In this article, I am going to explain to you how you could earn a return of 17% on your money with zero risk!
Whilst this is not an opportunity for all of us, it is an opportunity for more people than you might think.
To find out if it is an opportunity for you, keep reading.
Before I get to that though, let me ask you a question…
Do you have a tendency to compartmentalize things?
For example, do you like to keep your work separate from your home life?
Or do you have different groups of friends whom you think would not get on together, so you keep them apart?
More to the point, do you compartmentalize your finances by putting your money into different boxes?
If you do, depending on how you do it and to what extent, it could be costing you a fortune.
Let me explain…
Different Money Boxes
If you are like me and most other adults of a certain age, you will have a check account or bank credit account for your day-to-day money.
You will probably have one or more bank savings accounts too.
You will have a mortgage, unless you have paid it off by now?
You may have personal loans for a motor vehicle or a big purchase like a new kitchen or furniture or a wedding?
And you will certainly possess one or more credit cards.
Because all of these different “money boxes” use different bank accounts or different agreements, you will more than likely treat each of these differently and separately.
However, combining some of these money boxes can save you a lot of money and there are a few ways you can do this.
I’m going to talk about just one of them now.
Savings Interest Rates
Bank interest rates are currently at the lowest they have been during our lifetime.
If you have a savings account you will only be earning a paltry rate of 2% to 3% on your money if you are lucky.
But it seems as though the credit card companies are living on a different planet to the rest of us.
If you borrow money from them on a credit card for long enough for it to carry over from one month to the next, then they will charge you a much higher rate of interest.
And that interest rate means that the rate you are earning on your savings is peanuts in comparison!
Credit card interest rates vary widely depending on the company, the type of card, your credit rating, etc.
I’ve been doing some research into this recently and I was shocked at what I found.
Credit Card Interest Rates
According to Index Credit Cards, the average consumer credit card rate in the USA is 16.94%, almost 17%.
In the UK, the average credit card rate is slightly higher at 17.3% according to the Bank Of England in its report in March 2012.
In Australia, the average is 17.44%, slightly higher again, according to the Reserve Bank of Australia.
How does this compare with your credit card(s)?
I have three:
- Card number 1 charges me 21.44% interest on outstanding balances
- Card number 2 charges me 1.313% per month i.e. 16.78% per year
- Card number 3 charges me 16.9% per year
So mine are more or less in line with the average and would cost me between 16.78% to 21.44% to maintain any balance I have, each year.
What about yours?
How To Earn 17% Return With Zero Risk
So far, I’ve been talking about credit card interest rates as a cost.
That’s because this is interest that you PAY a bank instead of interest you EARN from a bank.
But let’s look at it a different way now…
What if you were to use some of your savings to reduce your credit card debt balance so that you had less outstanding credit card balance carrying over from month to month.
Yes, you would lose a return of 2% to 3% on your savings, but you would save circa 17% on your credit card debts and possibly even more, dependent on your credit card (one of mine is 21.44% remember).
Every $100 that you pay off will save you circa 17% of interest every year.
That is like having a bank account that PAYS YOU 17% interest on your savings and it comes with ZERO RISK because you are guaranteed to earn that return for every $1 you pay off.
In other words, every $100 that you pay off your credit card balance will create another $17 every year that you can invest properly into stocks and shares.
And as your balance falls, month on month, it will cost you less to maintain.
Which means that you will be able to pay off more and more each month.
Which means that your debt reduction will accelerate.
Which means that the money you free up to buy shares with will accelerate.
Which means that your share portfolio and returns from it will accelerate.
This is compounding working for you now rather than against you as it was before.
Keep it up and you will soon become a Debt-Free Investor.
To help you achieve this debt-free credit card status yourself, I have a product that will help you.
It’s called Debt-Free Investor and it is a PROVEN FORMULA guaranteed to teach you…
How To Clear Your Debts And Stay Debt-Free Forever In 7 Easy Steps.
If you want to take advantage of this great offer and start earning a 17% return with zero risk, click here now.