Cash Cushion:
The first step in reaching financial wealth is the ability to have cash on hand for life's little
emergencies. This cushion is a relatively small amount of money that can be used instead
of relying on credit. Before people can eliminate debt, they need to eliminate the NEED and HABIT for using debt,
which is achieved through the cash cushion. A typical cash cushion will range from $2,500-$5,000.
Debt Elimination:
The goal here is to eliminate "bad" debt. bad debt is any debt that is not associated with an appreciating asset
(mortgages -> real estate). This mainly involves credit card debt, but also debt such as auto loans and student
loans. With your cash cushion in place and no need to fall back on credit, you can apply a debt roll-over plan
which Strategy7 can help you create to quickly pay-off these debts with the money you currently make at a rapid
pace. Once this debt is eliminated, you free up an enormous amount of cash that used to be tied to monthly
debt payments that you can now direct toward investment vehicles that pay you interest!
Liquidity & Investing:
With your debts eliminated, you can now save larger amounts of cash to protect against major emergencies such as
loss of job, and also begin to invest in real estate and other investment vehicles. With the help of Strategy7
and our recommended group of asset growth/protection specialists, you will be well on your way to achieving your
retirement goals.
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