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Money Guy Show

Should You Pay Off Debt Before Investing? Here Is The Real Answer.

Money Guy Show

Brian Preston, CPA, CFP®, PFS and Bo Hanson, CFA, CFP® | Fee-Only Fiduciary Advisors

Education, Retirement, Moneyadvice, Investing, Savingmoney, Personalfinance, Business

4.62.8K Ratings

🗓️ 19 July 2019

⏱️ 44 minutes

🧾️ Download transcript

Summary

So often, we are asked whether someone should pay off an outstanding loan or invest.

In today’s show, we put the rubber to the road and focus on the numbers. We also look at the different types of debt, how some is more punitive than others, and discuss the role it plays in your overall financial success. Yes! Debt is an important tool to help you achieve financial success.

For more information, visit: https://www.moneyguy.com/2019/07/when-to-invest

Transcript

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0:00.0

Come one come all number lovers because we got you covered today when to pay off that fast and when to invest

0:07.4

It's Brian Preston the money guy restoring order to your financial chaos

0:13.9

retirement investing

0:15.6

Taxing you've got financial questions. He's got financial answers. It's Brian Preston the money guy

0:23.3

So often we get this question. Hey should I pay this off should I invest should and we give you all kinds of rules of thumbs

0:30.0

And we give you all kinds of sayings and we give you all kinds of

0:34.3

You know

0:36.3

March today is about the numbers today is about actually putting the rubber to the road to say when should I when should and I and why does it matter?

0:47.2

Look I love

0:49.2

That we have diversified we started off as a podcast we moved into YouTube

0:54.5

But this thing dirty little secret it is turned into

0:59.6

The the YouTube comments has turned into something they kind of occupies a little a big portion of this brain

1:06.3

It's your version of social media and you debt crusaders. I mean y'all think all debt just bad bad debt

1:13.7

And I try to give you some logic you know nope

1:17.0

Nope, then I'm like you know what we need to give them some numbers

1:20.0

Let's do they need to go to see some numbers because you can't argue with the numbers

1:24.3

So let's kind of load them up with with how this is because there's a thing about debt

1:27.7

That is one of those things where

1:30.2

It I always tell people you have to think about it as a dangerous tool. Yeah, it can be a knife

1:36.0

It can be a chainsaw it depends upon really how scared you need to be with this this tool

1:41.7

It's in there because and here's why debt is so important is because debt has a profound impact on your credit score and credit scores

1:49.8

You know that that's what's going to your insurance premium rates. That's what's going to talk about you know

...

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