Wish You Could Get a Guaranteed Return on Your Investment? Here’s How…
So, you’ve saved a nice chunk of change, and you’re ready to put it to work. Pat yourself on the back. You’re doing pretty well financially. From what the Fed tells us, nearly half of all American adults – 46% to be exact – don’t have $400 saved in case of an emergency.
You, on the other hand, have decided that it’s time to make your money earn its keep.
Before you dive into the exciting world of stocks, bonds, mutual funds, oil & gas, commodities, and cryptos, take a look at one place that you can get a guaranteed double-digit return (on average) on your money TODAY.
It’s simple, effective, and you absolutely cannot lose.
Pay off all your credit cards.
Oh, does paying off your credit card balances not seem like a “sexy” enough investment for you? Wanna know what else isn’t sexy? Slaving away for another 2.5 years to pay off that pair of red bottoms you just had to have, that’s what.
Here’s the real deal.
There are virtually no investments that offer guaranteed returns. The few that offer anything close (AAA-rated corporate/government bonds and the like) barely keep up with inflation. With risk comes reward, in most cases.
Paying off your credit cards is the one place where you can know – for sure – that you’ll receive a specific amount of value back for your investment. Here’s why:
Why You Should Pay Off Your Credit Card Debt Before Investing
The average investor’s portfolio increases by 6-8% a year – if you’re lucky.
The average APR on a credit card is around 15%…with many being closer to 20%, and a lot being over that, especially if your credit isn’t A-1.
If your investments perform at the top of the range, but you carry credit card debt with an interest rate anywhere near those numbers, you’ll pay out more in interest than your portfolio can cover. That’s hustling backwards.
By paying off your consumer debt, you save hundreds, if not thousands, in interest and future payments.
You’ll also kill the most valuable money-making scheme your credit card issuer uses – compound interest. Check out this article to learn why compounding credit card interest is great for the bank, and not so great for you.
Take the first step toward being the mogul you were meant to be by killing any lingering credit card debt.
Once you’ve knocked it out, you can take the payment you were making each month and pay it to your investment account. That way, it’ll make money for you, and not the credit card company. That’s exactly how it should be.
Have you started investing yet? What’s your next step? Share your thoughts in the comments.