Debt Reduction Strategies.
There is good debt and there is bad debt…
Good debt is where you borrow to invest and your investment grows in value or earns money - this actually works for you.
On the other hand there is bad debt where you borrow for a car, boat or use a credit card to buy items that depreciate in value and don’t earn you any money. You lose twice here – the capital value and the interest you’ve paid.
That’s why before you start accumulating assets, it’s important to check what you owe – how much, in what form and at what interest rate. Then you can see whether you can arrange your debt more efficiently, with the sharpest rate possible.
At Momentum Wealth Management, we can:
- Review your financial commitments and debts
- Construct a budget with you
- Help you consolidate your debt effectively
- Recommend investment products to achieve your goals
- Review, recommend and arrange appropriate insurance
- Look at ways of turning bad debt into good debt