What’s up everybody?
I am Jaspreet singh, and welcome to the Minority Mindset. Ready for some
average numbers? The average American household has $16,000 worth of credit
card debt, $30,000 worth of auto loan debt, and $51,000 worth of
student loan debt. That’s almost a hundred thousand dollars worth of debt,
and I haven’t even touched your house. Hey, where’s my money? When you’re playing
the payments game like this, it’s a rat race. You’re making money, just so you can
make your payments to your bank. Hey boss, uh, don’t bother paying me next month. Just
pay my bank directly. So you think, hmm, if I work harder, and I can get a promotion,
or I take some overtime shifts, I’ll make more money, and then I’ll get out of this
mess. I’ll run out of this rat race. You start spinning your wheels faster and
faster and faster, because you think it’ll get you out of this mess, but what
keeps happening is your payments and expenses keep going up. who keeps taking
all my money? Well, thankfully there is a way out of this debt mess, and it can
help you breathe a whole lot easier. But, before I get into how you can pay off your
debt quickly, make sure you hit that thumbs up button below, because if you don’t,
YouTube stop showing you our videos, so make sure you hit that little thumbs up button.
First: make your debt cheaper. In 2019 the Federal Reserve slashed interest
rates multiple times. This is bad news for your savings account, but it is great
news if you have debt. If, that’s the keyword, if you are money smart. See, the
majority of people are DTF, down to finance. So when interest rates come down,
it is easier for the majority people to go into more debt, because loans are
cheap. It’s like when cookies go on sale at Walmart. When cookies are cheap, people
don’t run over to the salad section. They grab as many macadamia cookies they
can fit in their trunk. But, you’re not like the majority of people. You’re not
DTF, down to finance. You are DTR, down to refinance. Interest rates are lower.
Meaning, if you have student loan debt, mortgage
debt or credit card debt, you can borrow money at a cheaper price, and pay off
your current debt, and pay less money in interest, which brings me to my second
point: refinance the smart way. When most people refinance on their
loans thinking that they’re going to save money, they actually end up paying more
money in interest, even though they have a lower interest rate. Waaa. Here’s what
happens. Let’s say you have a $500,000 mortgage, and a 5% interest rate, and you
work for 10 years to pay down your mortgage, and after 10 years you only owe
$400,000 on your loan, and that’s when interest rates come down all the way to
3%, so your bank asks you, do you want to save some money? Uh, yeah.
So, you refinance on your mortgage, but instead of taking out the $400,000 which
is what you had, before you decided to take out $550,000,
because your home appreciated over the last 10 years, and now you want
to keep your monthly payments low, so you extend your loan for another 30 years.
Yeah, your interest rate is lower, but you are going to end up paying more money in
interest than before. When you refinance on your loan, your bank will want you to
either A, take out more money than you need, or B, extend the term of your loan,
this way you have to make payments to your bank forever. When that happens, I
want you look at your bank, stand up straight, look right into their eyes and say,
noooo, I watch Minority Mindset. What I want you to do, besides saying no, is take out the least
amount of money possible, get the lowest interest rate, and continue making the
same payments you are today. So, to add another layer to this. If you are paying
twenty seven hundred dollars a month with your 5% interest rate mortgage, and
now your monthly payments come down to twenty one hundred dollars a month, I
don’t want you to start paying twenty one hundred dollars a month, I want you
to continue paying twenty seven hundred dollars a month, because this extra $600
that you’re paying each and every month is going to go directly to your principal with
no interest added. And if you’re looking for companies that can help you
refinance on your mortgage or your student loans, while paying the least
amount of money in fees possible, I’ll link some of our sponsors in the
description below. The companies that I have listed in the description are
affiliate partners with Minority Mindset, so if you use them, we will get
compensated, but there’s no additional cost to you. So, if you want to see how
much money you can save, I got these companies in the description below. And
the third thing you need to know is: you need to get your money right. If you have
ten thousand dollars of debt you’re trying to get rid of, you need to come up
with ten thousand dollars plus whatever interest you owe to get rid of this debt.
Pretty simple right? If only it was that easy. If you want to come up with that
$10,000 quickly, there are three things you need to do. I call these the three
keys of money. Key number one: spend less money. Key number two: earn more money. And
Key number three: invest like crazy. When you are trying to spend less money, you
need to become a supersaver. Cancel the monthly massages, start cooking your own
lunch, and stop drinking coffee from Starbucks. I know this is not easy, but
this is a temporary sacrifice so you can get your money right. Once you got the
saving part handled, now it’s time to earn more money. Work harder at your job
if you need to, or try to make money outside of your job. So, you can start a side
business, become a freelancer, and start flipping things. Once you’re here, and you
have some breathing room, do not go back to your old bad spending habits which
put you in this mess to begin with. Continue living below your means, because
now it’s time to invest like crazy. When you invest your money, now you’re not
using your money to buy things that make you broker, you’re using your money like
a magnet to go out and attract you money, because you’re putting your money to
work for you. And if you want to make the smartest money decisions possible, you
need to stay up-to-date on what’s happening in the finance and business
world, which is why we created the free Minority Mindset newsletter where we first
breakdown the top finance and business news, and then we show you how the news
affects your wallet. This way, you can be money smart. This newsletter is
completely free, and you can subscribe to our newsletter by clicking the link up
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And as always, KEEP HUSTLIN’ *