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Consider this example: you have at least six debts, your mortgage, two cars,
a couple of credit cards, and a department store card for a total of $243,265.
By paying the minimum payment on each debt you will be debt free in 30
years and pay a total of $507,117 to your creditors. That's normal. But what if
you accelerated your debt payoff by simply rolling over your payments and adding
a small amount extra?
| Acceleration |
Time to Pay Off |
Total Amount Paid |
|
| Without Rolling payments over |
30.00 yrs |
$507,117 |
| Rollover payments + $0 extra |
14.75 yrs |
$387,826 |
| Rollover payments + $100 extra |
13.50 yrs |
$371,195 |
| Rollover payments + $200 extra |
12.50 yrs |
$358,836 |
You would be much better off accelerating your debt. Not
only will you save time and interest, but you’ll be able to start reinvesting
the money you would have paid towards more important things like your
retirement.
Want to be free of debt and have extra money? Then
start accelerating your debt payoff!
- You'll pay significantly less interest to your creditors
- You'll get out of debt much quicker often shaving years off your payoff time.
- You'll have extra money to put towards more important things like retirement or your child's education.
- You'll protect your credit and have an excellent rating.
- You'll be able to live on less helping protect you against things like losing a job or interest rate hikes.
Saving, investing, getting out of debt? Its not a question of which is more important.
Establishing a healthy financial situation means addressing all these areas. But to
achieve your financial goals you must first create and execute a debt
acceleration plan. With an effective plan in place you can then turn your
attention to saving and investing.
Compare the two diagrams below, which would you prefer as a model for your financial plan?
The individual in diagram 1. has reduced their debt and applied the extra money toward a solid foundation of saving and investing.
The individual in diagram 2. is unbalanced by the amount of debt they still have and are unable to apply the money towards other things.
They are as unstable as they look.
Its a simple yet powerful concept. Everytime you roll over your payment to the next debt you shorten the time taken
to pay off all your debts without increasing your monthly payments at all. It also
lowers your interest cost, helps keep a healthy credit score, and as long as you
don’t incure any more debt, your financial situation is changed permanently!
Even very small additions to your payment have a powerful impact on your financial
situation and help you create a solid foundation for the future.
Debt Accelerator can show you what to pay and when. Try our free debt calculator and see just
how much you'll save right now. The bottom line is that anyone
with more than one debt can pay them off faster and pay less in interest than they
otherwise would have. Learn more about how debt accelerator can help you achieve your
goals or start accelerating your debt and order today.
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