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Top 10 Tips For Paying Off Debt: Consolidate Debt But Only If You Have A Budget

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  Video Transcription Hi guys, Phil McGilvray here from Grandma’s Jars. Thank you for joining us. Today we continue on with our series “Our Top Ten Tips For Paying Off Debt”. The topic of today’s tutorial is debt consolidation. This is tutorial 5. Debt Consolidation Debt consolidations is a really contentious issue, something that I do talk to my clients about a lot. It’s really important that if you are considering debt consolidation that you are doing it for the right reasons and that you are prepared for it. Very often we see people consolidate debt who have come to see us six months later and they are in exactly the same situation because they haven’t addressed the habits and behaviours that caused them to be in debt in the first place. Example Just last week I had a new couple come see me. They had a property. The property had gone up in value by about 60 000 dollars – which sounds fantastic – over the last couple of years. But in the same two years they racked up about 55 000 dollars in debt. They were asking me “should we consolidate our debt?” Unfortunately there is no easy answers to that. My …

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Top 10 Tips For Paying Off Debt: Smallest Debt First

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  Video Transcription Hi guys, Phil McGilvray here from Grandma’s Jars. Thank you for joining us. Today we are continuing on with our ten part series – our ten tutorial series – Top Ten Tips to Paying Off Debt. Today, we are really getting stuck in the nitty-gritty. This is the sixth session – the sixth tutorial and we are looking at the actual strategy in developing our debt repayment plan. I have called this particular tutorial the smallest debt first. But what I am going to give you is a real overview of the whole debt repayment process. What I have got is an example from a client I was working with just last night so hopefully that will make it a lot easier for you to understand.    Understanding Your Debts What we’re going to do as a first point of call is throw it all out there. How much debt do you have? what are your debts? So we have listed them all down here. Now, with this process it’s really important that we know everything, that we’ve got all the debts. Sometimes we are a bit fearful of what we are going to see. We sort of …

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Top 10 Tips For Paying Off Debt: The Rainy Day Fund

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  Video Transcription Hi guys, Phil McGilvray here from Grandma’s Jars. Thanks so much for joining us. Today we are looking at tutorial four of our ten part series, our Top Ten Tips for Paying off Debt. In tutorial four today, we are looking at the importance of having a cash reserve in place before we start paying off our debt. Identifying True Savings In yesterday’s session, we looked at the importance of having a budget. And with that budget, the power behind that is that it helps us identify true savings. So once we have been through all of our expenses, we can then sit down and identify how much have we really got spare at the end of the month once all our expenses are covered. Now, the temptation is that once we identify that spare money, that true savings, is to start throwing it at our debt, at our credit card, and so on. And yes we do want to get rid of it – but the problem is, too often we will see people who go through that. They will throw their money, all their extra money, at paying off their debt only to find that …

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Top 10 Tips For Paying Off Debt: Establish a Realistic Budget

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  Video Transcription Hi guys, Phil McGilvray here from Grandma’s Jars. Thank you for joining us. Today we are looking at tutorial 3 in our ten part series, our top ten tips for paying off debt. Tutorial 3 we are focusing on the importance of having a budget, a realistic budget. Budgeting is what we are about here at GMSJ and I am excited to be bringing this tutorial to you. I’m not going to go through the budgeting in great detail – that’s for another day, another series. Certainly we have a lot of information on our website, so if you need any help with it, please don’t hesitate to get in touch with us. What a Budget Will Do For You Today what I want to talk to you about is the importance of a budget to the debt reduction process. What I’m going to start with is three really key reasons of what a good budget will do for you as you strive to pay of debt. #1: What You Need Set Aside for Future Bills and Expenses The first one here is that budgeting will tell you what your expenses are, what expenses you have coming up. …