How To Leverage Credit Cards To Build Wealth

In this video, I'm going to  teach you something magical. How do you use credit cards to build your wealth?   So most people think of credit cards and  they think of debt. I'm going to think   and re-condition your thinking that credit  cards can be investment cards done properly.   See, what we're taught is debt is bad and I'm going  to teach you debt is fabulous, done right. So in   this video, I'm going to teach you how everyone and  I'm saying everyone uses their credit cards wrong. So first of all, your credit cards have a proper  use to them and i'm going to teach you how to use   the credit cards properly. I'm going to teach you  a language that is not about credit cards being   in bad debt. I'm going to teach you to rephrase  that as investment cards for good debt   and then I'm going to tell you some amazing  stories how people literally become millionaires   using credit cards.

Alright, so let's get  to it credit cards, how are they used so   improperly? Well, first of all, credit cards are  critical your personal credit is critical   and most people and it's amazing how many times  like I'm teaching whether it's college students   or just new folks that the difference between a  debit card and credit card let's start there. By   let's just about cards, a debit card is linked  to your bank. It's money that's coming out of   your bank account right away. So, immediate  purchases media taken out of your bank. Credit   cards are different, it's building your credit it's  associated to your credit spending. So you're going   to use a credit card and you need to pay them off  every month, that is the goal.

Now, I'm a huge fan   of credit cards because of all the point systems  are you kidding. I've been in American Express.  I have Mastercard. I have Visa however you  name them, I have them all and a lot of them have   a variety of points and you can build up your  points. You can travel on them. You can buy things   with them. Some of have, "Hey, you spend a dollar you  get four points", now don't take that lightly. I can   promise you as a corporate owner of many companies  they are valuable and they are exchangeable for   cash. So, credit cards are call it an asset to your  portfolio of wealth.

Now, unfortunately Suzy Orman,   Dave Ramsey, Dave Bach and a lot of financial  institutes have been I'm gonna say lying to you.   Telling you that you can't do anything. In fact,  I watched a video of one of theirs recently that   said, "You cannot buy a house unless you're out  of debt", well, bs you can too and in fact, you're   gonna go into hundreds of thousands of dollars  of debt by buying a house. So you're gonna   have to have good credit. You're gonna have to get  leverage. So the misunderstanding about it, I get it   it's confusing. But let me clarify. So you have debit cards and you have credit cards and   you need them. When I teach your children because  I'm going to teach your kids like 13 years old   you get your kids minimum by then minimum this is  like latest in life. They should have an atm or a   debit card get you know connected so they know how  to use an atm and that's associated to the money   they make and you start doing that and then by  14-15 you either start letting them use your credit card.  My daughter's 14 she's been using my credit  card now for years in very very strategic rules.   So the credit card builds your corporate  credit.

So, small amounts of money in small   purchases and you pay them off. Now, here is the  big news. So, get a piece of paper and write it down.   Let's just say you have four credit cards and  no one teaches this it drives me crazy. So since   they have four credit cards you should never pay  them off once a month at the same day. You should   take credit card number one and pay it off in the  first week then you're going to start using   it again. See, what the financial systems want.

They  want to see your use of making and spending money.   If you're not active in your flat we call it a  very thin credit profile you're not going to get   money from anyone. Like, no one's going to borrow  you money. Because it doesn't even show you have   any responsibility to spend it. So I'm a huge fan  of using it and paying it off properly. So, credit   card number one you're gonna pay it off during  the first-week. Credit card number two you paid   off in the second week. Credit card number three. So, each time you're going to continue to be spending   so only that one card in that one week will be  paid off and then fourth week you pay off that   one and then you keep a cycle. So, that's going to  increase your credit profile number one and it's   okay to have debt. Here's what debt is. Debt is the  cost of money.

Alright, so let's think about that.  Well, if you can get zero percent credit cards  last I checked that's free. Now, even if   you get one or two percent that's still really  cheap money. Right now, mortgages are insanely   cheap you can get them for two or three percent.  That's like really cheap money. So if you can get   money and it's like a home mortgage for example or  even a car loan. Car loans are like 1.6 sometimes   like free for four years that's like again free  money. So, why would you pay off to get out of debt?   Say you have a house that's four hundred thousand  dollars. Why? When it's only say two percent money.   Would you take four hundred thousand and pay off  your house. Now, maybe put a hundred hundred fifty   two hundred max into the house take the other two  hundred invest it at 10, 12, 15, 20, 40, percent.

So if   you have $200,000 invested at 12% that's $24,000  a year that's 2,000 a month. Wouldn't you rather   have the $2,000 a month in new cash flow to pay  towards other home expenses or home improvements   or invest it even better into new things. So, again  the cycle of debt is critical and that credit   cards are a necessity do not cut them up as you've  been told by some ridiculous people. You need them   use them responsibly and respectively. Now, that's  the basics between credit and debit and how to use   and pay off your card. So now, let's go to the next  level. Let's go to how do you leverage it? So,   there's companies that I'm associated with and  like you could even call your company and work on   getting a zero percent credit card.

Now, why is that  so important? Well, I'll give you a story about a   client of mine who used and I helped him get over  $150,000 of zero percent credit cards. Now, we did it   in a very specific time frame in a very specific  order and he has that money to use for years   it's zero percent. Now, prior to this because he's a  flipper right meaning fix and flip right on rehabs   of houses he would borrow money from hard money  lenders which that would be me. Well, I'm expensive.   I'm between 12 and 15 percent that you're gonna  pay and some points. So, I'm really expensive money.   So why would you use me as a hard money lender  when I can show you how to use 150,000 whatever   you qualify for free.

Now, it's the responsibility  factor that a lot of people get freaked out about.   So, don't freak out about it like think about it he  went out and bought a house for a rehab and then   he used these cards home depot, meeks, slows, whoever  he needed to he could even pay plumbers and   painters and different vendors with those credit  cards. So, he went and bought a house he put 78,000 of rehab in zero percent credit cards, sold the  house, paid off all the cards, instantly increased   his credit and then went again and then went  again.

So he was getting down to be able to flip   like three houses in a year with free money. If  you had to pay me or a hard money lender 10, 12,   15, 17, points that's a lot of profit that's being  taken out. Now, other stories and other ways to use   credit cards and use them so responsibly. Let's  just talk about your business. You need to   get incorporated that's going to cost a little  money. You're probably going to need a trust.   You might need a database if you don't have one.  You're going to need websites. You're going to   need videography, photography, you're going to have  to hire some people.

So another way to use credit   cards to get started and again it's not  costing you anything to do it it's just going   through a process to help you get money using it  and spending it right is the key and I can tell   you it was so many people. Like, that the guy in  real estate I was just telling about the flipper   he's become a multi-millionaire doing this and  that is all starting with no money but the use of   credit cards to create wealth. So again, the  language and the way you think about debt has got   to shift. Let's talk about one more thing which is  critical your friends and family. So, the people you   surround yourself with are either going to support  you in this journey or absolutely make fun of you   and so on the comments below right now are  like do people even know that you're into this or   wanting to know about it. I remember like because I grew up on a farm in Nebraska when I started like   on my way to become a millionaire it's like, "What  are you doing? What are you doing? You can't buy   real estate.

You don't even know what you're going  to do. You're going to lose it. You're going to   get hurt." If these are the comments that you have  with your friends and family stop talking to them.   You just don't have to convince anybody to do  this you decide that you want this. Because you   deserve it for you and your family. Comment below  on how you are going to like use cards. Let's just   say I could help you get a bunch of these cards  I'm talking about, what would you do? Would you   start a business? Would you buy real estate? Would you buy some inventories that you need?   Would you buy another company? Would you invest  in digital currency, what would you do with it?   Comment below right now, what would you do if I could help you and show you how to get this kind   of money? Because it is available especially  after the pandemic money is so available.   So while you're out there suffering it's a choice.  Do not make that choice from this day forward.   What I want to do is I want to have you take  a quiz.

I want you to go to on the link below   and you're going to take a quiz and I want you to  be very serious about it. Now it goes really quick   so just whatever's top of mind when you take the  quiz. Whatever that answer is go yes no, yes no.   Like what is your answers and then I'm going to  pop back up and I'm going to give you a profile   of where you are today right behind it I'm going  to get a video of what to do about where you are   in your current financial situation and the  next steps to taking you to millionaire status..

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