141 | Budget School Series Pt 2: All About Debt Plus Why & How To Get Debt-Free

Snag Our Simplified Budget System! 🎙️ Welcome back to Budget School! It's Day 2, and today we’re talking about debt. We know this wasn’t taught in school—so we made our own. Let’s get back to basics and give you a fresh start.What Is Debt?💰 Debt = money you owe—car loans, credit cards, student loans, IRS bills, store cards, payment plans... all of it.💡 Pro Tip: If you borrowed from friends or family, pay it back—it’s the right thing to do.Your Credit Score = I ❤️ Debt❤️ The more debt you have, the more the score “loves” you. But it’s a trap.🔑 Credit scores were invented in the 1950s to keep you borrowing. Your great-grandparents did just fine without them.Debt-to-Income Ratio💼 This shows how much of your income is going to pay for the past.📉 If 20–36% of your income goes to debt, it’s time to take action.The Minimum Payment Trap🧐 Credit card companies want you paying the minimum—forever.💡 Cut up and close the cards. They expect you to keep adding debt.Acceptable vs. Petty Debt🏠 Mortgages and car loans = tied to assets.🛍️ Store cards = petty, high-interest traps.💰 Rich people use debt to grow wealth, not collect points.Debunking the Myth🤔 Wealthy folks use strategic debt—not credit card perks.🚫 Credit card points aren't worth the stress.💡 Use a money market account, not a card, for emergencies.📆 Your age of credit doesn’t matter—being debt-free does.🚦 0% offers? Most don’t pay them off in time. Skip the risk. 🙅‍♂️Take Control of DebtStop borrowing + cut up the cardsList debts smallest to largestCall lenders to lower ratesThrow extra money at the smallest oneImagine life with no payments 😌__Connect With Us: 1️⃣ Facebook Group – Join the community. Our free group is where the real talk happens. Connect with other women who are learning how to budget, save, and finally feel in control, together. ➡︎ budgetbesties.com/facebook 2️⃣ Automate Your Budget Masterclass – Watch it now, no waiting. This FREE on-demand training shows you how to set up a budget that matches your lifestyle, without tracking every dollar or feeling restricted. ➡︎ budgetbesties.com/automate 3️⃣ Budget – Grab our Simplified Budget System! You don’t need another budget, you need a system that does the math, makes the plan, and gives you permission to spend. ➡︎ budgetbesties.com/budget 4️⃣ Private 1-on-1 Coaching – Get a plan and a coach. We’ll build your full budget system together, so you always know what to do and feel confident doing it. ➡︎ budgetbesties.com/coaching 5️⃣ Be on the Podcast – Free coaching, real convo. Come chat with us on the show! Get real-time financial coaching and help other women by sharing your story. ➡︎ budgetbesties.com/livecall "I love Shana & Vanessa and this podcast is amazing!" 👈🏻 If that sounds like you, please consider rating and reviewing our show! It helps us to reach more people – just like you – to help them change their financial future. Don’t forget to follow the show so you don’t miss any episodes! And, if you’re feeling really generous, we’d be SO honored if you would share this podcast with someone. Click here to view our privacy policy. This description may contain affiliate links, meaning we may get a commission at no cost to you if you click & purchase!