Feeling stressed by debt? You’re not alone. Incredibly, 89% of respondents to this survey reported feeling stressed and eager to learn the best strategy for debt elimination. Debt can significantly impact mental health, and with the average American holding $53,897 in personal debt, it’s no wonder that so many people are anxious about their finances. In this article, we’ll review some of the most commonly asked questions about debt elimination, and how you can work with Black Hills Financial Planning to guarantee financial freedom.

In a sentence or two, why should people contact you about debt elimination?   

Well, when we ask the question “If I could show you how to get completely out of debt in nine years or less, including your mortgage, without spending any additional money than you are right now would you be interested”, I honestly don’t know why everybody wouldn’t say YES!

And your pool of potential clients is considerable knowing that almost everyone needs debt elimination?

Yes, and we would love to help them all. It’s not an exaggeration to say that debt is killing us. I read that seventy-five percent of doctors visits are stress-related, and the leading cause of stress is financial worries. People actually take their lives because of financial problems, marriages end because of financial problems, people can’t retire when they’d like because of financial problems. Heck, over sixty percent of retired folks are still carrying debt. It’s an epidemic and I feel strongly that we have the cure.

So, you help people who already have money, right? 

Yes, and no. While we do help many people protect and pay less taxes on their assets, we also specialize in helping people attain assets. You simply cannot “rate of return” your way out of debt. Our philosophy is, instead of trying to squeeze a little money out of the budget or paycheck each week to put toward retirement, and hoping the market doesn’t drop and you lose it anyway, why not get out of debt first and then explode your retirement finances? It’s really rolling the dice to put money into a retirement account each week that may or may not increase while you are still paying interest out to lenders. It’s like scooping water out of a sinking boat.

So, you help with more than eliminating debt?   

That’s right. But the getting out of debt part has to occur first.  As long as you’re shelling out an interest by the truckload you’re flying into a strong headwind. Hard to make forward progress. But when you’re free from all lenders you now have complete control over your money. Currently, somebody else (many somebodies) has that control.  Think about the payments you make right now to consumer debt; house, cars, credit cards, student loans, etc.  Close your eyes and imagine putting all of that money (and the interest) into your own bank. We teach you to do that and it’s exciting!

Debt elimination with Black Hills Financial Planning

How did we all get so far in debt in the first place? Why is debt elimination essential? 

Because it’s easy.  I’ll give you an example that’ll shock you…

You purchase a house and acquire a $300,000 thirty-year fixed mortgage at an interest rate of five percent and a monthly payment of $1610. 

In the first month, seventy-eight percent of your payment goes to interest. That’s $1250!  Now you might say well, I know early in a loan a lot of money goes to interest. I understand that. OK, but let’s look further.

In year ten, sixty-three percent of your payment is still going to interest. And in year twenty, two-thirds of the way through your loan, you’re still paying thirty-nine percent of your payment to interest! The payment is still $1610, but only $990 of it is helping you pay off your house. The other $620 is padding the lender’s pocket.

And finally (and I hope you’re sitting down), in year twenty-nine, five-point three percent of your payment is still going to interest. So, your $300,000 house really cost you $579,000! Isn’t that amazing? I think that should answer your question “how did we all get so far in debt?”.

But most of us are just doing what’s considered normal, correct? Want a house? Take out a loan. Need a Car? Take out a loan. Want something right now? Put it on the card. It’s basically in the “how to be an adult” handbook.  

That’s true, but we’re here to change that dynamic. Your Family Bank has been around for just over ten years, but the concept has been around several hundred years. But until YFB came along, the idea of a family bank was only used by the very wealthy in years past to build massive tax-free wealth that can be passed down for generations. We are now bringing this idea to average, middle-class people throughout the country so we all can benefit from the “rich man’s advantage”. Don’t you think it’s time?

I do! I’m sure people will be calling ASAP. What’s the best way to reach you?  

Our team is ready to go! Contact us by calling 605-641-3776 or using the contact form. I’m confident in saying that this is the most exciting financial move you’ll make in your life. Thank you so much!