Learn to tip the financial scales in your favor by recapturing interest!
Proverbs 22:7—The rich rule over the poor, and the borrower is slave to the lender.
In the Second Rule of financial freedom, we discussed that money is always flowing. Financial institutions have learned how to turn a large portion of that flow in their direction. While it is true that they enjoy regulatory advantages through the federal reserve system (more on this system in future articles), we can still mimic the process they use to redirect a flow of money in our direction.
Interest paid as third-party debt is money that flows away from us that we can never get back. If our financial situation were a boat, debt would be a hole in the bottom. It really doesn't matter whether there is one leak or many—if we do nothing we'll end up underwater!
So the first step in recapturing interest is to "plug the leaks". Just as important is ensuring we don't create new leaks! Dave Ramsey's snowball method is a proven way to eliminate debt that has helped turn many debtors into savers. (Depending on your situation, we can teach you even more efficient and effective methods.) Remember from the Second Rule, however, that the debtors and savers ended up in roughly the same financial situation. Neither learned how to guide a flow of money in their direction.
Profiting off of streams of money is what the banking business is all about. We teach a strategy called "recapturing interest" that allows our clients to create, borrow from, repay, and even profit from their own financial systems. These strategies are not new. In fact, the financial vehicle we use has been around for over two hundred years.
In the last three articles we've discussed the Three Rules to Financial Freedom from a Biblical perspective:
Pay Yourself First (2 Timothy 2:6)
Pay Yourself Interest (Matthew 25:26)
Recapture Interest (Proverbs 22:7)
We would love to help you learn more financial truths and find true financial freedom! Click here for our free beginner video series or subscribe to the Living Wealth podcast here. Contact us today for your free personal wealth consultation! Let us help you to live the abundant life.
Learn more at www.livingwealth.com.
The information presented here is solely for informational and educational purposes. Dan Watkins is not a registered financial adviser. He can be reached at: danwatkins@livingwealth.com.