It’s not about the rate that you pay, it’s about the rate at which you repay that matters – get rid of that debt fast, and your interest bill is cheaper.
This truth is often ignored as it’s not as easy to quantify and compare as a low number – this, unfortunately, causes many to chase the wind.
Finding a debt repayment strategy that works for your money personality, is how you get this job done – and there are MANY ways to do this. Paying $3,500 to a company who visited your workplace to teach you how to budget and use a templated strategy is not one of the methods I would endorse btw!
Now I need to underline the secret here as you may have just missed it above – you don’t need a spreadsheet, a financial personal trainer, or a discounted rate – you need to find a strategy that actually will work with who you already are.
By focussing just on the interest rate, like a classic ‘bait and switch’, you’ve just missed the way that most people get ahead – they align their fixed-rate loans to what’s happening in their personal world, then push it through a filter of macro-economic considerations. It’s a mouthful, but it works – to make sure it works, use someone independent to give you some guidance and to get the job done right.
Any decent mortgage adviser can get you a good deal – that’s actually the easy part. The advice we give around how to structure your debt in a way that fits how you conceptualize money – that’s the art!.
Give us a call to find out more www.ungaro.co.nz
