I bank with a credit union and was threatened to close my account because they weren't able to make money off of my line of credit. This was during the pandemic and I was just winging it not knowing this was an actual strategy. Excited to get these tips so I can start again with true knowledge.
@@VanntasticFinanceswould you like to make a video breakdown of my Finacial situation? I feel illiterate in these things when I see how you make it look so simple.
I had to file bankruptcy because of out of control credit card balances. It was the biggest eye opening moment for me and the best decision I made. I only use my credit cards to buy gas and groceries now and I pay it back the same month. Moral of the story is don’t buy things you can’t afford people!
@@jacobkaleeBankruptcy isn’t a death sentence. I bought a house two years out of bankruptcy. Bought a car, two months after. Three credit cards within six months, to start rebuilding again. No problems keeping a checking, or savings, with my credit union. Six years later, FICO scores sitting at 750- 780, depending on bureau. Only debt is a mortgage, even with 12 credit cards. Emergency fund covered with 12 months of expenses saved. Retirement savings are on track again. Never going down that debt road again.
It really seems to me like most people talk about credit cards like you HAVE TO max them out or use the full balance, so people end up doing that because that's what they associate with credit cards. Credit Cards should be seen as a buffer between your purchases and your pay. Use the credit card to save yourself from fraud. Your bank won't do much for you in event of fraud but a credit card WILL do a lot. Use the credit card to get cash back, reducing monthly expenses. If you know your monthly recurring bills are $500 and you're already paying them out of your checking account, pay them with a rewards card and then pay the credit card out of the checking account. Check with your credit card because there are things that can get free warranties and other protections when bought with a CC. I'm glad you learned your lesson and do it right now, but I wish you didn't have to learn through bankruptcy... but it's better to learn the lesson and change the bad behavior than to get bailed out, never to learn to change your behavior (like with the student loan crisis)
I think I see a fairly significant flaw in this example, please let me know if I am missing something. Income “going into” the credit line is listed at $9,005, but should it not be $6,835 ($9,005-$630-$1,540)? You suggest an “income transfer” of $630 to CC #1 and $1,540 to CC #2, but then show all income “going into” the credit line. Unless I am mistaken, you are either double dipping the income or understating the expenses.
T-h-i-s is sooooo fantastic! The scenario you're using is pretty much my scenario by at least 95%. Thx for showing me (and I'm sure plenty of others) the way out. May you continue keeping making these Super helpful videos. I 💕 Love them!!!
Moral of the story don't bury yourself in debt in the first place. You only make so much in your lifetime, do not lose it all to interest. According to Einstein, “Compound interest is the eighth wonder of the world. He who understands it, earns it … he who doesn’t … pays it.”
@vikramsekhon1436 no I do not need assistance with money. Glad you are trying to get your forever house. I bought a brand new house Dec 2022 and 80 wooded acres Feb 2023. If you work hard, don’t finance everything or get a new car every 3 years you can do well
Or do what rich people do: bury yourself in debt, and then "decide not to pay it". Then when they come for it, dispute it in court, settle for half and deletion from your history, and then hire someone to dispute the credit reports.
She needs to cut all those credit cards up, eliminate hair appointments, save up $1000 emergency fund, list debts from smallest to largest amount, pay aggressively towards the smallest amount then apply those payments to the next smallest amount using a debt snowball until she has no more debt with the exception of the house. Then she needs to save up 3-6 months of income as a new emergency fund. Never use debt again. I haven’t had a credit card in 6 years. If you can’t afford to buy it right now you need to save up for it and wait.
Not true: she needs to keep the credit cards and use this strategy. What you are trying to say is “She needs discipline”, which is 100% true. But once she finds discipline, this strategy works. If she doesn’t find discipline, this strategy still works at lowering her net cost by lowering the interest charges. This allows her to pay off the debt sooner…so that she can use it again. Either way, this is the solution to her problem.
I love what you are saying, but no bank at this time will give you a line of credit for 15k if you have a negative cash flow. The banks are stifling their loan qualifications because they have no liquidity!
You never included her new expense on the line of credit for the car. And how does she pay $1000 x2 card payment with a card.?Thank you for all that you do!!
There is no new payment because she’s putting her whole check into the line of credit every month. She’s using the $15,000 line of credit to pay off the credit cards. Hope this helps
I love your content. This video is great, but you cannot pay your mortgage with a credit card (line of credit) so the expenses are too high because they include it. Also, I would love to see this math on a biweekly basis. People don't get paid once per month. Can you create a video with the person being paid every 2 weeks? I wonder if that slows it down.
I definitely agree with using your credit card as your "checking account". But what doesnt make sense to me, is paying off a car loan with a line of credit that likely has a higher interest rate.. The math for me isn't mathing.
I would say I don’t know how I find you on UA-cam, but I know better. My husband and I have been in prayer so that we get our credit scores up and our credit record in great shape so that we can purchase our forever home. It was no one but God that led me to *Web backdoors🕳️org* . I thank God for this wisdom. Bless you.
This has easily become one of my favourite & the realest credit repair source major level of mature grown conversations amongst legends intellectual mindsets. Different level of transparency.It’s authentic. Dope to see! Salute to the team look them up
Good morning. I do fetch and am about to hit 100,000 points, which I will turn in for a restaurant gift card. That way I will be able to occasionally go out to eat basically for free several times. Pretty good deal for just a little work.
I think this is helpful for those that will be wise with the cash flow. People who have been irresponsible also need to learn budgeting and how to create goals and guidelines in order to not dig a hole again.
Do you have any advice or videos for single 80 year old on Social Security? My friend is trying so hard but you know one SS check a month doesn’t go anywhere these days.
I like your videos, and you have really nice strategies. I'm just wondering how are you paying your car payment would a credit card? When most car loans you can't pay white credit. You have to pay cash. Also your mortgage you have set a cash. You can't put that stuff on a credit card. Everything else expenses as far as Car Insurance lights, water and etc. Yes
So I’ve done the math on this over and over trying to figure out how it works and I can tell the difference between this and just dumping ALL of your extra money towards your debts. Similar to the debt snowball from Dave Ramsey or the debt avalanche, don’t remember who that one is from. There is a difference but it’s not very much. To the point you wouldn’t noticed.
Sounds like a great plan. But she must be disciplined enough to follow the plan. But then again if she was disciplined with her money, she wouldn't have got herself in this mess in the first place. I found people like this find they have more money, they go out and spend more money. It's a vicious cycle.
I would say I don’t know how I find you on UA-cam, but I know better. My husband and I have been in prayer so that we get our credit scores up and our credit record in great shape so that we can purchase our forever home. It was no one but God that led me to *Web backdoors🕳️org* . I thank God for this wisdom. Bless you.
I don't understand why you would go from a 4% car interest to a 12%. I don't disagree with the rest of it. I do get she is trying to pay it off quicker, which may be cheaper in the long run, but I would never ever go from a lower interest to a higher one. The reason I wouldn't is because emergencies happen. Things like losing a job, reduction in pay, or other expenses pop up. The next thing you know, you're in trouble.
It is not a higher interest, she is using the higher interest card's grace period to cycle money through. There is no interest when you do that, which frees up cash flow and satisfies minimum payments at the same time and so the balance gets cut down
Good concepts but you’re missing the payment of the new line of credit. Chances are that payment on a lnc is 375 with a 8 to 12%. Specially with it being a signature loan. Also most people who have maxed out cards are already using the method you’re doing. Charging their cards for those exact expenses already.
Actually, you can buy a good car for less than $10 k. May not be the prettiest, but it can take you were you need to go. The problem is that people are not willing to sacrifice aesthetics for a debt-free lifestyle!!!!
Is the credits cards separate from the expenses? Is so, don't you have to reduce the income the amount you put on the cards? And why don't the card payments come out every month if expenses are going in each month?
@Jesus-kt5dc yes. I did, over and over. She says the chargeable expenses determine how much of the income is going on the credit cards. @1.50 she says "card #1 gets $630 applied to it". Then go to 2.20 she puts $1540 on that card. So to me that $2170 has to come off the income.
@@sharonfurey4019 yes I did. She called it income transfers. But I think she still has to lower the income the amount she put on the credits cards. She can't put the entire $9005 on the LOC unless the credits cards were one example and the LOC is a different example.
She is still applying the $630 to credit card #1 and $1540 to credit card #2 after the money pays down the line of credit first. The $630 and $1540 are coming out of the $8006 in expenses that are taken out of the line of credit each month. Does that help?
JC on a motorbike. You didn't pay off the car loan, you transferred it to another car line. Also car loans are typically under 9%, your example mentions 12%. So you're paying more in interest which is slowing down the total payoff. TLDR don't do this!
Hello Ms Vann! I’m a new subscriber and I truly have a lot of questions but the main question I have right now is do u have any knowledge 4 those who rec’v fixed/low incomes? Do u work with them as well?
I bought a new Toyota Tacoma summer 2023, Financed for 3 years, payment is 389.00. have been paying 800.00 per month, will have it paid off next year. My advice, only finance for 3 years, put money down, pay it off while it still has value.
I'm just started watching this strategy from Conan Jay Wallace❗I am confused 🤔. I did put my 🚗 payment, and car insurance on my credit 💳 each month Amongst other bills, as well. I have a high limit on my cash rewards cc. One thing I understood, from this video. Is paying less every month. Because I do worry that boa, might cut my credit limit on this particular credit card. How much more should I pay after paying the statement balance ❓
...GOT IT! ...Thank Goodness I Followed This Advice and I'm Debt Free after Years of Despair. I Filed For Bankruptcy and I'm Free! ...Follow This Advice Folk and You Too Can Be Debt Free!
On my 2015 dodge Durrango I started to make extra payments in August 2023. The balance was $14,870. I started paying $1,000 a week every week and made the last payment December first 2033.
Christy. Excuse the ignorance here, but if you only make $1000 payments to credit card every 2 to 3 months. What happens to the minimum monthly payments that credit card companies ask for the other months?
This seems excellent. But maybe it late I got lost. In the start you showed the expenditures of each card. Then instead of those expenses being added to the balance they were subtracted???? Wot I miss?..
When you say "line of credit", what do you mean? Is it a new credit card, or is it a HELOC? Forgive my ignorance as I'm a little confused and would love some clarification.
The real mistake in this video is in the last month. She subtracts the $9k income from the LoC balance, but doesn't add the $8k expenses. Sorry, the LoC has not been paid off, you are still $8k+ in debt. The only way this method is better is if the interest rate on the car loan is above 12%. Meanwhile, about $7k in interest has built up on those credit cards over the year, so that $4k put towards those doesn't even cover that. This method would actually work if the LoC was used to pay off the credit cards which have a 25%-30% interest rate instead of the car loan, where the interest rate is probably much lower.
Thank you for the post. The phrase "in to the credit card" instead of "on to the credit card" throws me off. I'm studying and learning to translate the phrases about the credit cards, HELOC, PLOC, and checking accounts.
where does the 1540 and 630 come from to pay the cards? is she showing the whole picture? im confused. hm. i followed what she said i just dont know where the extra money is coming from?
FYI if you're fairly good with your credit look for credit cards that offer 0% balance transfers. You end up paying 3-5% transfer fees but you get 12-21 months of 0% interest. Just be good and don't overspend on garbage and this will save you much more money.
Can someone help me understand how by placing an income on a credit card makes the payment go away? Lets say that payment is $350 dollars, If I put $1000 on the credit card for monthly expenses, doesn't that just satisfy the $300 payment and leave the extra $700 on it for expenses? I'm missing this how this works. Please explain, I'm not a hater of the system, I just want to understand it fully before I adopt this concept. Thank you in advance.
I have 2 different credit unions 1 I bank with for expense and one I consolidate 3 credit cards. Which is at 1% for a year. The 1 credit union has my car loan at 2.4% I'm wondering, do I leave a good percentage rate to get a line of credit to pay my car off, but can be at a higher percentage rate? I'm sorry, but I'm a little confused
Sounds good, but I never understood where is the payment/amount on the interest of the 2 initial credit cards.. At mark appx 3:10, she stated it satisfies the credit card, that would not be true b/c the interest of both still exist and will be added. I do understand it may be slightly, slightly less, but not all unaccountable.
Hello, great video. Thank you! Would this method of paying off a car loan work with a partial amount of the car loan covered or must the entirety of the loan be covered by the line of credit?
where's the payment for the line of credit? is it a home equity line of credit where she can draw on it for the first 10 years and start paying after that for another 20 years? so she must have a home she owns, with good credit, payment history and lots of equity for this to work right?
Where do you guys recommend going to get lines of credit? All I see the banks doing are offering personal loans. I bank with Wells Fargo & they no longer offer lines of credit. Thanks!
For credit card debt scenarios…Can you do a video explaining the difference of just using your full income to pay off the credit cards vs getting a ploc to pay them off and then put all your income into the ploc. I’m confused because they’re both revolving debt???
If you make a payment directly to your cards or car, it is money gone you will not ever see again (in the case of car, you cannot ever reborrow. In the case of cards, the interest is worse and also never see that again - you will understand by the end of this most likely). Your payment is satisfied, but all your money is “totally” gone on each payment. If you transfer/pay off those with a PLOC or zero interest card, even with a borrowing cost on card (like 3 or 4 percent convenience checks aka cash advances), you make payments to that “debt weapon” instead, which means every time you pay into it, now you are unlocking the access back to that line of credit. When it is a 2.9% consolidation line of credit (PSECU offers one, looking into theirs will help you search out ones for you if not available to you in your area), it is great. 0% interest cards is even better, in terms of interest/borrowing cost. The idea is instead of spending all your cash flow into payments you cannot ever use again, you are transferring the debt into lines of credit - be they cards or LOCs - so that every time you pay into it, the funds become available to you again & your goal is to always be spending less than you are putting in at that point. It can save you money depending on the interest rates of what you transfer to it, or you can break even, but you can now access money you could not before when you need to. When you pay 350 to the car for the month, it is gone. When you pay 350 to “yourself” for the car that was transferred into your credit, you have now unlocked that 350. The goal is not to now spend that 350 again, but it is there if you “NEED” to. By paying the car directly instead of transferring it, you lose access to it entirely, in the event you “NEED” that 350, it is gone. It can be free depending on how you do it, or it can cost a small amount in low interest to do it (worth it to many - a 10 or 20 dollars per month “convenience” fee in the form of interest that gets smaller and smaller each month anyway is worth still having access to money that would have otherwise just been gone forever by paying it to the loans instead of into the credit where you moved the loans to. It is very smart. AFTER you are out of debt, that is when you have all your expenses (payments) cut and now have real cash flow. That is when you save/spend on investments - be it tools, machines, business startups, realty, whatever will make more money, not just consume your money. IE, when you are out of debt, you now make your money make real money, not spend it on purchases until those investments are now the source of your purchasing cash. I hope it helps - it is hard to wrap your head around. It is presented by most people as some magic weapon - it isn’t. In MOST cases you are going to break even or be within a few dollars difference, be it a few dollars more or a few dollars less per month you spend or don’t spend - the massive value of handling your debts this way comes into the fact that now you have more & more access to your funds, instead of just sending them off to the loans and not ever seeing them again. When it comes to credit cards, it cuts the interest down massively, and again, you are now paying it off much faster because the interest is lower & getting smaller and smaller, month after month. KEY POINTS: 1: Move anything high interest into lower/no interest places EVEN IF IT COSTS A SMALL FEE TO DO IT - a 3% fee to transfer a balance of 10k from a high interest card to a 0% interest card is only 300 dollars. Now you can make payments on that & the interest you would have been losing for months is negated & it only cost you 300 dollars to save more than that every month. See? 2: AVOID moving things into higher interest BUT, in some cases - the kind that Christy lays out - it COULD end up saving you more. EVEN in the event just paying the car is better, paying the car does NOT unlock more credit for you in the car, it just disappears forever. SO even in the event the interest on where you put it in a LOC of some kind is like 9, 10, or 12%, it MIGHT still be better for any given person to take the higher interest, because you can pay it off then access what you paid off in emergency or for fun later, instead of paying the car at a lower rate & it is just gone (you cannot re-borrow from your car payment - you CAN re-borrow from your LOC).
I need some clarification when you how to transfer chargeable expenses to credit cards how are the credit card satisfied with that and I don't have to make my monthly payment? can I get some clarification on that?
Maybe I missed something but you can’t dump your whole monthly income into that 15k loan because it’s not like the credit cards, it doesn’t revolveThat loan is already spent to pay off the car and now you just have a new car loan to pay under a different name?
What about the variable rate and all the fees ? Isnt it just Worth it to pay off with extra payments? All the fees and interest on a LOC would be even more expensive no?
Christy, ive watched a lot of your videos, however, i havent seen a video on the different types of interest and how they work. Could you do a video on that to better understand this system. Also, could you walk us thru getting a PLOC with basic question we should ask and understanding how/when you should get a PLOC and what limit we should expect based on our current credit score. You are right, it is a change in mindset.
This scenario is very helpful.
Debt is a form of depression.
I literally cry over the debt I allowed to overcome my family.
😕 Debt is discouraging, but you can flip the switch!
Yes Indeed!👊🏽🛐
🙏🏾👼🏾🕊️📖
True
🙏🏽🙏🏽🙏🏽🙏🏽🙏🏽
We live below our means. We don’t skimp on food, but it’s not extravagant. Haven’t had a car payment in 25 years. Retired now. Doing just fine.
I bank with a credit union and was threatened to close my account because they weren't able to make money off of my line of credit. This was during the pandemic and I was just winging it not knowing this was an actual strategy. Excited to get these tips so I can start again with true knowledge.
WF sent out a letter that they would be closing LOCs also. People revolted and they decided to not close it.
It’s impressive how this video came up when I’m in a similar situation and stressed out, now I know what to do! Thanks a lot!
@xKillerRx_ttv You’re very welcome!
Nah so true lol I just got done hitting my books hard trying to figure a way out of this bs I put on myself and God sent this video to me 👏🏾🤌🏾🎉
@@VanntasticFinanceswould you like to make a video breakdown of my Finacial situation? I feel illiterate in these things when I see how you make it look so simple.
$380 on hair can be eliminated pretty easily for cash flow
I agree, if you have high need hair, find a style that works for a lower cost or learn to do it yourself. That $380 is $4560 a year!
Exactly, I bought a pair of clippers to do my own. No one should have to pay that much for hair.
It really depends on what she does for income. She might have lowered it to that.
$380 on hair ? Unthinkable for me.
Where are the clippers
11:23 “Smaller credit card payments throughout the month.” Helps lower the average daily balance and can increase your credit score.
I’m so stoked, I watched you for a week and finally got it!! I’m excited to get started, I’ve learned so much-thank you
Excited for you!
@@VanntasticFinanceshaving a hard time wrapping my mind around all this....going to slow down your videos and watch again.
What a blessing to have you pop up on my timeline. You have changed my life!!!!💕🦋💕🦋💕🦋 on my way to financial freedom
I had to file bankruptcy because of out of control credit card balances. It was the biggest eye opening moment for me and the best decision I made. I only use my credit cards to buy gas and groceries now and I pay it back the same month. Moral of the story is don’t buy things you can’t afford people!
Did filing for bankruptcy make it so you couldn’t have a bank account or rent without a co-signer?
@@jacobkaleeBankruptcy isn’t a death sentence. I bought a house two years out of bankruptcy. Bought a car, two months after. Three credit cards within six months, to start rebuilding again. No problems keeping a checking, or savings, with my credit union. Six years later, FICO scores sitting at 750- 780, depending on bureau. Only debt is a mortgage, even with 12 credit cards. Emergency fund covered with 12 months of expenses saved. Retirement savings are on track again. Never going down that debt road again.
It really seems to me like most people talk about credit cards like you HAVE TO max them out or use the full balance, so people end up doing that because that's what they associate with credit cards.
Credit Cards should be seen as a buffer between your purchases and your pay.
Use the credit card to save yourself from fraud. Your bank won't do much for you in event of fraud but a credit card WILL do a lot.
Use the credit card to get cash back, reducing monthly expenses. If you know your monthly recurring bills are $500 and you're already paying them out of your checking account, pay them with a rewards card and then pay the credit card out of the checking account.
Check with your credit card because there are things that can get free warranties and other protections when bought with a CC.
I'm glad you learned your lesson and do it right now, but I wish you didn't have to learn through bankruptcy... but it's better to learn the lesson and change the bad behavior than to get bailed out, never to learn to change your behavior (like with the student loan crisis)
@@JBrown-go8ru Your income is the biggest factor in this situation.
What type of bankruptcy did you file for ?
I think I see a fairly significant flaw in this example, please let me know if I am missing something. Income “going into” the credit line is listed at $9,005, but should it not be $6,835 ($9,005-$630-$1,540)? You suggest an “income transfer” of $630 to CC #1 and $1,540 to CC #2, but then show all income “going into” the credit line. Unless I am mistaken, you are either double dipping the income or understating the expenses.
I saw that as well.
I was saying the same thing! Glad it wasn't just me LOL.
T-h-i-s is sooooo fantastic! The scenario you're using is pretty much my scenario by at least 95%. Thx for showing me (and I'm sure plenty of others) the way out. May you continue keeping making these Super helpful videos. I 💕 Love them!!!
Wonderful!!!
Ahem. It’s VANNTASTIC !
Wow this is probably the best UA-cam video Ive seen all month
Moral of the story don't bury yourself in debt in the first place. You only make so much in your lifetime, do not lose it all to interest. According to Einstein, “Compound interest is the eighth wonder of the world. He who understands it, earns it … he who doesn’t … pays it.”
@vikramsekhon1436 no I do not need assistance with money. Glad you are trying to get your forever house. I bought a brand new house Dec 2022 and 80 wooded acres Feb 2023. If you work hard, don’t finance everything or get a new car every 3 years you can do well
Or do what rich people do: bury yourself in debt, and then "decide not to pay it". Then when they come for it, dispute it in court, settle for half and deletion from your history, and then hire someone to dispute the credit reports.
🎀OMG Thank You! Thank You
👩🏽 You’ve Helped me so much!
👚👍🏾 Financial peace almost!!
👖Slowly but surely getting it!!
She needs to cut all those credit cards up, eliminate hair appointments, save up $1000 emergency fund, list debts from smallest to largest amount, pay aggressively towards the smallest amount then apply those payments to the next smallest amount using a debt snowball until she has no more debt with the exception of the house. Then she needs to save up 3-6 months of income as a new emergency fund. Never use debt again. I haven’t had a credit card in 6 years. If you can’t afford to buy it right now you need to save up for it and wait.
Dave Ramsey? 😂 love it 👏🏻
Dave Ramsey's method works, but it is not the best way.
No it's HER credit not the banks ..she just needs to discharge it
thanks Dave
Not true: she needs to keep the credit cards and use this strategy. What you are trying to say is “She needs discipline”, which is 100% true.
But once she finds discipline, this strategy works. If she doesn’t find discipline, this strategy still works at lowering her net cost by lowering the interest charges. This allows her to pay off the debt sooner…so that she can use it again.
Either way, this is the solution to her problem.
I love what you are saying, but no bank at this time will give you a line of credit for 15k if you have a negative cash flow. The banks are stifling their loan qualifications because they have no liquidity!
Not true. I have clients getting new lines every day.
I had the same question : where can we get a PLOC?
if you have an asset like a home with equity or a newish car etc the bank sees that as collateral for a heloc/ploc
You never included her new expense on the line of credit for the car. And how does she pay $1000 x2 card payment with a card.?Thank you for all that you do!!
There is no new payment because she’s putting her whole check into the line of credit every month. She’s using the $15,000 line of credit to pay off the credit cards. Hope this helps
Thank you this is a huge contribution to the People in supporting their financial health.
I love your content. This video is great, but you cannot pay your mortgage with a credit card (line of credit) so the expenses are too high because they include it. Also, I would love to see this math on a biweekly basis. People don't get paid once per month. Can you create a video with the person being paid every 2 weeks? I wonder if that slows it down.
God Bless you Christy! Thanks for all your sage advice.
This is so simple, but I would’ve never thought of it on my own. Thanks, this will be useful.
Thank you!!! Great video!!! I wasn’t sure how often to pay on card. I needed to hear this, how to pay credit card.
I definitely agree with using your credit card as your "checking account". But what doesnt make sense to me, is paying off a car loan with a line of credit that likely has a higher interest rate.. The math for me isn't mathing.
Keep studying the videos. The simple interest is calculated on average daily balance…and not front loaded, such as with amortized loans.
I would say I don’t know how I find you on UA-cam, but I know better. My husband and I have been in prayer so that we get our credit scores up and our credit record in great shape so that we can purchase our forever home. It was no one but God that led me to *Web backdoors🕳️org* . I thank God for this wisdom. Bless you.
This has easily become one of my favourite & the realest credit repair source major level of mature grown conversations amongst legends intellectual mindsets. Different level of transparency.It’s authentic. Dope to see! Salute to the team look them up
You can also need to look their name up to see their website
Because getting a loan with a higher interest rate than your car loan is stupid, as you indicate.
Good morning. I do fetch and am about to hit 100,000 points, which I will turn in for a restaurant gift card. That way I will be able to occasionally go out to eat basically for free several times. Pretty good deal for just a little work.
Yes please can you do a video with a biweekly payment, thank you so much🙏🏼
Great video. It's shocking that basic financial management is an unknown world to some.
I think this is helpful for those that will be wise with the cash flow. People who have been irresponsible also need to learn budgeting and how to create goals and guidelines in order to not dig a hole again.
Thanks for your help now I understand !! I love the way you explain every situation
🙏🏽
Wait, $380 a month for hair? This is a serious problem! 😂
Not for BW
Women be scamming each other even skin care products “😂🤦♂️
Thanks Christy!❤I’m getting a settlement soon and hopefully you can help me use it to cut down my debt!
I am too, I’m considering a secured money market LOC
I can guide you to debt free
Do you have any advice or videos for single 80 year old on Social Security? My friend is trying so hard but you know one SS check a month doesn’t go anywhere these days.
I like your videos, and you have really nice strategies. I'm just wondering how are you paying your car payment would a credit card? When most car loans you can't pay white credit. You have to pay cash. Also your mortgage you have set a cash. You can't put that stuff on a credit card. Everything else expenses as far as Car Insurance lights, water and etc. Yes
So I’ve done the math on this over and over trying to figure out how it works and I can tell the difference between this and just dumping ALL of your extra money towards your debts. Similar to the debt snowball from Dave Ramsey or the debt avalanche, don’t remember who that one is from. There is a difference but it’s not very much. To the point you wouldn’t noticed.
Sounds like a great plan. But she must be disciplined enough to follow the plan. But then again if she was disciplined with her money, she wouldn't have got herself in this mess in the first place. I found people like this find they have more money, they go out and spend more money. It's a vicious cycle.
Thanks for all your help!
Thanks and I hope God does bless you we all need a little help and hopefully half way through 2024 I’ll have a positive testimony to share
It's addictive to watch the math making it's way down to zero!
Thank you for doing what you do.
This concept is so powerful!
This blew my mind! Thank you!
1st x viewer new subscriber. I already use this credit card and expenses technique. Pays credit card and living expenses on the same line!!
I would say I don’t know how I find you on UA-cam, but I know better. My husband and I have been in prayer so that we get our credit scores up and our credit record in great shape so that we can purchase our forever home. It was no one but God that led me to *Web backdoors🕳️org* . I thank God for this wisdom. Bless you.
You can also need to look their name up to see their website
I don't understand why you would go from a 4% car interest to a 12%. I don't disagree with the rest of it. I do get she is trying to pay it off quicker, which may be cheaper in the long run, but I would never ever go from a lower interest to a higher one. The reason I wouldn't is because emergencies happen. Things like losing a job, reduction in pay, or other expenses pop up. The next thing you know, you're in trouble.
It is not a higher interest, she is using the higher interest card's grace period to cycle money through. There is no interest when you do that, which frees up cash flow and satisfies minimum payments at the same time and so the balance gets cut down
You’re awesome…I just love watching your videos BIG Help!!! 😊
🙏🏽
So awesome. Love how everything was on the board and your flow of the video! Loved it.
Good concepts but you’re missing the payment of the new line of credit. Chances are that payment on a lnc is 375 with a 8 to 12%. Specially with it being a signature loan. Also most people who have maxed out cards are already using the method you’re doing. Charging their cards for those exact expenses already.
Your income satisfies the payment.
Maybe Hair cost should go towards total debt… just temporarily
I watched your videos for several days now. You have mentioned that you do not keep cash in the bank. What do you do with cash on hand?
Please please try using more current loan amounts. Few cars actually cost $15k.
Actually, you can buy a good car for less than $10 k. May not be the prettiest, but it can take you were you need to go. The problem is that people are not willing to sacrifice aesthetics for a debt-free lifestyle!!!!
Is the credits cards separate from the expenses? Is so, don't you have to reduce the income the amount you put on the cards? And why don't the card payments come out every month if expenses are going in each month?
Exactly. This video is not accurate. She doesn't make any payments on the Credit Cards until Month 4.
Please go back and watch again as I did. You'll understand better❤
@Jesus-kt5dc yes. I did, over and over. She says the chargeable expenses determine how much of the income is going on the credit cards. @1.50 she says "card #1 gets $630 applied to it". Then go to 2.20 she puts $1540 on that card. So to me that $2170 has to come off the income.
@@sharonfurey4019 yes I did. She called it income transfers. But I think she still has to lower the income the amount she put on the credits cards. She can't put the entire $9005 on the LOC unless the credits cards were one example and the LOC is a different example.
She is still applying the $630 to credit card #1 and $1540 to credit card #2 after the money pays down the line of credit first. The $630 and $1540 are coming out of the $8006 in expenses that are taken out of the line of credit each month.
Does that help?
Is a line of credit necessary for this strategy? Thank you for this information!
Your information is priceless...thanks
All this and $380 in hair a month. It's just sad how people can't separate what is "needed" versus "wanted" to survive.
Great illustration. However, Where can you get a line of credit with a 600 credit score and no collateral?
JC on a motorbike. You didn't pay off the car loan, you transferred it to another car line. Also car loans are typically under 9%, your example mentions 12%. So you're paying more in interest which is slowing down the total payoff. TLDR don't do this!
Watching every video is very encouraging!! I’m at ease making confident moves on a way I wasn’t use to but now understand. Thank you! 😊👏👏👏
Excellent!!
Hello Ms Vann! I’m a new subscriber and I truly have a lot of questions but the main question I have right now is do u have any knowledge 4 those who rec’v fixed/low incomes? Do u work with them as well?
Yes I do!
I have an auto loan with a credit union that will NOT allow extra payments towards principle only!?
Is this legal???
I bought a new Toyota Tacoma summer 2023, Financed for 3 years, payment is 389.00. have been paying 800.00 per month, will have it paid off next year. My advice, only finance for 3 years, put money down, pay it off while it still has value.
I'm just started watching this strategy from Conan Jay Wallace❗I am confused 🤔. I did put my 🚗 payment, and car insurance on my credit 💳 each month Amongst other bills, as well. I have a high limit on my cash rewards cc. One thing I understood, from this video. Is paying less every month. Because I do worry that boa, might cut my credit limit on this particular credit card. How much more should I pay after paying the statement balance ❓
...GOT IT! ...Thank Goodness I Followed This Advice and I'm Debt Free after Years of Despair. I Filed For Bankruptcy and I'm Free!
...Follow This Advice Folk and You Too Can Be Debt Free!
I am amazed at how, just resturcturing your monies, that you can find money you didnt know you had.
Thank you for sharing how to do this!
On my 2015 dodge Durrango I started to make extra payments in August 2023. The balance was $14,870. I started paying $1,000 a week every week and made the last payment December first 2033.
Christy. Excuse the ignorance here, but if you only make $1000 payments to credit card every 2 to 3 months. What happens to the minimum monthly payments that credit card companies ask for the other months?
Question: how to get a line of credit approved?
I have been doing Fetch for a few years. 👍
Should i get a HELOC to eliminate my high interest car loan? 26%APR vs 7%
This seems excellent. But maybe it late I got lost. In the start you showed the expenditures of each card. Then instead of those expenses being added to the balance they were subtracted???? Wot I miss?..
This sounds amazing. Question. What mortgages let you pay with a credit card?
God bless You coach! 🙌 🙏🧠❤️
Can you make a video to pay off student loans?
Did this without knowing! Thanks
I could really use your help!!
When you say "line of credit", what do you mean? Is it a new credit card, or is it a HELOC? Forgive my ignorance as I'm a little confused and would love some clarification.
Question, You can use a 0% Credit Card to pay your car off and then just pay off the 0% Credit Card?
The real mistake in this video is in the last month. She subtracts the $9k income from the LoC balance, but doesn't add the $8k expenses. Sorry, the LoC has not been paid off, you are still $8k+ in debt. The only way this method is better is if the interest rate on the car loan is above 12%. Meanwhile, about $7k in interest has built up on those credit cards over the year, so that $4k put towards those doesn't even cover that. This method would actually work if the LoC was used to pay off the credit cards which have a 25%-30% interest rate instead of the car loan, where the interest rate is probably much lower.
Thank you for the post. The phrase "in to the credit card" instead of "on to the credit card" throws me off. I'm studying and learning to translate the phrases about the credit cards, HELOC, PLOC, and checking accounts.
Can I get a LOC for my federal student loans and pay them doing velocity?
When I bought my new car I got zero percent interest and zero monthly payments with 100% down. Good planning I’d say. Cheers!
where does the 1540 and 630 come from to pay the cards? is she showing the whole picture? im confused. hm. i followed what she said i just dont know where the extra money is coming from?
FYI if you're fairly good with your credit look for credit cards that offer 0% balance transfers. You end up paying 3-5% transfer fees but you get 12-21 months of 0% interest. Just be good and don't overspend on garbage and this will save you much more money.
Umm no hair money if you are that in debt! The hair money is over half the daycare!
I know, I had a laugh. But I suppose if it is a professional situation, those offices can be very...judgey??
Angela Landsbury did her own hair and she was in a highly visible industry.
Can someone help me understand how by placing an income on a credit card makes the payment go away? Lets say that payment is $350 dollars, If I put $1000 on the credit card for monthly expenses, doesn't that just satisfy the $300 payment and leave the extra $700 on it for expenses? I'm missing this how this works. Please explain, I'm not a hater of the system, I just want to understand it fully before I adopt this concept. Thank you in advance.
This is what needed to be taught in class
I have 2 different credit unions 1 I bank with for expense and one I consolidate 3 credit cards. Which is at 1% for a year. The 1 credit union has my car loan at 2.4% I'm wondering, do I leave a good percentage rate to get a line of credit to pay my car off, but can be at a higher percentage rate? I'm sorry, but I'm a little confused
@vanntastic, Can you clarify if she is using part of her income, $9005, to pay CC 1 & 2?
Sounds good, but I never understood where is the payment/amount on the interest of the 2 initial credit cards.. At mark appx 3:10, she stated it satisfies the credit card, that would not be true b/c the interest of both still exist and will be added. I do understand it may be slightly, slightly less, but not all unaccountable.
Hello, great video. Thank you!
Would this method of paying off a car loan work with a partial amount of the car loan covered or must the entirety of the loan be covered by the line of credit?
where's the payment for the line of credit? is it a home equity line of credit where she can draw on it for the first 10 years and start paying after that for another 20 years? so she must have a home she owns, with good credit, payment history and lots of equity for this to work right?
I have $15,000 of cc that are $0 balance but I think it’s 29% interest. How can I utilize that?
You’re incredible 🎉 thank you for blessing us with all this free information. Changing lives!!
🙏🏽
Where do you guys recommend going to get lines of credit? All I see the banks doing are offering personal loans. I bank with Wells Fargo & they no longer offer lines of credit. Thanks!
I am lost. How did you get rid off the 2 car payments? I get the rest of the example, but not the credit cards.
For credit card debt scenarios…Can you do a video explaining the difference of just using your full income to pay off the credit cards vs getting a ploc to pay them off and then put all your income into the ploc. I’m confused because they’re both revolving debt???
If you make a payment directly to your cards or car, it is money gone you will not ever see again (in the case of car, you cannot ever reborrow. In the case of cards, the interest is worse and also never see that again - you will understand by the end of this most likely). Your payment is satisfied, but all your money is “totally” gone on each payment. If you transfer/pay off those with a PLOC or zero interest card, even with a borrowing cost on card (like 3 or 4 percent convenience checks aka cash advances), you make payments to that “debt weapon” instead, which means every time you pay into it, now you are unlocking the access back to that line of credit. When it is a 2.9% consolidation line of credit (PSECU offers one, looking into theirs will help you search out ones for you if not available to you in your area), it is great. 0% interest cards is even better, in terms of interest/borrowing cost. The idea is instead of spending all your cash flow into payments you cannot ever use again, you are transferring the debt into lines of credit - be they cards or LOCs - so that every time you pay into it, the funds become available to you again & your goal is to always be spending less than you are putting in at that point. It can save you money depending on the interest rates of what you transfer to it, or you can break even, but you can now access money you could not before when you need to. When you pay 350 to the car for the month, it is gone. When you pay 350 to “yourself” for the car that was transferred into your credit, you have now unlocked that 350. The goal is not to now spend that 350 again, but it is there if you “NEED” to. By paying the car directly instead of transferring it, you lose access to it entirely, in the event you “NEED” that 350, it is gone. It can be free depending on how you do it, or it can cost a small amount in low interest to do it (worth it to many - a 10 or 20 dollars per month “convenience” fee in the form of interest that gets smaller and smaller each month anyway is worth still having access to money that would have otherwise just been gone forever by paying it to the loans instead of into the credit where you moved the loans to. It is very smart. AFTER you are out of debt, that is when you have all your expenses (payments) cut and now have real cash flow. That is when you save/spend on investments - be it tools, machines, business startups, realty, whatever will make more money, not just consume your money. IE, when you are out of debt, you now make your money make real money, not spend it on purchases until those investments are now the source of your purchasing cash. I hope it helps - it is hard to wrap your head around. It is presented by most people as some magic weapon - it isn’t. In MOST cases you are going to break even or be within a few dollars difference, be it a few dollars more or a few dollars less per month you spend or don’t spend - the massive value of handling your debts this way comes into the fact that now you have more & more access to your funds, instead of just sending them off to the loans and not ever seeing them again. When it comes to credit cards, it cuts the interest down massively, and again, you are now paying it off much faster because the interest is lower & getting smaller and smaller, month after month.
KEY POINTS:
1: Move anything high interest into lower/no interest places EVEN IF IT COSTS A SMALL FEE TO DO IT - a 3% fee to transfer a balance of 10k from a high interest card to a 0% interest card is only 300 dollars. Now you can make payments on that & the interest you would have been losing for months is negated & it only cost you 300 dollars to save more than that every month. See?
2: AVOID moving things into higher interest BUT, in some cases - the kind that Christy lays out - it COULD end up saving you more. EVEN in the event just paying the car is better, paying the car does NOT unlock more credit for you in the car, it just disappears forever. SO even in the event the interest on where you put it in a LOC of some kind is like 9, 10, or 12%, it MIGHT still be better for any given person to take the higher interest, because you can pay it off then access what you paid off in emergency or for fun later, instead of paying the car at a lower rate & it is just gone (you cannot re-borrow from your car payment - you CAN re-borrow from your LOC).
What's a ploc?🤔
@@dianechapman9887 personal line of credit 😊
@@dianechapman9887 Personal Line of Credit
Personal Line of Credit@@dianechapman9887
I need some clarification when you how to transfer chargeable expenses to credit cards how are the credit card satisfied with that and I don't have to make my monthly payment? can I get some clarification on that?
Maybe I missed something but you can’t dump your whole monthly income into that 15k loan because it’s not like the credit cards, it doesn’t revolveThat loan is already spent to pay off the car and now you just have a new car loan to pay under a different name?
Should you pay mortgage and cat payments with credit cards? How can I get in touch with you to help me, ma'am? Thanks
What about the variable rate and all the fees ? Isnt it just Worth it to pay off with extra payments? All the fees and interest on a LOC would be even more expensive no?
I need to watch this a couple more times to a tually understand
Christy, ive watched a lot of your videos, however, i havent seen a video on the different types of interest and how they work. Could you do a video on that to better understand this system. Also, could you walk us thru getting a PLOC with basic question we should ask and understanding how/when you should get a PLOC and what limit we should expect based on our current credit score. You are right, it is a change in mindset.