Ep211 How to Manage Debt Effectively

Episode summary: Debt isn't usually the problem. Confusion about debt is. In this episode, Alpha walks through five things she wants every woman to understand about debt, from what you actually want it to do for you, to how to use a credit card so it earns you interest instead of charging you any. It's a mini masterclass on getting clear about debt so it serves you, not the bank. What's covered: Why clarity comes before action when it comes to money (and why "diving in" and "avoiding" come from the same place) What you actually want debt to do: consume or grow The real difference between good and bad debt, and why the interest rate tells the whole story The habits and identity around repayment, and why the minimum payment is built for the bank, not you How debt and cash flow are the same conversation Using a credit card so it earns interest in your favour Why the things banks don't tell you are usually the things that matter most Resources mentioned: The loan calculator inside the Prosperess app (play with extra repayments, fortnightly vs monthly, lump sums) The future projector inside Prosperess (see what 5, 10, 15, 20 years of small changes actually look like) Check out www.prosperess.net A question to sit with this week: What's one thing about your debt you've been avoiding finding out? Just pick that one. Start there.