How To Pay Off 10k In Credit Card Debt | In 12 Months


So paying off debt, it's gonna sound stupid, give me a chance. Paying off debt is not just about having some money and sending it over to pay off debt, right? It kind of sounds like that is what it is, but paying off debt is also about staying out of debt. Having a system so when you pay things off, you pay them off efficiently because a lot of folks, they pay something off, they go back into debt. They start paying things off and then they'll be like, "Hey, it's not going down.


I'm not understanding it. I pay this, this, this, this, but the balance every month is going up and up and up." And it doesn't make sense, okay? So in this video, I'll teach you how I was able to pay off $13,000 in credit card debt in about 12 months, okay? And not just that, I paid off a total amount in my debt-paying career of about $70,000, all right? So in this video, you know exactly all the techniques I used to be able to pay that off as fast as possible. And if you guys don't know me, my name is Tommy Bryson. If you know me, welcome back to the channel.


Now, as always, do me a favor and also smash the like button. Now, the very first thing, guys, is going to be this. If you want to pay off debt, it's not just about grabbing the extra money you have left over and putting it towards debts. No, it's about budgeting and finding all the money possible to pay the debt off. And here's what I mean, you know? A lot of folks, they live paycheck to paycheck.


I get paid $3,000, I spend $3,000. Next month, I can't wait for that paycheck. And if I can find $100 or $200, I'll send that over to my debt payments, but that's why you never actually finish. So what you actually want to do is you want to get a budget. The budget is going to help you find money to actually pay the debt off even faster. Here's what you want to do. You want to open up or start up right now a baseline budget. It's my little budget that I actually made up and it's very functional and it makes a lot of sense. Okay. You want to have basically, write this down. You want to have an account for your shelter costs, utilities, groceries, transportation, healthcare, and also fun. Those are usually going to be the six most important expenses and the ones you can't really negotiate on. But it's not just that, okay? Because that would just basically liberate you from saying, and justify, because I spend so much money on rent or whatever.


No. You want to limit your shelter expense to 33% of your monthly income. On top of that, utilities, only gas, water, electricity, internet bill, and also your phone bill. Your phone bill should not be more than 30 bucks per month and your internet bill should not be more than 80 bucks per month. Okay. That is it. Tell me how. I pay $6 for my phone bill. They exist. I have a video on it. The link is going to be down below or just search up on YouTube. Tommy Brice and phone bill, and you will find a video. When it comes to food, no more than 200 to 250 per person max. How do you do this? You cook at home and you don't spend money on trash on the streets. Tragitation. If you have a car, make sure it's paid off. If it's not paid off, well, you consider selling it because that's important, but you're only paying for gas, insurance, and maintenance. And some car washes every now and then. Those are going to be your core expenses. Then you also have health insurance. If you have that, if you don't consider it.


And on top of that, you're also going to have your fun expense. Okay. Take at least five to 10% of your money every time you get paid and have fun with it. Tommy, I'm trying to pay off debt. I don't have fun for this. I want it to be exciting every time you get paid because you look forward to it because you get money for fun, but you also look forward to it because you're actually getting debt free. It will be slower. You can cut this out, but I highly recommend you don't because it actually helps make the whole journey a lot more bearable.


So basically, if you make 3000, now you're only spending about $2,000 with this budget and you have $1,000 left, that's the money you're going to use to pay off debt. But obviously, I'll give you the system later. Number two is going to be this guy's. Okay. You actually want to get extra cash or paying off debts by selling things you don't need around your home. This is the most fun I had. And it's also the most embarrassing part of this entire system. Okay. Because so if you got a value so far, I'm going to ask for a favor. Subscribe to the channel because only like 20% of the people that watch our actions scribe. So go ahead and subscribe right now because I have a lot more content and it's also the most embarrassing part of this entire system.


Okay. Because for me, my identity for a long time was what I wore. The sneakers I had, the clothes I had, and when I wanted to get debt free, I sold everything. I sold, I had 23 pairs of sneakers. At the end of it, I kept about like nine to eight pairs and I sold my consoles, my gaming consoles. I sold basically everything I had and I use all the extra money to pay off debt. That's how I did it. Okay. So if you can sell the things around your home and you can keep, for example, 500 or 200 bucks, that's money you're going to use to pay debt.


And by the way, going back up when I told you about that baseline budget, whatever is not included in that, you obviously want to cut it out. If you want to buy, for example, something that you don't need, use your fund money to actually do it. I think that's clear, but I wanted to make it even crystal clear. Now, number three guys is you want to get extra cash to pay off debt by hustling. Now, the good thing is I'm only asking you to get a job or hustle with a minimum pay of at least $15 per hour. Okay. If you can't get that, then try to find someone else, but I recommend like at least 15 bucks per hour.


And you might say, Tommy, I don't have the time, but you do. And here's how you sleep eight hours. You work eight hours. You spend on showering food and driving about three hours a day. That's a total of about 19 hours a day. You still have a free five hours every single day. So if you do the math, okay, if you're able to actually make $15 an hour and you work five extra hours per day, I don't let you know, like a hustle or whatever. The answer is about like 75 bucks a day. Time is five, only like five times a week you actually do this because you rest on Saturdays and Sundays. The answer is going to be every single month. That's an extra $1,500 to pay off debt. I mean, that is awesome. That is a lot of money to pay that off. You can basically be done with 10K in a short amount of time, just with this. Okay. $10,000 divided by 1,500. That's going to be like in six months, you're almost debt free. That's the idea. Now here's the fourth part.


Tommy, okay. I budgeted, I sold things, I'm hustling. How do I pay the debt off? There are two methods. One I did, and I don't recommend. What I did not do, and I do recommend, sounds strange, sounds crazy, but it's very true. The one I did was basically the avalanche method. Okay. Avalanche method says this, okay. You want to organize your debt from the highest interest rate to the lowest interest rate. You want to pay the minimum balance on all of your debts and grab all the extra money you actually have and pay the debt with the highest interest rate.


Tommy, how do I find out my interest rates? You call the debt people. Okay. Who do you owe money to? Call them and ask them what is my interest rate? Okay. Why do you do this one, Tommy? Because it saves you the most money mathematically because you're paying the debt that's costing you the most money. Okay. Why don't you recommend it? Because it can take a long time to see progress because your highest interest debt could be the one with the highest balance and it can take a long time to actually pay that off and it can feel like you're not making progress. That's why I recommend the one I didn't do, which is basically the snowball method. This method says this, okay. You organize your debt from the lowest balance to the highest balance, not the interest rate, doesn't matter, and you pay the minimum on all the debts and you put all of the extra money towards the debt with the lowest balance. Okay. That means on your first run, your first month, you can easily be debt free on one of these accounts.


You can pay something off and you will build momentum. That's why I recommend it because you're more likely to keep going as you're seeing progress. Okay. Now it doesn't save you money like it does, for example, with the Alan's method mathematically, but it does build momentum and it can get you there. And that's what I'm interested in. Okay. I'm not worrying about you saving money because you'll do that anyways, but I'm more worried about it. You actually get into the goal in the end. All right. So that's why I say I recommend the snowball method. Now in the end, if you made it all the way to the end of this video, and if you make it all the way to the end of this entire journey of paying off your debt, the next question is going to be, tell me, what do I do once I'm actually debt free? Once I paid off $10,000 in 12 months or six months, you know, you can use this whole formula, this whole strategy to pay off a lot more money, a lot less money, a lot more time or a lot less time.


It doesn't matter. But what happens when you actually get to the end goal? The answer is very simple. What I did was this. The first time around, I kept my credit cards open. I kept some debt that was actually low interest around. That was a mistake because I eventually went back into some more credit card debt and I still had debt that I carried around like a puppy or whatever. Okay. My second time around when I paid off all my debt again, which was like last year, I paid off about $40,000 in debt. I went ahead and I closed down every single credit card I actually have. So I only deal right now on a cash basis or a debit basis, which is also just cash. I don't have any credit cards. Now there is a benefit to this and there is a disadvantage to this.


Okay. Benefit is you don't have any debt. You can't go into debt because you don't have any way of getting into debt and you actually have a lot more peace. Um, the, the disadvantage in the senses that you're no longer making, for example, two to 3% on cash back and all this other stuff, but in reality, those are just incentives for you to actually get into debt.


So it's like a little hook you sent to a fish and you are wishing you actually get hooked on it. Okay. So I don't worry about it. Okay. But for the most part, that's my system. That's how I got debt free. And that's how I was able to pay off $13,000 in about less than 12 months or so. I think it was like about six months. Okay. Cause I was very crazy. Um, so yeah, there's that guys. Good luck around your journey and do me a favor before you ask you leave this video, not just smash the like I do want that. Okay. I do appreciate it, but it's also comment down below this. Okay guys, what method are you going to use? Avalanche or snowball? How much money do you ask you? Oh, okay. And how much money were you able to free up from your budget? How much money do you plan on making and how much money do you plan on making from selling all the stuff you don't need? Okay. And once you sum up all those things together, well, tell me what's your deadline? Okay.


And it's very simple. It means basically if you owe about $10,000 and you have basically a thousand dollars, basically pay off your debt, just divided by 10, well, a thousand dollars, basically it means that, Hey, in about 10 months, you're going to be debt free. That's the idea. Okay. So comment down below. Let me know. It's not just for the algorithm, although it does help with the algorithm, but it's also because I want you to leave this video with actions that you actually took and you know what you're going to do next. Okay. And come back to this video in six months or four months or two months or one month. We were done with it. And I want to hear some success stories. Okay. That's why I do this for, right? So thanks for watching as always, like subscribe. Hit the bell straight notified up here in another video. And thank you for everyone on Patreon that helps with the channel.


Here you guys are. I appreciate you guys a ton. If you want to join us on Patreon, the link is going to be down below. Peace..



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