Paying Off Debt Super Fast

Paying Off Debt Super FastI hope you’re enjoying my Financial Fitness tips, and that you’re starting to get into financial shape!

Today’s tip will help you to trim off your debt super fast, using a technique called:

Debt Stacking.

How does it work? Lets assume you have 3 liabilities:

– A credit card.
– A car loan.
– And a mortgage.

Let’s start by paying off the highest interest rate debt first, in this case it’s probably the credit card. And we’re going to make the minimum payment to the other debts.

Once the credit card is paid off… lets say it was $200 a month, you can now apply that amount to your car loan which let’s say has a $350 payment. Your new payment to your car will be $550 a month. This should wipe out that car loan quick.

Once the car is paid off, we will take the $200 that used to go to the credit card, and the $350 that went to the car loan, and apply the entire amount to the mortgage of let’s say $1000 a month.

You will now be sending in $1550 a month to your mortgage. Wow!

This technique will wipe out all of your debt super fast.

And possibly save you 10’s or even 100’s of thousands of dollars in interest costs.

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