5:34

was due, then what would happen?

5:34

Some months, I was fine. Some

5:41

months, I came up a little

5:41

short. So I had a cut back

5:44

somewhere. And I cut back by not

5:44

maybe buying as much gas for the

5:49

car, or I will what I was

5:49

eating, and pretty basically

5:54

eating macaroni and cheese for

5:54

dinner got old for a quick and I

6:00

went a long period of time

6:00

years, where I was in this

6:05

cycle, I would get the credit

6:05

card paid off, I'd be good.

6:09

Something bad would happen that

6:09

would charge x I never had

6:12

enough savings. Or I would

6:12

splurge on something I want it.

6:17

But I never build up a savings.

6:17

So when something would break

6:22

our repairs for the car or

6:22

something would happen, I would

6:27

never had any money in my

6:27

savings, or not enough money in

6:32

my savings. So I ended up

6:32

charging a big percentage of it.

6:36

And my thought always was, I'll

6:36

pay it off in two or three

6:40

months. But in two or three

6:40

months, what happened, something

6:44

else might happen. And then it

6:44

grew some more whether it grew

6:47

on the same card, or another

6:47

credit card didn't matter, my

6:51

credit card debt just got

6:51

better. I am maybe I did

6:54

eventually pay one off, maybe

6:54

eventually both of them that was

6:58

good for a month or two, but I

6:58

never build up my savings

7:02

enough, I had some savings. But

7:02

it was never enough. It was

7:07

maybe two $300 500 Whatever the

7:07

bank might require. So they

7:13

didn't charge me a fee for my

7:13

checking account is basically

7:17

what I had in my savings

7:17

account. Maybe sometimes I would

7:20

build it up, and then I would

7:20

buy something and use it and

7:24

then not build it up. And then

7:24

something bad would happen. And

7:27

I would use credit cards or

7:27

whatever. And I was stuck kind

7:32

of in that cycle. We're gonna

7:32

quit using credit. And the

7:35

reason is, we don't want to keep

7:35

increasing our debt. We're

7:40

trying to decrease the debt. So

7:40

we need to switch our spending

7:47

back to money that we have. And

7:47

that's why you're doing your

7:53

tracking. That's why you do the

7:53

budget. How much money do you

7:58

have to spend for new clothes?

7:58

Well, the first thing I do, how

8:04

much is your rent, or your

8:04

mortgage payment, your car

8:07

payment, how much you spend for

8:07

groceries, and for gas for the

8:11

car to go back and forth to

8:11

work, what insurance payments

8:14

you might have coming up, do my

8:14

taxes maybe come and do. Okay,

8:20

now, what if you pay all that

8:20

stuff that's coming due in the

8:23

next, say, 30 to 45 days, how

8:23

much money have the buy clothes

8:29

$50 Buy one pair of pants, I

8:29

want to buy three pairs of pants

8:35

and five or six shirts and a

8:35

couple of ties when I worked in

8:39

the office. So I just charge it,

8:39

I'm gonna pay it off in two or

8:44

three months, and never happen,

8:44

it always got stretched out.

8:48

So instead of living that way,

8:48

we need to change our thought

8:54

process. Instead of I'm going to

8:54

pay that credit card off in two

8:59

or three months by making $100

8:59

or $200 extra payment plus the

9:04

minimum payment. So if the

9:04

minimum payment is $40, and then

9:09

I add more charge now the

9:09

minimum payments $60. Plus, now

9:14

I got to use a little bit more

9:14

of my money to make that extra

9:17

100 or $200. As you balance goes

9:17

up, your minimum payment goes

9:22

up. As your balance comes down.

9:22

Your minimum payment comes down

9:26

bliss. Keep that in mind. That's

9:26

probably gonna be the biggest

9:32

problem and the hardest thing

9:32

for most people to do is to pay

9:37

their bills on time with the

9:37

money they have in their

9:41

checking account, the money and

9:41

money out not using any credit

9:46

to buy anything to pay for

9:46

anything to pay for your

9:50

gasoline or pay for your

9:50

groceries. We're not going to

9:55

use credit cards we're going to

9:55

use our debit card and borrowing

9:59

and spend The dollar amount we

9:59

have available in our checking

10:03

account, and we're gonna pay our

10:03

bills on time, this is gonna

10:08

take you the longest period of

10:08

time to get through to get

10:13

through that part and start

10:13

building that emergency fund is

10:17

gonna be a slow process in the

10:17

beginning. Over time, it's gonna

10:23

speed up, and I'm gonna explain

10:23

why that's gonna happen. So

10:28

we're not using credit anymore.

10:28

And now we're only making a

10:32

minimum payment on all the

10:32

credit card debt we have. This

10:36

does focus on our credit card,

10:36

because your mortgage your car

10:40

payments, you know, the minimum

10:40

payments is what's due every

10:44

month, there is no other amount.

10:44

Don't pay anything extra. I

10:49

know, if you pay $25 Extra on a

10:49

seven year loan, you will not

10:54

six months off. But you have to

10:54

do that from day one, and you

10:58

can't miss any months. So let's

10:58

not worry about that at this

11:02

time. Because now your problem

11:02

is your credit card debts

11:07

costing you way too much.

11:07

Because it's that 20% plus

11:10

interest, and that is gonna

11:10

accumulate faster. And the more

11:16

interest you have to pay, the

11:16

longer it's gonna take you to

11:19

pay it down. So let's not worry

11:19

about paying off that car

11:23

payment a little bit early, or

11:23

making extra payments on your

11:27

home and paying it off a year

11:27

early on a 30 year loan. But

11:31

really you think you're going to

11:31

notice that? Are you going to

11:34

live in that home for 30 years

11:34

to start with? You're probably

11:37

end up selling it and buying

11:37

something else? Maybe maybe not?

11:42

I don't know. But what are your

11:42

long term plans? Are you gonna

11:45

be there? 30 years? Why are you

11:45

paying extra on your mortgage as

11:48

a 30 year loan? If you only

11:48

gonna be there? Eight or nine

11:52

years? Yes, we'll give you some

11:52

more equity. But you can use

11:57

that cash today. And it's better

11:57

used on paying off a 20% credit

12:04

loan versus a 6% credit loan,

12:04

see where I'm getting at. It's a

12:11

matter of prioritizing, picking

12:11

out and paying off what's

12:16

costing you the most money is

12:16

what we're trying to do here. So

12:21

now we're making the minimum

12:21

payments. And now we're gonna do

12:25

the emergency fund. And you're

12:25

thinking, where's the money

12:31

gonna come from to put in my

12:31

savings? Well, how much first of

12:36

all, if you were not making any

12:36

extra payments, you probably

12:42

have a spending problem. If

12:42

you're not making any extra

12:46

payments and any of your loans

12:46

and you don't have any extra

12:51

money. We have to go back to

12:51

tracking your income and your

12:59

spending, setting up your

12:59

budget, knowing how much do and

13:04

when it's due, and figure out

13:04

where you're spending too much

13:08

money because you only earn

13:08

limit to what you can spend

13:13

based on what's coming in. So if

13:13

you're making bring home, which

13:19

is your pay after taxes and

13:19

everything deducted, maybe you

13:24

have your health insurance

13:24

deducted, maybe a 401 K plan

13:28

deducted. That's the amount of

13:28

money you have to pay for

13:32

everything that you do. So we

13:32

have to look, now we're looking

13:38

at where is my money going? And

13:38

why don't I have more leftover.

13:44

So you need to tackle that

13:44

problem. Maybe it's

13:48

straightforward and you just

13:48

spending way too much. Maybe

13:52

because you go out and eat two

13:52

meals a day. And at a

13:55

restaurants. And you're spending

13:55

100 plus dollars a day just to

14:02

eat two meals a day, maybe is

14:02

something that you like to buy,

14:07

maybe you're a shoe collector,

14:07

if you're a female, that I'm not

14:11

trying to be bad here. Most

14:11

females my wife's got more shoes

14:15

and she know what to do with. He

14:15

don't have to have that many

14:19

pairs of shoes. Let's minimize

14:19

everything now and only buy what

14:25

we absolutely need and pay for

14:25

what we absolutely have to pay

14:30

for. We have to pay the

14:30

mortgage, we have to pay rent,

14:34

we have to pay our utilities. We

14:34

have to pay the car payments, we

14:39

have to buy gas, we have to buy

14:39

groceries, minimize it down. How

14:45

bad is your debt problem? How

14:45

much do you owe? If you only owe

14:51

seven or $8,000 you can cut back

14:51

for a few months and you're

14:57

gonna have it under control. If

14:57

you have have 40 or 50,000 or

15:02

$100,000 in credit card debt,

15:02

you really need to scale way

15:07

back on everything. And we need

15:07

to be serious about looking at

15:13

our problem, minimize as much as

15:13

possible. So we can maximize how

15:20

much money we can apply to our

15:20

debt. Which brings up a good

15:26

point, friends of mine, had a

15:26

good job, made great money, got

15:34

a bunch of credit card debt,

15:34

doesn't matter how. But he had

15:39

100,000 and credit card debt.

15:39

And he was paying on it. Which

15:45

means he was cutting back on

15:45

everything he did month to

15:48

month, because he's been retired

15:48

for four years. So in has a

15:51

decent retirement, he won money

15:51

in the lottery. And after he

15:58

paid taxes, most of that money

15:58

paid off his credit card debt,

16:02

he got lucky. But don't plan on

16:02

winning the lottery to get

16:07

yourself out of debt. So let's

16:07

look at this endless, come up

16:11

with a plan and the plan is quit

16:11

using credit, make the minimum

16:16

payment, put money in your

16:16

savings account or emergency

16:20

fund, keep a minimum of $1,000

16:20

in there to start, then build it

16:26

up to 4000. Because as you do

16:26

that, if it never goes below

16:32

1000, he have at least $1,000.

16:32

And something would happen. As

16:37

you're building it up to the

16:37

4000 level, your emergency fund

16:42

is just getting bigger, bigger

16:42

and bigger is something that

16:45

happened when you have 3000 in

16:45

there, you can cover more of it.

16:51

Meaning, you're may have to use

16:51

less credit in order to get

16:57

through the problem, then when

16:57

you get up to 4000. And you're

17:02

most of your bills are paid, and

17:02

you got the money in your

17:05

checking account to pay your

17:05

bills, and you don't see

17:09

anything unusual coming up and

17:09

you know, you have the money

17:15

available, you take that $3,000

17:15

That amount in excess of 1000.

17:21

And you apply it to one of your

17:21

bills that you want to pay off

17:27

or pay down. So how do you

17:27

select which one you're going to

17:33

pay and how you're going to

17:33

apply it. First thing you want

17:39

to do before you apply that 3000

17:39

You do that after you make your

17:44

minimum payment, because we want

17:44

that 3000 The all go to

17:49

principle that minimum payments

17:49

gonna pay the interest and a

17:53

little bit of principal. And

17:53

then when you apply that 3000 is

17:57

all going to be principal, your

17:57

bounce is gonna drop in what

18:01

happens when you do that, your

18:01

minimum payments going down, I

18:06

recommend just keep making the

18:06

same minimum payment that you

18:10

start out at that way, it's

18:10

gonna be a little bit bigger,

18:14

and you're gonna pay down some

18:14

more principal. And you're

18:19

already used to making that

18:19

dollar amount payment. So your

18:23

minimum payments gonna stay at

18:23

where you start it for all your

18:29

debt, you're not going to reduce

18:29

that it's going to stay the

18:33

same, then you start

18:33

accumulating more into your

18:38

savings account and you keep

18:38

building it up. And you do it

18:44

again, maybe you pay off the

18:44

second time or the third time

18:48

you pay off a credit card. While now that's good, do

18:49

not cancel that credit card.

18:57

Keep that credit card open, but

18:57

don't use it. The reason is six

19:04

months down the road that credit

19:04

card company may send you an

19:08

offer to where you can transfer

19:08

a balance from another credit

19:13

card for a fee of say 5% and

19:13

have zero interest for 18

19:22

months, 12 months or some length

19:22

of time. Generally it's at least

19:26

12 months, but I've had it as

19:26

long as 18 months a year and a

19:30

half. Now we can use that credit

19:30

card to advantage because the

19:37

transfer fees owing 5%. That's

19:37

way less than what you're paying

19:42

20% we can transfer three or

19:42

4000 over whatever way you want

19:48

to do is figure out the minimum

19:48

payment of say 50 or $75. How

19:55

many months 75 times 18 months

19:55

If that's the amount you

20:01

transfer over, and you pay $75

20:01

Every month, and you pay it off,

20:08

now, the first month, you might

20:08

pay more than that, because you

20:11

got to pay that transfer fee of

20:11

5% off, whatever you do, you

20:18

want to pay off the total amount

20:18

you transferred within that time

20:25

period, or a little bit short of

20:25

that time period. So that they

20:30

don't come back and charge you

20:30

interest from the day one up and

20:34

all that and you get a big chunk

20:34

of interest Do you want to avoid

20:38

paying that interest, so only

20:38

transfer over what you think you

20:42

can pay off in that time period,

20:42

maybe it's $75 a month, maybe

20:48

it's $150 a month, treat it as a

20:48

personal loan, and that it's the

20:53

same payment every month,

20:53

because there's not going to be

20:56

any interest on there. And

20:56

what's gonna happen is the

20:59

credit card, you're taking it

20:59

off of, that's gonna drop down,

21:04

so that minimum payments coming

21:04

down. So you can adjust that

21:09

minimum payment, if you're doing

21:09

it for this purpose, that's

21:12

gonna give you some of the cash

21:12

or the money to apply to this

21:18

new loan that you got for 12

21:18

months, 18 months, or whatever

21:23

it is, you pay it off, you wait,

21:23

and you might get another offer,

21:27

we do it again, maybe you get a

21:27

second credit card paid off the

21:32

Wait, don't close any of them.

21:32

And the main reason is you want

21:35

to use them to your advantage in

21:35

the future. But you don't want

21:39

to reduce the amount of

21:39

available credit. Because as you

21:43

pay them off, your have more

21:43

available credit based on your

21:48

income to credit ratio gets

21:48

better, your credit rating is

21:54

better. That helps reduce the

21:54

cost for insurance and new loans

22:02

you might get and a future

22:02

better credit rating is gonna

22:06

work to your advantage. And

22:06

you're gonna work by doing all

22:10

this to improve your credit

22:10

rating, maybe you only had a 300

22:16

credit rating, or credit rating

22:16

is I think, from 300 to 850,

22:23

something like that. Maybe you

22:23

had a 400 credit rating, pretty

22:27

low average. But you can get

22:27

that up to average and then you

22:30

can get up to good and then you

22:30

can get it up to excellent. By

22:34

just staying focused, paying off

22:34

your debt and doing all this

22:39

stuff the right way. I'll be

22:39

back in one moment with my final

22:43

thoughts. If you're interested

22:43

in learning about an online

22:48

software that help myself get

22:48

out of debt, it does tracking,

22:54

budgeting, and keeps track of

22:54

all your assets and all your

22:58

debt. And even tells you how

22:58

much and when to transfer money

23:04

into your savings account. And

23:04

how much and when to transfer

23:08

money to your debt and which

23:08

debts to pay off and order.

23:13

First. It's not cheap. It's a

23:13

one time payment. But it would

23:18

definitely be an investment,

23:18

something and yourself and an

23:24

investment in your personal

23:24

financial life. If you're

23:28

interested, send me an email at

23:28

reduce debt increase

23:34

[email protected]. And I'll send

23:34

you the information about this

23:40

online software that worked

23:40

great for me, quit using credit,

23:45

make the minimum payment. And

23:45

step three, start emergency fund

23:51

and build it up to at least a

23:51

minimum of 1000. And then

23:57

continually build it to a total

23:57

of 4000 Once you got to the 4000

24:03

and you're comfortable that your

24:03

monthly bills are paid up, or

24:08

you got the money available

24:08

without using the savings, and

24:11

nothing bad's gonna happen in

24:11

next few days, apply it to a

24:16

debt and then keep doing the

24:16

first two and repeat number

24:21

three. Number three is gonna be

24:21

a process that goes over and

24:25

over and over. In the beginning,

24:25

it will be slow because you're

24:30

paying a lot of those minimum

24:30

payments. And then as you pay

24:34

that off, the less your pan the

24:34

faster is going to go. You have

24:39

more available to put in

24:39

savings, the faster the savings

24:44

will grow. Then the quicker

24:44

you'll be able to apply it to

24:48

the next step. Then when you get

24:48

two or three or four of them

24:52

paid off, is gonna speed up. I

24:52

remember when I was working on

24:57

my I paid off I know doesn't

24:57

seem like a lot. That was for

25:02

me, it was 135,000, roughly. And

25:02

I paid it off in three years and

25:08

eight months. Part of the reason

25:08

why it took me so long, I

25:12

probably could have been a

25:12

little bit faster if I had a

25:15

better job. But it was about the

25:15

first nine months or so, I was

25:21

working a job, I didn't make a

25:21

whole lot of money. So I was

25:24

just barely keep my head above

25:24

water. And then when I changed

25:29

jobs, it really speed up because

25:29

my income almost doubled, if not

25:34

doubled. So now let's talk, how

25:34

to choose which debt to pay off

25:41

first, second, third, or whatever, what's the order on now's

25:43

opportunity. If you want a

25:49

spreadsheet that will help you

25:49

do this. Happy draft.or has a

25:58

debt. Some I forget what's

25:58

called debt spreadsheet that you

26:03

can put it in. And I'll show you

26:03

the order because you put all

26:08

the information and the name of

26:08

the credit card, the date is due

26:13

the rate of interest, the

26:13

minimum payment, I'm pretty sure

26:17

all that information goes into

26:17

the spreadsheet. If not make up

26:22

your own spreadsheet, you want

26:22

the name of the card, the date,

26:27

the payments, do the amount of

26:27

the minimum payment, and the

26:31

rate of interest you're paying

26:31

on the cart. Once you get that

26:36

in there, if you know how to

26:36

sort in a spreadsheet, sorted by

26:41

highest interest rate first to

26:41

lowest interest rate, this would

26:45

be what's called the Avalanche

26:45

method, the Avalanche method and

26:51

this is just a guideline on

26:51

which one to pay off first, on

26:56

the Avalanche Method, you're

26:56

paying off the car with the

27:01

highest interest rate first. And

27:01

then working your way down the

27:07

snowball method, which is the

27:07

reverse, you're paying off the

27:12

card with the lowest balance

27:12

first, regardless of the rate of

27:18

interest, so that once you get

27:18

that first one paid off, you

27:22

feel like you made some

27:22

progress. Here's what I

27:26

recommend. I do a hybrid, that

27:26

very first one, I paid off the

27:33

card with the lowest bounce one

27:33

so that could feel like I'm

27:38

making progress and two. So I

27:38

had a card with a zero balance.

27:43

And then a few months later,

27:43

that happened along where they

27:47

offer me a a transfer a balance

27:47

from another credit card 18

27:53

months no interest, I jumped all

27:53

over it. I did some math first,

27:58

how much is gonna cost me to

27:58

transfer it? How long is it

28:02

gonna take to recover that and

28:02

by not paying that much in

28:06

interest. It was like two and a

28:06

half months. Short time, I

28:10

jumped all over it. So that's

28:10

gonna help you. So if you kind

28:16

of do a hybrid pay off the first

28:16

one with the lowest balance,

28:19

don't close it. Now I switched

28:19

over paying off the highest

28:24

interest rate next, and then

28:24

came down that way. The reason I

28:28

did that is because the highest

28:28

interest rate one was cost me

28:33

the most money and order to

28:33

reduce my interest on paying, he

28:38

got to pay off the one with the

28:38

highest interest first. So that

28:42

I can now because it was cheaper

28:42

not to pay off the ones with the

28:46

lowest rate now money wise, and

28:46

then I worked my way down. Once

28:51

I got through my credit cards,

28:51

then I paid off my car loans.

28:55

Once I got my car loans, then I

28:55

paid off my line of credit on my

28:59

home. And then I paid off my

28:59

first mortgage. And this how

29:04

fast I when I got down to the

29:04

only thing I had was one

29:09

mortgage they owed on I was

29:09

making that extra payment that

29:14

$3,000 about every three weeks

29:14

how I'd make my monthly payment

29:21

a week or two later. Three grand

29:21

Oh, another three grand Oh,

29:27

monthly payments do pay that,

29:27

oh, I got another three grand

29:32

and it went fast. I paid off

29:32

like two years worth of loan

29:37

payments, and basically two or

29:37

three months and I was done. Now

29:44

I had all this money that I

29:44

could build up in my savings

29:49

account and have a nice big fat

29:49

emergency fund. And once I got

29:54

over three or 4000 in my savings

29:54

I thought why my banks not

29:59

paying me nothing I found a

29:59

online bank that had a active

30:05

savings account that was paying

30:05

two or 3%. I set that up to

30:10

transfer my money. Now it's in a

30:10

money market and I'm getting

30:14

five and a half percent. So my

30:14

money is working for me now and

30:19

not against me. When you have

30:19

all that credit, all that money

30:24

you owe you the money is working

30:24

against you. You want to get the

30:30

money to work for you. And

30:30

you'll be glad you did. You did

30:35

so