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HotTakes With the Murphman - Episode 53_ Financial Literacy · Military Broadcast Radio | MBR Talk

• 1:17
  Not get rid of the. Good morning everyone, how are
• 1:21
  we doing today? Hope everyone's having a great
• 1:24
  time. Welcome to hot Takes with the
• 1:27
  Murph man. I am the Murph man.
• 1:29
  I'm here with my Co host Connor. How are we doing today, Connor?
• 1:31
  Doing good today, Murph. Man, how are we doing?
• 1:33
  I've been doing better if I didn't have this glitch.
• 1:35
  It's not a glitch, it's settings because we got a new setup.
• 1:39
  And I forgot to just exit it. So OK, so in case you don't know
• 1:52
  what we're talking about, we have a new setting, a new toy
• 1:58
  we're playing with. We have automatic cameras and
• 2:04
  the zoom is there, so we're trying to move out of the zoom a
• 2:07
  little bit, but yeah. What do you think, Hunter?
• 2:11
  You're enjoying this? I'm.
• 2:13
  Going to move it down a little bit.
• 2:14
  Yeah, I was going to say we got like you can.
• 2:16
  Really see my head. I'm like help?
• 2:20
  Oh OK. Hello.
• 2:22
  Right there, this is, we're both wearing Gray.
• 2:26
  All right, well, I want to thank y'all for coming.
• 2:29
  Today's episode is going to be one that I really, really love
• 2:32
  talking about because it is about financial literacy.
• 2:38
  It's the basic building blocks that I've talked to Connor about
• 2:40
  for years. Right, Connor?
• 2:44
  And we have the what's the word? I'm looking for the experience
• 2:52
  in budgeting. You do, yes.
• 2:55
  Since we've been at the very bottom, maybe not the very
• 3:00
  bottom, there's people that was always worse than us.
• 3:03
  We were pretty medal. If we didn't have grandma's
• 3:07
  house, we wouldn't be here. Well, if we didn't have
• 3:09
  grandma's house, I would have done a better job of keeping
• 3:11
  that house. Yeah.
• 3:15
  I guess. Yeah.
• 3:17
  We say. Though I know I had to save the
• 3:18
  money to move in here. You get it.
• 3:22
  So that's why, yeah, I know we lost it, but it it wasn't worth
• 3:25
  it anyway. Yeah, they were.
• 3:28
  So much for for that. But yeah, so like we talked
• 3:31
  before I lost the house, we lost the car, we had to move into the
• 3:34
  house. My mom left me.
• 3:37
  And, you know, we're still budgeting on a daily basis,
• 3:43
  right? Every day I check my budget,
• 3:45
  make sure everything's good. If something comes up like I
• 3:48
  want to buy a new program, I got to go to the budget, make sure I
• 3:52
  can afford it. And it's funny because I have a
• 3:54
  budget. The way it sets up, you can take
• 3:58
  out something in the budget now and it tells you all the way
• 4:02
  through the end of the next year where that money will affect us.
• 4:08
  So that's something that's pretty cool.
• 4:11
  Yeah. You know, so I'm really good at
• 4:13
  following the reason that if we're going to use money, how it
• 4:19
  affects us, it actually has a long term effect.
• 4:23
  OK. Like I wanted to buy.
• 4:29
  Well, I'll tell you what this is.
• 4:32
  Get get the episode. Sorry, I just started talking
• 4:33
  about the episode. I love this.
• 4:35
  Go ahead and ignite the fuse, Connor.
• 4:37
  All right. Welcome to Hot Takes with the
• 4:48
  Murph Man. In today's episode, money
• 4:50
  doesn't come with a manual, but it should.
• 4:53
  This episode gives students the financial foundation they need
• 4:57
  to build credit, save smart, and manage student loans without
• 5:01
  drowning in debt. Let's dive right in.
• 5:06
  All right, all right, let's dive right in.
• 5:09
  Episode 53. Can you believe that we are
• 5:12
  ready at episode 53? No, so close to the milestone we
• 5:17
  want to do a little big surprise.
• 5:20
  I don't know if it's a big surprise, but I want to do
• 5:24
  something special. You know what I must say, it's a
• 5:27
  big surprise. You know what?
• 5:32
  I think it's very important to understand that on that episode,
• 5:41
  I could do something that we're not thinking of.
• 5:45
  What would that be? Kidding.
• 5:48
  No. No, hold on.
• 5:51
  Well, we'll talk about. It.
• 5:52
  No, no, no. I just.
• 5:53
  I want I want anyone to see your reaction.
• 5:55
  OK, All right, Let's see what he thinks.
• 6:07
  If that's possible, yeah. That would be cool, right?
• 6:12
  Yeah. Anyway, yeah, I just thought of
• 6:17
  that. Like we can definitely do that
• 6:20
  and just do a best of show, so to speak.
• 6:25
  Yeah, I mean that even though it's like one thing, but yeah.
• 6:28
  Well, yeah, but we have different artists, right?
• 6:32
  Yeah. Like, remember, we had that guy
• 6:34
  from the art market, JJ, and then we had.
• 6:40
  Yeah, hobby. Yeah.
• 6:41
  So we can bring them all back. We can bring Trina back.
• 6:45
  Wouldn't that be cool? Yeah.
• 6:47
  You guys still talk to her, right?
• 6:49
  Yeah. Of course.
• 6:51
  But as you don't know, we've had guests on the show here and
• 6:54
  there, but at the very beginning we had these three guests that
• 6:56
  came on to help us get this started.
• 6:58
  And Trina just happened to pop in on from the Philippines.
• 7:01
  And what was so funny about that was you don't realize how far
• 7:08
  this is getting until someone just comes across our feed.
• 7:13
  And here's it. And it's like she actually
• 7:15
  started chatting with us and we started talking to her.
• 7:17
  And that was was really, really cool.
• 7:20
  So, you know, it's one of those things that, yeah, I'm going to
• 7:25
  start planning the 69th episode. We can't miss anything in
• 7:28
  between now and then, OK. You know what I mean?
• 7:32
  Because if we have it scheduled, we can't skip one and then push
• 7:36
  it back because we have guests. So.
• 7:38
  Yeah. All right.
• 7:40
  And Speaking of pushing back and everything, I'm getting my
• 7:43
  website up. Have you seen it?
• 7:45
  No. You haven't.
• 7:47
  I think it's pretty cool. How about how about we show
• 7:49
  everybody what? What the website is real quick.
• 7:51
  I just want to show them real quick.
• 7:53
  Yeah. Well, you first got an open tab.
• 7:56
  Yeah. There you go.
• 7:57
  Yeah. And then?
• 7:59
  No. Well, yeah, then yeah, type in,
• 8:02
  OK. And then what is it?
• 8:04
  Borderlands success? This is my holding company was
• 8:10
  website so the whole thing. Yes, that's what I was going to.
• 8:14
  OK, OK. Hey, look at that.
• 8:21
  Go back over here, make sure it's on the screen.
• 8:24
  All right, there it is. Maximize it real quick.
• 8:28
  OK, all right. So yeah, Scroll down.
• 8:33
  OK, well give me give. Me so see, we have all our
• 8:40
  brands that we have the Board of entertainment, we have the
• 8:43
  trivia and the bingo and the karaoke.
• 8:47
  And then we also have my animation studios, my production
• 8:50
  studios, my recording studios where we are right now.
• 8:54
  And then, of course, hot takes with the Murph Man, right?
• 8:59
  And then, and then on camera. Yeah, I'm like, I don't know
• 9:02
  what you're doing. He's like throwing the piece
• 9:04
  out. Yeah, throwing.
• 9:05
  The piece out What's up and then I have vibes in the 915.
• 9:13
  That's a podcast. We're going to be starting
• 9:14
  separately from all of this, which is all El Paso.
• 9:17
  And then I have Murph Men Live. You can hire me for events and
• 9:21
  actually have a baby shower after today's podcast.
• 9:24
  And then coming up the road or down the road is my parenting
• 9:30
  program where I plan on doing consulting and everything, and
• 9:36
  then I have my confidence project and the seven niches.
• 9:39
  So yeah, we got a lot going on there and looking forward to it,
• 9:45
  you know? Yeah, But getting back to the
• 9:47
  show, per SE, igniting the fuse, right?
• 9:51
  Build a strong financial foundation early in life.
• 9:55
  If you put in 50 to $75 a week, it's 300 a month give or take,
• 10:04
  right? I don't know.
• 10:06
  Yeah, 300 a month and you have a good interest rate or you
• 10:09
  invested properly. 50 or 70 of what?
• 10:13
  50 or 75 is about 300 Max. But you said a week.
• 10:16
  Yeah, 55 a week and then 300 a month.
• 10:20
  I was in. You just did the math again,
• 10:23
  right? And if you invested properly
• 10:28
  since you're young, you can be a millionaire by the time you're
• 10:32
  45. Now, that might not mean much
• 10:36
  now, right? But yeah, so you understand your
• 10:40
  credit that you're building is important and also have some
• 10:46
  saving strategies. You guys, I've told you, I lost
• 10:49
  the house, lost the car. All my savings went into my
• 10:52
  wife's treatment. Everything, her funeral and
• 10:56
  everything, everything, everything I had to do all that.
• 10:57
  Her funeral loan was 7000. God damn.
• 11:01
  And she was sick for three years.
• 11:02
  So that was about another 30,000, you know?
• 11:08
  So almost 40,000 in your mom's care.
• 11:11
  Yeah. It was crazy, you know.
• 11:14
  But, you know, that's why we have savings for to take care of
• 11:18
  emergencies like that, right? Yeah.
• 11:20
  I ended up losing the house and everything.
• 11:21
  Could have done better because at a young age I didn't really
• 11:27
  worry about that too much. You know, I had houses.
• 11:31
  I actually had my first house at 23.
• 11:33
  Can you imagine? Only the house in three years,
• 11:34
  Connor. Crazy.
• 11:37
  Right. And then I moved to El Paso,
• 11:43
  bought another house and I got divorced and she took them both.
• 11:48
  So, I mean, I, I've, I've tried to do this.
• 11:51
  I just had a lot of things happen to me.
• 11:54
  So when I talk about this, I want you guys to understand I am
• 11:56
  speaking from the heart about this.
• 11:57
  This is Money. It's something that matters to
• 12:00
  me. I want everyone to do better
• 12:01
  than me, right? Yep.
• 12:04
  I I, you know, I told Connor I set him up to once I die, which
• 12:13
  might hopefully it's within time for you to enjoy it, right?
• 12:18
  Watch me live to 100 and you die before me or something stupid.
• 12:20
  Oh, God. But yeah, my life insurance and
• 12:24
  everything. But when I retire from my
• 12:26
  teaching, I have half of my the retirement going to him for the
• 12:33
  rest of his life. And that's $1300.
• 12:35
  I thought it was like 5 or 600. It's 1300 now.
• 12:39
  So that's pretty good, I think, you know.
• 12:42
  I think so too so. It's one of those things that I
• 12:48
  look forward to, you know, dying.
• 12:51
  No, I want to see you do really well, is what I wanted.
• 12:55
  I hope. Knock on wood, all that stuff,
• 12:58
  right? Yes.
• 13:01
  Yeah, sorry. I just who's there?
• 13:09
  Who looked at me like there was someone at the door.
• 13:10
  I'm like it's. Me.
• 13:11
  No, no, no. If you'll hear me like this.
• 13:14
  Because they had the metal door. No one puts their knuckles on
• 13:17
  it. They hit it like that anyway.
• 13:19
  All right, you guys, let's get to the burning question today.
• 13:30
  Today's burning question challenges you to identify the
• 13:33
  most important asset to bring to your performance review.
• 13:38
  A A list of all your accomplishments.
• 13:40
  BA List of your weaknesses. CA list of all the things your
• 13:45
  manager did wrong. DA list of all the projects you
• 13:49
  want to work on. Connor, how do you think our
• 13:52
  listeners should weigh these choices before stepping into the
• 13:54
  room? All right, retrack on that.
• 14:01
  Yeah, hold on. OK, I, I don't tell me I screwed
• 14:05
  all these up. That's one of my concerns right
• 14:08
  now. The.
• 14:08
  First one was good, no? Yeah, I put that on this
• 14:12
  morning. Oh God, let's hope this doesn't
• 14:15
  get screwed up, OK? But anyway.
• 14:21
  Yeah. OK.
• 14:33
  Yeah. So I'm just verifying those are
• 14:35
  the right questions. Oh yes, but it was talking about
• 14:38
  something else. Yeah, the audio was wrong.
• 14:41
  I do apologize about that. Again.
• 14:43
  I've never had a perfect show, you know what I mean?
• 14:47
  Yeah. That's just that's just crazy.
• 14:51
  But the questions, let me get those to you.
• 14:54
  Here is where here it is. What is the credit score?
• 15:03
  OK, what is a credit score? Anybody have any ideas on that
• 15:09
  Connor? I do.
• 15:12
  You do. I think so.
• 15:14
  Well. Let's see if you're right.
• 15:16
  All right. The first one is the number of
• 15:21
  credit cards you have. Is that the credit score, a
• 15:27
  number that reflects your credit worthiness?
• 15:31
  Is that the amount of money you have in your bank account or a
• 15:38
  number that predicts your future salary?
• 15:41
  So we already know none of that's happening, right you?
• 15:46
  Know what I mean? And none of that is happening.
• 15:49
  Well, the number that predicts your future salary.
• 15:52
  Oh, it'd be nice to be able to say, hey, you know, we have a,
• 15:57
  what's it called? God damn.
• 16:04
  Our score helps us with the, with salary, you can improve
• 16:10
  your score, you know, 'cause you're, you're managing your
• 16:13
  money well and you get like a very high score.
• 16:15
  And then now you can get paid 200,000 a year instead of 50.
• 16:19
  Yeah. Yeah.
• 16:20
  So the answer is BA number that reflects your credit worthiness.
• 16:26
  Now, what's funny about that is if you've never had credit in
• 16:29
  your life, right? If you've never had credit in
• 16:34
  your life, you end up not needing it because you have
• 16:39
  money, whatever the case may be, right?
• 16:42
  You have to use your cash on everything, right?
• 16:45
  And if you don't have any credit cards, you end up having to pay
• 16:49
  cash for everything and you lose your money.
• 16:52
  So there's people that finance stuff like my mom used to say,
• 16:56
  as long as you can finance it for the payments, you can buy
• 16:59
  it. Yeah.
• 17:01
  And it should end up in several $100,000 in debt.
• 17:04
  OK. But you want to buy a house,
• 17:08
  they check your credit score. You want to buy a car, they
• 17:11
  check your credit score. So it's like, how am I supposed
• 17:15
  to do this, right? So it's creative.
• 17:22
  Worthiness is so important. You got to make your money.
• 17:25
  You got to pay your bills. And trust me, it will work out.
• 17:29
  OK. Let's go ahead and get to
• 17:32
  today's hot take. We've answered your question
• 17:43
  about what the topic is today. Let's hear what the Murph man's
• 17:46
  hot take is. Today's hot take is this Renting
• 17:51
  an apartment and buying a used car is more financially
• 17:54
  intelligent than saving for a down payment on a house in your
• 17:57
  20's. The obsession with premature
• 18:00
  home ownership traps young people in high cost cities.
• 18:04
  Prioritizing career flexibility and liquid wealth early on
• 18:08
  provides greater financial stability.
• 18:10
  Let's unpack this perspective before moving forward.
• 18:13
  All. Right.
• 18:17
  Think about that statement. Connor renting and by the used
• 18:21
  car is financial intelligent. Didn't save a down payment for a
• 18:24
  house in your 20s. Why do you think that is?
• 18:30
  Think of a situation right now. How would you apply it to
• 18:34
  yourself? I have no idea.
• 18:38
  I don't know what like the difference between down payment
• 18:42
  and a renting and Oh yeah, I don't really know much like
• 18:46
  that. OK, that's a good point.
• 18:50
  OK, so maybe we need to do laying down the coals to discuss
• 18:57
  those terms, but I'll I'll go over them real quick here.
• 19:01
  The renting, you rent an apartment or a house, you make a
• 19:04
  payment at the end of your contract.
• 19:06
  They can kick you out or you can move out, whichever way, right?
• 19:10
  A used car, you know what that is?
• 19:12
  A down payment is saving up money.
• 19:13
  So when you go get the loan, you can lower your balance and
• 19:17
  that's the bond you finance. You're more likely to get
• 19:22
  approved of the down payment, which is not always the case,
• 19:25
  but but when you're buying a house, that down payment is
• 19:31
  basically all your closing costs.
• 19:32
  So it doesn't really add to the house.
• 19:34
  But what's interesting about that is you have an option to
• 19:36
  buy points. So you have an interest rate of
• 19:39
  say 6% and you can buy points, You can get it down to 5 1/2,
• 19:44
  which over the years of the loan is several $1000.
• 19:49
  So having a down payment helps you with all that stuff, you
• 19:51
  know. But I'll tell you what, let's go
• 19:54
  ahead and take a quick break and we will return.
• 19:57
  Wait. Yeah, it's great time.
• 19:59
  No laying down the cold, it's the way set up.
• 20:03
  But if you're on your break, we can.
• 20:09
  What happened? What do you mean?
• 20:12
  No, I'm looking for the vet video.
• 20:15
  Is that the vet video? Yeah, OK.
• 20:18
  That's that's the break. So yeah, I want to take a break
• 20:23
  before the delay and the colds. OK.
• 20:25
  All right. So we'll be right back, you
• 20:26
  guys. It's time for a break.
• 20:29
  Hot takes with the Murph man. We'll be right back.
• 20:37
  Military broadcast radio, the station that's giving veterans a
• 20:41
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• 20:45
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• 20:53
  reflect the views or positions of any entities they represent.
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  Dwell, it started. One day in a little book so.
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  I'm sorry. All dogs go to Heaven's a Disney
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  movie. All right, so before we get back
• 26:02
  to show you guys, you just saw the video, Ryan Spencer's make
• 26:06
  22 zero again. I play.
• 26:07
  I've played the song before, but now I I'm I'm changing up a
• 26:12
  little bit. Put the whole song in there so
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  you could hear it for a while. That song very inspired me the
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  first time I heard it. I'll tell you that right now and
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  You're not alone. There's people out there wanting
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  listen. Just remember you're not alone,
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  OK? The number used to be 22 a day.
• 26:56
  I think we're down right now to about 17.
• 26:58
  And it's one of those things that I think needs to go even
• 27:03
  lower. You know what I mean?
• 27:05
  Yeah. Because if it doesn't, it's it's
• 27:08
  going to be affecting more people.
• 27:10
  And I don't think that's a good thing.
• 27:13
  You agree with that? Yeah.
• 27:16
  All right. So what?
• 27:32
  Hold on. Nice.
• 27:33
  So it's because we both have the mouse.
• 27:38
  He has his own mouse. I have my own mouse that's one
• 27:41
  one mouse. He clicked on it on the another
• 27:45
  thing that I'm using and I had to go back to it.
• 27:47
  Oh sorry I accidentally right clicked.
• 27:49
  Yeah, but it advanced that. Was you?
• 27:52
  Yeah. Yeah.
• 27:53
  So I was like, anyway, the financial literacy that we
• 27:59
  talked about, OK, is so important because it sets you up
• 28:05
  for the future. Like we're talking about credit.
• 28:09
  You don't need it. If you have a great, if you're
• 28:10
  making $1,000,000 a year and you want to use all your cash, go
• 28:13
  for it. But what happens the day you
• 28:15
  can't work and you have no savings?
• 28:18
  That's the issue. That's, that's the exact problem
• 28:21
  we're trying to prevent here. So you sort of need to prepare
• 28:26
  for credit and you got to be able to pay it back.
• 28:29
  So don't, don't extend yourself on credit, But you know, if you
• 28:33
  lose your job or something, it's a big deal.
• 28:36
  And if you have no savings, then you're going to be in trouble.
• 28:41
  Great. So let's let's get to today's
• 28:45
  laying down the cold segments. We know what we're going to be
• 28:47
  talking about. And now in our segment called
• 29:01
  Laying Down the Coals, we're going to discuss the terms that
• 29:05
  will guide us in today's episode.
• 29:07
  Before we dig in, let's clarify some of the key terms we'll be
• 29:10
  using today. Here are the definitions for
• 29:13
  today. Credit score, a number
• 29:16
  reflecting your creditworthiness based on history.
• 29:19
  Compound interest, earning interest on interest over time
• 29:23
  for wealth loan repayment options.
• 29:26
  Plans determining how to pay back student debt.
• 29:30
  Let's use these definitions to fuel our financial journey.
• 29:35
  All right, so we already talked about credit score, compound
• 29:38
  interest, earning interest on interest over time for wealth,
• 29:42
  compounding interest takes what you have, gives you a little bit
• 29:45
  more the next time it it correlates the I mean it creates
• 29:49
  the in the interest it Yeah, I need a drink.
• 29:54
  Yeah. The next time it creates the
• 29:56
  interest, it creates it on your initial principal balance, plus
• 29:59
  anything you've added, plus the interest you've made.
• 30:02
  And as you go more and more and more, you've earned more and
• 30:04
  more interest. So you're going to be able to
• 30:06
  make more. OK?
• 30:08
  That's how compounded interest works.
• 30:10
  And then loan repayment options plans to determine how to pay
• 30:13
  back student debt. Now, I will tell you, it's it's
• 30:20
  it's hard getting a student debt.
• 30:23
  It's very hard to get out of it. Don't do it if you can't avoid
• 30:26
  it, Right, Connor? Right.
• 30:31
  You know. That is true.
• 30:34
  We, we, I was looking into getting a loan for Connor and so
• 30:38
  he could have like expenses for his house, his car and stuff
• 30:42
  like that. And if we borrowed 13,000 and
• 30:48
  didn't make a payment until four years, now he graduates.
• 30:52
  What, three years, but yeah. OK, you start paying $50,000 for
• 31:01
  the 13 you borrow. That is 30.
• 31:02
  No. No 9 is 3013 is 50.
• 31:09
  Oh. That's crazy.
• 31:10
  Payments are like 250 or more a month.
• 31:14
  And now, now you see all those tech talks that's saying I hate
• 31:17
  being a student debt and all that, and they're like
• 31:19
  struggling financially. Now you know why.
• 31:22
  So, you know, you know what's funny?
• 31:23
  Our advice today is save money so you can go to college, but if
• 31:27
  you don't make any money and don't earn any money, you get
• 31:29
  financial aid and you can go to college anyway.
• 31:32
  Yeah, but I won't get you anything.
• 31:37
  No, I won't. You won't have like extra money
• 31:38
  on the side or anything. Exactly.
• 31:40
  I was going to say, the advantage of that is actually
• 31:45
  having a a life basically, right.
• 31:55
  Yeah. So, yeah, all those, all those
• 32:00
  terms are very important. Understand savings you, you,
• 32:06
  well, you there's different ways to invest.
• 32:07
  We're going to talk about this later, but a savings account, if
• 32:11
  I were to tell you, Connor, how much money do you need in the
• 32:13
  savings account? What do you not in the amount,
• 32:17
  but what do you think that how can you figure out what you
• 32:20
  should have in savings? I would say I don't know how
• 32:29
  would you figure out how much to put in savings?
• 32:32
  The rule of thumb is 6 months of your salary.
• 32:35
  So half a year's worth of salary.
• 32:37
  Yeah, I'd say up to a year, OK. If you get fired, you don't
• 32:45
  stress because you have six months of savings.
• 32:49
  Does that make sense? Yeah.
• 32:52
  I mean stress because you lost your job, you got to find
• 32:54
  another one, but you have six months to do it.
• 32:56
  You don't want to always find one, but you know what I mean?
• 32:59
  Yeah. So the more you have in savings
• 33:03
  for those emergency funds or those rainy day funds are the
• 33:06
  most important thing that you can do and you try, you don't
• 33:09
  touch it for anything, OK. I don't have a large savings
• 33:14
  right now, but I have some. But for the business, I have
• 33:21
  certain money I can put into it as I'm going along until I can
• 33:26
  start getting paid for stuff, which is happening now, right?
• 33:30
  But I was able to keep it floating and get the website up
• 33:33
  and get the emails up and all that stuff because I was able to
• 33:37
  save that money for that. I was able to set it aside and,
• 33:40
  and put it away for that. I didn't put into my savings.
• 33:43
  I put into the business. And so why don't, someone told
• 33:47
  me one time the the nice thing about your situation is you're
• 33:50
  not struggling. So you're not doing a job.
• 33:53
  I mean, you're not starting a business to get out of debt.
• 33:57
  Yeah, get out of debt. Or because you need to survive.
• 34:00
  You're doing it because it's just something you want to do.
• 34:02
  Yeah, you're just doing it for the front of the game.
• 34:04
  Right. But am I getting paid now?
• 34:07
  Yeah. Are you getting some
• 34:09
  recognition? Yeah.
• 34:11
  So, you know, I, I saved it by investing in my business, which
• 34:16
  is going to have the returns on it.
• 34:18
  There's a term called ROI. Do you know what that is,
• 34:20
  Connor? ROI, yeah, return on investment.
• 34:24
  Very good. Yeah, we covered that a couple
• 34:26
  weeks ago. I was like, is he going to
• 34:27
  remember that or not? But yeah.
• 34:29
  So having that, that cushion, that savings that whatever you
• 34:38
  want to call it, is nice because if something happens, you don't
• 34:43
  have to worry about it. Like, for example, if you're at
• 34:45
  work and you get sick, you're going to be sick for three
• 34:48
  months, you have a broken leg, you can't work, whatever the
• 34:50
  case may be, right? You get disability if you have
• 34:53
  the insurance, but if you don't have that, then you have to use
• 34:59
  your savings. And if you don't have savings,
• 35:01
  what are you going to do, you know?
• 35:05
  Struggle. You need to have some savings.
• 35:08
  Yeah, in your life. I'm kidding.
• 35:09
  Make sure you plan ahead like that, OK?
• 35:12
  And the best way to do it is to start young, you know, just put
• 35:19
  money into savings. And again, we're going to talk
• 35:21
  about this later, but the sooner you put it in, the sooner starts
• 35:25
  earning interest and you start saving more money.
• 35:28
  OK, so I'll tell you what. Excuse me.
• 35:35
  Let's go ahead and let's get to the story from the Fire.
• 35:46
  You guys hear my stories all the time, but nothing is better than
• 35:50
  hearing a story that relates to the topic from someone else.
• 35:54
  So let's talk about today's story from the Fire.
• 35:57
  Trey got his first credit card and maxed it out on impulse
• 36:01
  buys. After a crash course in credit,
• 36:03
  he started paying it off in full each month.
• 36:06
  He built a budget and opened a high yield savings account.
• 36:10
  His credit score climbed alongside his overall financial
• 36:13
  confidence. See how intentional changes
• 36:16
  completely transform outcomes. So that's the point, OK?
• 36:24
  He built a budget and opened a high yield savings account.
• 36:27
  His credit score climbed alongside his overall financial
• 36:30
  confidence. You have the ability to save.
• 36:37
  It's not hard, OK, But buying a credit card and then saying,
• 36:44
  hey, I need to buy something and then before, you know, you're
• 36:50
  using the credit card for all the stupid stuff and you know,
• 36:53
  $2.70 at K sort of K for your drinks and chips or whatever,
• 36:57
  you know, over time that adds up.
• 37:00
  You don't even think about it at the time.
• 37:03
  Yeah, you literally like you stole the mouse as I was going
• 37:08
  to click it. I literally clicked it and you
• 37:10
  took it off. It literally was about to like
• 37:13
  right there. It's OK.
• 37:15
  And you're like went down, went back up.
• 37:20
  That's been my Thunder, man. I should let the let the
• 37:24
  producer do it produce, right? Yeah.
• 37:27
  I should just stay out of it. Let me produce, man.
• 37:29
  Yeah, you're the executive producer of the show.
• 37:32
  I know you know, So keep that in mind.
• 37:36
  Put that on a resume. You know, the, the thing about
• 37:42
  credit cards is you need some to buy things you need.
• 37:46
  If you don't have the savings, you got to buy a refrigerator
• 37:48
  out of nowhere or washing machine and dryer.
• 37:51
  That's a 13 to $2000 investment there.
• 37:56
  You know, if you have savings and you can plop down $2000, hay
• 38:01
  power to you, you know. But if you don't have savings,
• 38:05
  you have to make a payment plan or put on a credit card.
• 38:07
  You got to make sure you can make those payments, you know.
• 38:11
  Yeah. So it's it's something I give
• 38:15
  with caution. You need credit, but you don't
• 38:18
  have to spend. I mean, you don't have to use it
• 38:20
  to buy everything. OK.
• 38:22
  But if you're going to buy it like for example, the printer I
• 38:27
  bought, which one? No.
• 38:31
  Hold on the color printer with the warranty and with the ink,
• 38:36
  Do you remember where that came out to?
• 38:38
  No. $1000. Wow.
• 38:42
  And I said that's a lot of money so I'm going to buy it on credit
• 38:49
  card. So I went up to the counter and
• 38:52
  I said, do you have a Best Buy credit card?
• 38:53
  And they said yes, let me apply for it.
• 38:54
  I did. I was able to get 0 interest for
• 38:57
  a year. So that's like paying cash, but
• 39:00
  I get to spread out over 12 months.
• 39:02
  It doesn't cost me an extra penny whatsoever, right?
• 39:06
  So I'm able to do that and once I get more money, I'll pay off
• 39:09
  my dad's little by little. You know what I mean?
• 39:12
  I kind of can take on that budget.
• 39:13
  I talked about where I have it all listed and when I, I use
• 39:15
  Excel, but I have it all listed. I have spaces when I get extra
• 39:22
  money, pay this or I have a little orange highlighted cell
• 39:28
  that says, you know, pay off something.
• 39:31
  So when that money comes in, I can put it in there, you know,
• 39:37
  like for example, my stipend they get in March for being a
• 39:42
  club sponsor. You know, last year I was in
• 39:47
  charge of two clubs. This year they only had me in
• 39:49
  charge of 1. So I'd lost half of my stipend,
• 39:52
  right? So I go to March and I only put
• 39:54
  half of my statement in. So that's the extra money I have
• 39:57
  for that month income tax time. I have a statement.
• 40:01
  I mean pay off plan for that money, you know.
• 40:07
  Having the plans, very important.
• 40:08
  But if you're going to buy something on credit and it's 0%
• 40:12
  interest, why not, right? Like a car, I can go ahead and
• 40:16
  pay Toyota $60,000 for a car or Lexus or whatever, right?
• 40:22
  But if they offered me 0% interest, what, what was wrong?
• 40:29
  Nothing, you know, and then get this.
• 40:32
  If I pay for the car, $60,000 cash, here you go.
• 40:36
  I'm a badass and you drive off the line and they wreck you.
• 40:40
  How much is that car worth? No, nothing or 40,000.
• 40:46
  You know they're going to say it's a used car now, pulling out
• 40:49
  of the light. You can get to an accident now.
• 40:52
  What happened before? Oh yeah, hold on.
• 40:56
  I want to share a story with you guys because I, I think it's
• 40:58
  hilarious personally. It has nothing to do with the
• 41:01
  credit or anything, but it does have to do with pulling out of a
• 41:03
  parking lot. Had a friend of mine at Walmart.
• 41:08
  He pulls out of the parking lot in front of the car and the car
• 41:12
  hit T bones him a little bit right?
• 41:15
  Wasn't damaged to the point where he couldn't drive it.
• 41:17
  There was a cop behind that Lady.
• 41:20
  They pull into Walmart to get a you know, what's it called?
• 41:25
  Like insurance? Checks and all that, yeah, to
• 41:27
  get all that information. And then as the guy is leaving,
• 41:33
  he's pulling out. And I mean, he, he, he's driving
• 41:36
  down the street and another car pulls out in front of him and he
• 41:39
  hits that car like the cop was laughing.
• 41:46
  And he's like, dude, like you have damage on one side of the
• 41:50
  car and damage on the other side of the car.
• 41:52
  Like, your car is totaled, but who's going to pay what?
• 41:56
  You know? Yeah, that was a big mess with
• 41:58
  insurances. But right now I'm saying pulling
• 41:59
  out of a parking lot. Was it his fault?
• 42:01
  The first one was, the second one wasn't.
• 42:02
  That's why I'm saying like 1's going to pay him and the other
• 42:04
  one he has to pay. Might as well just forget all
• 42:07
  about it. Well, that's right.
• 42:08
  It's a, you know, two different insurance, two different
• 42:10
  crashes, two different situations.
• 42:13
  But yeah, it it literally pulling out of the parking lot.
• 42:16
  He got hit and it happens so many.
• 42:17
  How many times have we, I tell you, careful merging lanes,
• 42:21
  pulling into traffic, out of traffic, anytime those
• 42:24
  transitions, accidents can happen.
• 42:26
  Yeah, people are stupid and they don't know they have stops lying
• 42:28
  and. Yesterday Connor was driving and
• 42:31
  this lady was going to cut him off, and I said, hey, careful.
• 42:34
  He saw her, but he assumed she saw him.
• 42:37
  I was fighting for my lane. Yeah, he's like, I'm not moving.
• 42:40
  I know I could have. I know I could have braked, but
• 42:44
  I did a lot of the gas. Isn't it broken Brake.
• 42:51
  Yeah. Past tense of brake.
• 42:53
  Like I break something, it's broken.
• 42:54
  Oh, all right, anyway. Yeah, so I stood my ground
• 42:59
  because, I mean, I would think I'm right.
• 43:03
  My hood of the car is by her front wheel.
• 43:09
  So you would think literally like she looks over like
• 43:12
  peripheral vision. She would see me because I'm in
• 43:14
  a big SUV and I'm like, she didn't see me.
• 43:18
  Then I honked and she got scared.
• 43:21
  She got startled so bad she even realized I was there.
• 43:24
  Yeah, she totally did not see him you know, and I that's why
• 43:27
  those transitions, merging lanes, getting on traffic, I
• 43:29
  mean get on the freeway, all of them can cause.
• 43:33
  Accidents and just the stupidity of people, the amount of people
• 43:36
  that drive that don't know what they're doing.
• 43:40
  Well, that's El Paso, dude. That's El Paso.
• 43:42
  It's. New Mexico, actually.
• 43:45
  So new. Mexico.
• 43:46
  There's always those license plates, bro.
• 43:48
  No, always the black with the yellow letters and then all you
• 43:53
  see on the top. New Mexico or Chihuahua or
• 43:56
  fucking Texas. Do you know why?
• 43:59
  Mostly Chihuahua do. You know why?
• 44:02
  Fucking. DMVS are cheap in Juarez.
• 44:04
  Hold on. I'll get to Juarez in a little
• 44:08
  bit. New Mexico tends to speed
• 44:10
  because their speed limits are higher than ours and they're
• 44:14
  used to driving that. So that's one.
• 44:15
  No, that's that's the thing. They go slow.
• 44:17
  OK, The other thing is you'd mentioned Juarez in Mexico.
• 44:23
  I have a friend of mine who has a son that got his driver's
• 44:25
  license, didn't even have to take a test.
• 44:26
  He he took the written test and they're like, you're good.
• 44:32
  So that explains why the Juarez in Mexico drivers are so bad,
• 44:34
  right? Yeah, yeah, that, that makes so
• 44:36
  much sense. And then we have teenagers who
• 44:38
  don't listen to you. No, actually, Conor does real
• 44:41
  good. I've told you several times, you
• 44:42
  know. The amount of times.
• 44:44
  Hit on a swivel. Like people was scratching to me
• 44:47
  or other people on the road. It's insane.
• 44:50
  Their fault? I'm yeah, I know, not my fault.
• 44:53
  Once or twice it's been, you know, you told me you could do
• 44:55
  something differently. But but every, every time,
• 44:58
  literally like day-to-day, I swear to God to like Monday when
• 45:02
  I go to school, I'm going to record a video like on just so
• 45:06
  you use my reaction. And I swear to God I'm going to
• 45:09
  like road rage like 3 times because people don't know what
• 45:11
  they're doing and. What do you mean by road rage?
• 45:13
  He just curses him out and. Yeah, I'm still driving.
• 45:16
  Good. He doesn't pull over and yell at
• 45:17
  him or nothing, he just yells at himself.
• 45:19
  Yeah, I yell at myself because I'm like.
• 45:22
  But yeah, so The thing is right now, Connor, if you get into an
• 45:26
  accident, right, I have what this what you call GAP
• 45:31
  Insurance. Do you remember what that is?
• 45:33
  No. Sounds familiar, but I don't
• 45:36
  know what it means. The car is worth X amount of
• 45:39
  dollars and I owe X amount of dollars on it.
• 45:44
  When the when it's over, there's a gap.
• 45:47
  The intern, it's only worth this.
• 45:49
  That's what we're going to pay you.
• 45:50
  The gap is pays for the full amount of the loan.
• 45:56
  A good example of that is cyber trucks when they first came out,
• 45:58
  100,120 thousand. Right now they're only worth
• 46:02
  like 40 and they still owe like maybe 75 or 80 on it.
• 46:06
  Dang. Oh, they were more.
• 46:10
  No, I know they were like 300, no.
• 46:13
  Well, the during COVID all the see, that's the thing.
• 46:17
  Well, even then, still now I mean.
• 46:19
  I, I, I know you don't pay attention to the market and
• 46:21
  stuff like that, but during COVID like.
• 46:24
  Walmart. No, like during COVID, they
• 46:29
  added huge amounts of prices to the cars because they weren't
• 46:34
  being made, because they were missing a chip that wasn't being
• 46:37
  made because the chip came from China.
• 46:39
  And COVID over there was not any people at work.
• 46:43
  So that chip wasn't made. So that affected cars being
• 46:46
  made. So there was no cars to sell.
• 46:49
  And supply and demand, there's less cars.
• 46:51
  You're going to raise the price. So they have this thing called a
• 46:53
  premium, right? Added on $5000.
• 46:58
  Just random, you know, like this Corvette you did you go look at
• 47:04
  a Corvette recently? That one too.
• 47:07
  No, OK, I have. Well, I I haven't seen them.
• 47:11
  Oh no, what do you? Mean like go see one.
• 47:13
  And like, what's it called A car dealership?
• 47:18
  Yeah, not recently, but yeah, yeah, it was like a month or two
• 47:21
  ago. Yeah, that's.
• 47:23
  That's really recent dude. Obviously recently, like last
• 47:25
  week. But when you went and you looked
• 47:29
  at the price of the car, right? You, you you looked at the
• 47:33
  sticker. Yeah.
• 47:34
  And you saw the price. But did you actually read what
• 47:37
  the sticker was? I'm just curious.
• 47:40
  I was reading it, then the dealership guy came up to us and
• 47:43
  started talking. There's MSRP, which is
• 47:46
  manufacturers. Market price.
• 47:48
  Yeah. So not market price, there's
• 47:50
  suggested retail. Which is market price.
• 47:53
  No, market price is the market that wants to buy that car.
• 47:58
  Yeah, some will pay more because they want like the type which is
• 48:00
  they want to buy that. Is it MSRP, the price, the
• 48:03
  market price that they put onto that car and then added on to
• 48:06
  like taxes and all? That manufacturers suggested
• 48:10
  retail price, yeah, market is what I'm talking about, where
• 48:15
  they put a $5000 bonus on it because people want that car.
• 48:19
  It's a high demand. Well, then I guess, yeah, OK, I
• 48:22
  would say high demand, but I mean, well, no, it's just a
• 48:25
  nicer like newer car. A Celica Supra.
• 48:30
  OK, a what? A Toyota Celica Supra.
• 48:33
  Oh, OK, OK. I thought you speaking fonts.
• 48:37
  Yeah, Helvetica and Montserrat. I think that is a font.
• 48:44
  Yeah, I. Think I dated them in high
• 48:45
  school but. It's not like men.
• 48:49
  Helvetica no what? Was the other one.
• 48:52
  Montserrat maybe, but. That's for us.
• 48:56
  Who? So they tacked on thousands and
• 49:02
  thousands of dollars, taking advantage of the people who
• 49:04
  wanted to buy cars and people paid the prices.
• 49:08
  Right now nobody wants to buy cars because they're still doing
• 49:11
  it in some cases. And they're, they're like,
• 49:15
  there's no negotiating it. That's the price of the car.
• 49:18
  Take it or leave it. They, you know, now we're
• 49:21
  leaving them. We're not buying cars, right?
• 49:26
  You guys know if I'm older, we used to have cable TV, right?
• 49:31
  And cable TV came and you could buy packages with certain TV
• 49:35
  stations like we did with Hulu recently.
• 49:37
  Remember, we want these channels.
• 49:39
  You could buy that package. You want these channels, you buy
• 49:41
  that package before, you know it's 150 or $20.00 a month,
• 49:43
  you're paying on cable. So they decide we're going to
• 49:46
  stream everything and they're going to get to the individual
• 49:50
  channels. So if you want ESPN, you only
• 49:52
  have to pay $10 a month for ESPN and you get nothing else with
• 49:56
  it. Well, it started off at 3-4
• 49:59
  dollars. Now it's like 1520, you know
• 50:01
  what I mean? So we're back at paying 200.
• 50:05
  Technically, if you were to get all the pay stations and live
• 50:07
  TV, you're paying over 300 a month. 300 yeah. 300 a.
• 50:11
  Month. Like is it even worth it after
• 50:13
  that? Well, that's my point, right?
• 50:16
  You got to find ways to to find ways to save.
• 50:21
  Like for example during Black Friday, Walmart has the deal
• 50:25
  half price one more plus and you get Paramount or Peacock with
• 50:29
  it. For how long?
• 50:32
  For a year, so $60.00 instead of 120.
• 50:35
  You know, if you're a college student you get deals.
• 50:39
  Peacock 399 a month versus $10 a month.
• 50:43
  Amazon Prime. Well, it's different, no,
• 50:47
  because for student it's like it's not a year for some stuff.
• 50:50
  Some stuff is like 3-4 months. Well, yeah, but Peacock
• 50:56
  specifically for a year, the Amazon Prime is half price for
• 51:03
  students. You know, that's a big deal.
• 51:07
  So if you're a college student, look up college deals.
• 51:10
  Yeah, look up student discounts. There was one I didn't even know
• 51:15
  existed was we went to get the oil changed.
• 51:17
  Do you remember? I mean the yeah, yeah.
• 51:20
  The guy goes, oh, you go to U Tip and Community College.
• 51:23
  I said no, I'm a teacher at Community College and he's a
• 51:24
  student at Community College at U Tip.
• 51:26
  Yeah, he asked. Because I was wearing U tip.
• 51:29
  Then he saw the sticker. I was wearing that's why I asked
• 51:32
  if I was U tip student and then he saw it and you asked what's
• 51:36
  better. The teacher discount or the
• 51:38
  student discount? And the student discount was
• 51:40
  better, you know. Yeah, students win school
• 51:44
  teachers. I'm kidding.
• 51:48
  So keep that in mind because it's very important to
• 51:51
  understand that you can get discounts on things you buy
• 51:55
  every day without even realizing it.
• 51:58
  OK, Albertson's, the first time you use Albertson's pick up,
• 52:04
  they give you a 20 dollar $30 credit with save 20 or save 30
• 52:07
  is the coupon. So, you know, I'm not a
• 52:09
  couponer. Not anymore.
• 52:13
  Well, coupon is what the papers copies that I showed you that
• 52:17
  have coupons. Yeah, we got to cut them, right,
• 52:19
  That you cut coupons. We we have some.
• 52:21
  That's why there's a little scissors on them.
• 52:22
  Yeah. Now it's on the app.
• 52:26
  All right, not always. Well, that's where the that's
• 52:30
  where we go look for the app, the coupons.
• 52:32
  We don't look for actual coupons anymore, right?
• 52:34
  Oh yeah, back then we go to Sonic a lot.
• 52:40
  OK, but it's more for the drinks.
• 52:42
  Yeah, we're on the ice. OK, part of the slushies or
• 52:45
  whatever. It's like those crushed ice, so
• 52:48
  it's nice. It's like those tiny cubes
• 52:50
  instead of those big like chunks of a iceberg.
• 52:54
  OK, let me let me focus. Sorry, let.
• 52:56
  Me focus. And on the app, when you buy
• 53:02
  enough, you get half price drinks for the rest of the year.
• 53:07
  And it's some coupons you can only use once a day.
• 53:10
  The half price drinks that becomes a a a reward for a
• 53:14
  loyalty members. Connor, do you know when our our
• 53:17
  loyalty expires at at Sonic? You don't know.
• 53:23
  Do you think it ends at the end of the year?
• 53:24
  I was saying it never ended what I thought in never.
• 53:27
  Ended. No, it's not never ending.
• 53:28
  Well, I didn't know that. How much are we are we paying
• 53:30
  for? It or not, that's what I'm
• 53:32
  saying, because we've bought so many things, we've earned
• 53:34
  points, OK, we have perks until December, 27th, next December,
• 53:42
  where are the loyalty members for next year and we got that
• 53:46
  like in April. Right after they go in like.
• 53:49
  So look at your apps right now, like I like Arby's.
• 53:52
  They have a buy one, give them a free sandwich.
• 53:54
  You can buy $9 and get one free. I mean, that's a big deal.
• 53:58
  You know, pizza, pizza Dakota, Little Caesars, There's all
• 54:01
  these coupons. If you know how to look for
• 54:03
  them, look them up and get them and use them and save yourself
• 54:08
  some money. Yes.
• 54:10
  OK. Literally the drinks that we
• 54:13
  buy, they're $1.74, and that's 50% off Circle K, $0.79. $1.74
• 54:20
  each. Yes, dollar 74.
• 54:22
  Each so it's we spent like 4 bucks Sonic and then we're 2.
• 54:27
  Polar popping Circle K is $1.80. $1.80.
• 54:32
  Or or 216. No, it's 7070 cents, $0.75
• 54:38
  because or whatever anyway if you.
• 54:40
  Push a number in under. $2.00 and you become an inner rewards
• 54:43
  member. You get that?
• 54:44
  OK, Yeah. And all you do is just.
• 54:46
  Sodas you get typing in get one free.
• 54:48
  Yeah, OK, but you have to get down with in line all that, that
• 54:54
  Sonic, you drive up, they bring your drink and you drive off.
• 54:56
  They literally, we, we don't even go into stalls.
• 54:58
  We we park on the side and just they bring it out and boom,
• 55:01
  we're gone. But yeah, so so OK, most of the
• 55:04
  people go with the cashier. We don't have to.
• 55:07
  Oh yeah, well, they also have the the.
• 55:09
  The self checkout. Self checkout which?
• 55:11
  Is fast. I hate to check out because I
• 55:15
  don't want to get stopped and be a key of stealing something.
• 55:18
  Plus they're taking away jobs from people so I'd like to to
• 55:21
  not use self checkouts at Circle K.
• 55:23
  That's the only self checkout that I use.
• 55:27
  Oh yeah. Right, because we always have
• 55:29
  trouble if we do something else with coupons or whatever, like
• 55:31
  Albertson's. It was coupons then, obviously,
• 55:33
  yeah. And Albertson's, they have a
• 55:36
  deal that if you drink sodas, for example.
• 55:41
  You get buy 3. You get 3.
• 55:43
  Yeah, you buy 312 packs or $30 and you get 612 packs.
• 55:47
  So basically comes out to $5 a 12 pack.
• 55:49
  So that's like buying a generic Coke became the real thing.
• 55:52
  You know, there's coupons everywhere.
• 55:55
  You guys keep that in mind. There's coupons everywhere.
• 55:59
  And understanding that part of it, you can plan better for
• 56:04
  stuff down the road. Like I get 10% off at Home Depot
• 56:07
  and Lowe's 'cause I'm military and on a refrigerator that comes
• 56:14
  out to a lot, you know what I mean?
• 56:16
  Yeah. But apparently on the major
• 56:18
  plants, they don't give you the 10% discount.
• 56:21
  But you get my point. So clip coupons and save the
• 56:27
  money. Don't spend if you don't have
• 56:28
  to. Don't use credit cards.
• 56:30
  OK, but let's talk about those steps we can take that will give
• 56:37
  us what we need. OK, tell us what to do in the
• 56:42
  heat map. So now we have the foundation
• 56:54
  laid and you've heard stories. Let's talk about those
• 56:57
  actionable steps that we can take in our segment called the
• 57:00
  Heat Map. In today's Heat Map, here are
• 57:03
  the steps you can take. Check your credit score
• 57:05
  regularly using free services like Credit Karma or Experian.
• 57:10
  Pay your credit card balance in full every month to build good
• 57:13
  credit fast. Start an emergency fund, even if
• 57:17
  it is just $10 a month as your safety net.
• 57:20
  Let's implement these steps to map out your success.
• 57:25
  All right, First things first, Check your credit score
• 57:29
  regularly. If you've done nothing with
• 57:32
  credit, you don't have a credit score.
• 57:34
  Makes sense, right? Yeah, so no need to check it.
• 57:40
  Well, you want to check and make sure owns all your identity, you
• 57:42
  can go to Experian and sign up for that and you can lock the
• 57:45
  credit report. I hate Experian.
• 57:47
  And when you lock, why? I guess so many.
• 57:49
  Emails unsubscribe from it. You're using it.
• 57:54
  I get the emails though. For me, no.
• 57:57
  For you? For me?
• 57:58
  Unsubscribe for you. Why you're using Experian On
• 58:02
  Why? Why am I on Experian?
• 58:04
  OK, I'll get to that. Right.
• 58:05
  Yeah, yeah, yeah. What we'll talk about.
• 58:08
  That later, OK, but you want to get on experiment, you want to
• 58:10
  like lock your credit report so they can use it OK and you can
• 58:13
  do that all three Equifax and TransUnion, they give you a
• 58:17
  credit score fairly accurate. You know you can pay extra for
• 58:23
  it or whatever. But if I go to credit report and
• 58:29
  you have zero credit, you're going to have nothing on there
• 58:32
  right? But you might have rent might
• 58:35
  get reported or where you live. So like if you move every three
• 58:39
  months because you keep getting kicked out, that's on your
• 58:42
  credit report and. What if you just wanted to move
• 58:45
  out? Well, that's fine.
• 58:47
  But if you're coming to me and saying I want to rent and I pull
• 58:51
  out your credit report and you leave every three months, I may
• 58:55
  not rent to you. It has nothing to do with the
• 58:57
  credit score, but. Why?
• 58:59
  Because you're going to leave me hanging.
• 59:03
  That's at least It might take three months to rent the
• 59:05
  apartment I rented to you for a year.
• 59:07
  Three months later, you leave. Now I have to wait three months.
• 59:10
  I'm losing 3 months of income because you're a bad renter.
• 59:15
  Does that make sense? Yeah.
• 59:18
  Now, why do you want to be on an experience?
• 59:19
  Or what if you still pay the full rent, but let them rent the
• 59:24
  house, Rent the house and you keep that extra money.
• 59:28
  Say that again, like you pay the full rent and they give you the
• 59:34
  rent for it, but for their rent it's just your extra cash.
• 59:40
  No, it's not. Because if I have to pay $1000
• 59:43
  rent and they pay me 1200, yeah, $200 is is my money.
• 59:47
  Oh but like you could pay the like you could pay rent like the
• 59:50
  same way you do without a renter, but if you let someone
• 59:54
  rent it also that could be extra money because you can still pay
• 59:59
  the rent whatever. Like you usually do.
• 1:00:01
  No, because if I'm not at the house I'm renting, I'm somewhere
• 1:00:05
  else living and paying rent there too.
• 1:00:08
  So the whole point of. Oh, so you're talking about two
• 1:00:10
  different houses? Yeah, I think you met like same
• 1:00:13
  house. No.
• 1:00:14
  No, no. Well, I don't know.
• 1:00:17
  Like the people we met last night, right?
• 1:00:20
  Yeah, same house. Yeah, but that's the thing.
• 1:00:22
  Two different people live in the house, and the guy who rents out
• 1:00:25
  the house, Ren's a younger girl and she's been having parties.
• 1:00:29
  She brought her dogs in. It's he's having a hard time
• 1:00:32
  with it. We were talking about that with
• 1:00:33
  our neighbor. Yeah, but he doesn't mind.
• 1:00:35
  No something but sometimes. Shut up.
• 1:00:39
  Just. Sometimes, but if you have a bad
• 1:00:44
  rental history on the credit report, that's going to show up.
• 1:00:48
  Can they check on your credit report?
• 1:00:51
  It actually says wow. Because they report you for not
• 1:00:53
  paying rent. So even though you don't have
• 1:00:56
  any credit, they report you for not paying rent.
• 1:00:59
  They also have all your phone numbers on there, all the places
• 1:01:03
  you've worked. All of that gets reported to the
• 1:01:04
  credit report. So if I'm looking for yours for
• 1:01:07
  a job and you leave every six months, I may not hire you
• 1:01:12
  because of that. It's not really your credit
• 1:01:15
  score, right? Yeah, but it's how good have you
• 1:01:22
  managed your life if you're moving every three months and
• 1:01:27
  you change your phone number every three months because
• 1:01:30
  that's when they cancel your phone and you get a new number,
• 1:01:32
  you know, but. If we just keep going till you
• 1:01:35
  try to get a number, that's like.
• 1:01:38
  Well, I had, I had a friend of mine who his mom never deleted
• 1:01:42
  his numbers. So it would say like Murph man
• 1:01:46
  1, Murph Man 2, Murph Man 3 because they updated everything.
• 1:01:49
  She was up like 28 when she died, right?
• 1:01:53
  Crazy, crazy, crazy. But that.
• 1:01:56
  So even though you don't have any credit, your career report
• 1:01:58
  is affected by that, all right? Yes.
• 1:02:03
  But Connor is talking about why did I get experience for him.
• 1:02:07
  You can unsubscribe from it OK. Do it because I didn't I I'm not
• 1:02:11
  touching any of like the credit stuff like selling may or or
• 1:02:15
  anything. Well, selling may on my end.
• 1:02:17
  You better pay attention to that because you're going to pay it
• 1:02:18
  back. Experience is something I did
• 1:02:22
  because I told Connor I've had him on my credit card accounts
• 1:02:30
  since he was 12, right? I think it was 12/6 years worth
• 1:02:35
  of credit or maybe 13. I don't know.
• 1:02:38
  But that's good and bad. If I ended up having to file
• 1:02:43
  bankruptcy, it would have affected his credit.
• 1:02:49
  OK, I know I'm responsible. I'm not going to do that.
• 1:02:53
  But he got a credit score and you can brag if you want to take
• 1:02:58
  a credit score. No, you should.
• 1:03:01
  That's good. But I'm good.
• 1:03:03
  No, I'm good. I'm good.
• 1:03:05
  There's a reason. I'm good.
• 1:03:07
  There's a reason. OK, but I'm good.
• 1:03:10
  Well, but there's a reason you just say it.
• 1:03:12
  Why? I don't even remember it
• 1:03:14
  actually, do I? Yeah.
• 1:03:16
  What is it? 740, yes, yeah.
• 1:03:19
  Let me explain to you why that's important here.
• 1:03:20
  You go ahead. You right now have a credit
• 1:03:24
  score where you could buy a house and then even take your
• 1:03:29
  income for the most part for for a lot of loans.
• 1:03:32
  Obviously we're going to buy like 4 or $500,000 homes.
• 1:03:35
  But you have such a good credit score and that's not the best,
• 1:03:39
  but considering you don't have any credit.
• 1:03:42
  Well, I mean, I don't really use credit.
• 1:03:43
  Well, but that's right. But that's important since you
• 1:03:45
  don't have credit. I have you on my credit cards
• 1:03:48
  and I use it. And because my credit cards
• 1:03:51
  sometimes go high or low based on what I'm buying for the
• 1:03:53
  business or whatever, it affects our scores.
• 1:03:55
  They go up and down. Why wasn't mine just the red
• 1:03:58
  card that I have? Well the the ones under my name.
• 1:04:02
  Well, no, no, you have several cards under your name.
• 1:04:05
  Yeah, I'm like, isn't it those? Yeah, so you don't use them.
• 1:04:09
  But your business expenses won't affect me.
• 1:04:12
  No, no. Like for example, last year when
• 1:04:14
  I started, I didn't have a business account or anything, so
• 1:04:18
  I had to use my credit cards to get started, right?
• 1:04:21
  There's stuff that I'm buy. Like for example, the three
• 1:04:22
  cameras we just bought, I paid for those, you know?
• 1:04:26
  But back then I didn't have the money to do anything.
• 1:04:29
  So I had to put them on credit. And I put you on the credit.
• 1:04:33
  You were already on the credit card with me.
• 1:04:35
  So it affects you. So parents listen, if you are
• 1:04:39
  adding your children to your accounts you need to pay them
• 1:04:43
  because it will affect their credit, OK?
• 1:04:47
  Don't screw over your kids, that's not fair.
• 1:04:49
  And do not use your kids to your kids to buy things for you.
• 1:04:54
  OK? There's people like my mom.
• 1:05:01
  She had the cable bill in my name here at the house.
• 1:05:05
  Wow. I, I don't know why there was 0
• 1:05:09
  need for that unless she got to a point where she wasn't allowed
• 1:05:14
  to. She didn't pay it on time.
• 1:05:17
  They banned her from cable. OK.
• 1:05:19
  Which I, I really, I doubt. But it may because like after my
• 1:05:23
  dad divorced and she didn't have a lot of things going on, you
• 1:05:25
  know, maybe she switched to my name so she could keep it.
• 1:05:30
  But yeah, don't use your children's name and credit for
• 1:05:35
  yourself. Because like there's a TikTok
• 1:05:37
  where a guy goes to buy a car and they say, no, you've already
• 1:05:43
  had a one car repossessed and you have one eviction under your
• 1:05:46
  name and everything. He's like, what are you talking
• 1:05:48
  about? And his mom turns him and says,
• 1:05:51
  yeah, I did that when you were like 2.
• 1:05:54
  Oh yeah. Like what you know?
• 1:05:58
  Well, obviously it's fake, but yeah.
• 1:06:01
  Well, yeah, but they didn't check IDs or anything like you
• 1:06:03
  know. But the point being is parents
• 1:06:06
  use the kids names and I know my mom used my name in a lot of
• 1:06:09
  things. It didn't hurt me, but you know,
• 1:06:12
  but still like. Damn.
• 1:06:13
  Yeah, not, not, not cool. Not cool dude.
• 1:06:17
  With me, I'm not using his name. I'm adding his name to my stuff
• 1:06:23
  as an authorized user. So it does show up in his
• 1:06:24
  account. Yep.
• 1:06:26
  But he's not responsible for it. OK, Yep.
• 1:06:29
  Now The funny thing is you can say, oh, I'm done with credit
• 1:06:32
  and I'm going to cancel all my credit cards.
• 1:06:34
  What do you think happens to your credit score?
• 1:06:36
  Connor like cancel all my credit.
• 1:06:37
  Cards you you close them all out.
• 1:06:40
  The credit score goes to 0. Yeah, it goes down.
• 1:06:43
  Because I don't have any credit card.
• 1:06:44
  Exactly. So don't do that.
• 1:06:48
  But would that be bad technically?
• 1:06:51
  Yes, I said. You have to have credit.
• 1:06:53
  You don't have to use it, but you need it.
• 1:06:56
  Even though I don't have any credit cards, right?
• 1:06:58
  What do I just do everything, Cash, whatever.
• 1:07:00
  I'm just that much of A badass to just do cash.
• 1:07:04
  Just be like. There you go.
• 1:07:05
  Again, you can do that if you're making $1,000,000 a year, but
• 1:07:08
  you're using your money and if you end up in injured or
• 1:07:12
  something and you can't work, you need to have savings.
• 1:07:16
  And if you have credit cards, they might help you get over
• 1:07:18
  that hump. So you use them in emergencies
• 1:07:22
  or for large purchases that you know, if you can't afford it,
• 1:07:25
  you shouldn't use credit. That's what they tell people.
• 1:07:27
  But the reality is people use credit card for everything, OK.
• 1:07:31
  Yeah, what's about a credit or a debit?
• 1:07:33
  A debit takes out of your bank account, doesn't do anything
• 1:07:36
  with your credit score, credit card.
• 1:07:37
  Now can you buy your stuff on your credit card and pay it off
• 1:07:40
  at the end of the month? Yeah, you can do that.
• 1:07:43
  So I have cards, you know, that have a 0 balance and I'm putting
• 1:07:48
  the water bill on one, electricity bill on one, gas on
• 1:07:51
  one, all auto pay. When they have 0 balance.
• 1:07:54
  Yeah. So every month it shows I'm
• 1:07:57
  using it and I'm paying on your credit report.
• 1:08:01
  It gives you little check marks for every month.
• 1:08:04
  There's, you know, 12 check marks in a row.
• 1:08:06
  So like there's credit cards that have like 10 rows to show
• 1:08:10
  you've made a payment for 10 years straight on that card.
• 1:08:14
  Now there's some that say no payment, which balance shows 0,
• 1:08:20
  but it shows no payment. So when they look at it, they're
• 1:08:22
  going to be like, how come you're going to make a payment?
• 1:08:24
  Well, I didn't have anything on the card.
• 1:08:27
  It might be that you literally were not making the payments on
• 1:08:29
  the card. So that affects your credit.
• 1:08:32
  So as you look at a credit report and you think about your
• 1:08:38
  payments, the payment history is so important for that reason.
• 1:08:41
  So even if you have a 0 balance, you have to buy something, OK
• 1:08:47
  and put your, you can put your Internet bill, your phone bill,
• 1:08:51
  your water bill, intract bill and gas bill.
• 1:08:53
  What else do we? I think those are the utilities
• 1:08:55
  that we have. What was it again?
• 1:08:58
  Spectrum phone, then water and gas electric.
• 1:09:02
  And rent. No, that that's not something
• 1:09:07
  small. You want to put something small
• 1:09:08
  on the card, Keep it active. Yeah, car, I guess.
• 1:09:16
  OK, no car. Again, that's an expensive
• 1:09:18
  thing. You're looking at small bills.
• 1:09:20
  Well, I mean small payments. No, I'm not saying make payments
• 1:09:24
  every month. Actual bill, yeah.
• 1:09:26
  Like water goes to one bill, I pay it off.
• 1:09:30
  And my DoorDash subscription. That's that's funny you say
• 1:09:36
  that. OK.
• 1:09:38
  If you have a DoorDash subscription and use that credit
• 1:09:40
  card and you pay it off at the end of the month, that's the
• 1:09:42
  same thing that I'm talking about.
• 1:09:44
  Wasn't it the same with any subscription technically?
• 1:09:47
  Yeah. So you that's true, you could
• 1:09:49
  put any subscribe services you have on the card.
• 1:09:52
  So definitely everything we have Peacock, Paramount.
• 1:09:55
  Right. So you can actually have that as
• 1:09:58
  would you put those payment history.
• 1:09:59
  Would you put those on different account, like different cards or
• 1:10:03
  all those subscriptions on one? No, since it's all under the
• 1:10:06
  statement. OK.
• 1:10:07
  You want to show you have a credit card with a low balance
• 1:10:12
  to limit ratio. Like for example, if I have
• 1:10:15
  $300, I only want to have 30 to $50 on the card and then they
• 1:10:21
  want to show a payment history. So you want to make a payment
• 1:10:22
  every month on time, right? Yeah.
• 1:10:27
  So right now you can get a credit card, but you have no
• 1:10:30
  income so they probably won't give it to you.
• 1:10:31
  If you go to an account that says what's your household
• 1:10:34
  income? Then you include my income and
• 1:10:37
  you get the credit card. Yeah, I think everywhere when
• 1:10:41
  mostly asks for a household. What?
• 1:10:42
  What asks you, are you working? That that's one thing it asks,
• 1:10:45
  you know? Yeah, you say no, I'm a student,
• 1:10:47
  but I have a household income. With this much money, you know,
• 1:10:51
  you get a credit card, literally put a subscription service on it
• 1:10:55
  every month that you're going to pay and you have to make the
• 1:10:58
  payment every month. You know what I mean?
• 1:11:00
  So you're not building debt, but you're building a payment
• 1:11:04
  history. And if you can do that with a
• 1:11:07
  bunch of cards now that you need to have a bunch of cards, but
• 1:11:11
  you know, do it 3 or 4, you end up getting offers in the mail
• 1:11:16
  for credit cards with 0% balance and all that.
• 1:11:19
  You know, they don't charge your interest.
• 1:11:21
  So wow, let me go make all my payments on that.
• 1:11:24
  I can make payments on it, build my credit history and not lose
• 1:11:26
  any money because I'm making the you know, it's the same payments
• 1:11:29
  I would have paid anyway. I just been here to thought I.
• 1:11:46
  Don't know, I'm learning all this for the first time so can't
• 1:11:49
  really help you. God, I drew a blank.
• 1:11:55
  I was going to say something. What's those last things?
• 1:11:58
  No, it was about you're in school and you're a student.
• 1:12:01
  You get you get credit cards, you put subscription service on
• 1:12:04
  and you pay it off and everything right?
• 1:12:08
  But I remember now. But when your credit gets good,
• 1:12:12
  they send you the offers. And I said that and then the
• 1:12:15
  part wasn't say after that I went blank on.
• 1:12:17
  But they'll send you offers. Sign up for our credit card and
• 1:12:19
  you can balance transfer a card. So like if I owe $2000 on Navy
• 1:12:25
  Federal I can transfer it to USA on a new card and pay 0 interest
• 1:12:30
  on it? Because it's a new card.
• 1:12:34
  Well, it's an offer they give me, but Connor can tell you, I
• 1:12:39
  used to have all these signature loans, all these little loans
• 1:12:42
  everywhere when I was trying to survive and make it.
• 1:12:45
  What are they doing now, Connor? You've seen the checks, right?
• 1:12:49
  They sent me a live check, like one month.
• 1:12:52
  I received three checks for 1800 to 2000 each.
• 1:12:55
  You don't remember that? I was like, hey, check it out.
• 1:12:58
  Look at this. Not the checks.
• 1:12:59
  I had the letters, I said you have.
• 1:13:02
  I don't know what they were, but I didn't know.
• 1:13:05
  You could $1800 here. Just deposit the check, you
• 1:13:07
  know? Oh, yes, yes, yes.
• 1:13:09
  Three of them I thought was just that one.
• 1:13:10
  No, the two were like. Something else?
• 1:13:13
  No. So like before Christmas, I'm
• 1:13:15
  going to get a whole bunch of those.
• 1:13:18
  They're trying to get my money for Christmas, right?
• 1:13:19
  Spring break. Summer school.
• 1:13:22
  But if I was Christmas in not Halloween and Thanksgiving.
• 1:13:26
  Well, because you don't need money for those, OK?
• 1:13:29
  I want a big Turkey. Well, you know, I I damn good
• 1:13:34
  Turkey, right? We'll probably have a Turkey
• 1:13:36
  this year, right? Ham.
• 1:13:40
  Of course. OK good.
• 1:13:41
  Like the only thing I care about is ham.
• 1:13:44
  I'll eat the whole ham by myself if I have to.
• 1:13:47
  I love ham. That's my favorite Thanksgiving
• 1:13:50
  dish. What did you do last year?
• 1:13:51
  Do you remember? What?
• 1:13:54
  I shredded the ham and just took a whole bowl every time.
• 1:13:59
  No, you. You made a ham for your
• 1:14:01
  Thanksgiving party with your friends.
• 1:14:03
  I did, huh. And I asked Connor how much is
• 1:14:07
  left. He goes none.
• 1:14:10
  None. None.
• 1:14:13
  Yeah, that's right. None.
• 1:14:14
  So when you say can you cook something, what can you cook?
• 1:14:16
  I am. Yeah, all.
• 1:14:18
  Right, I can. Cook that all me.
• 1:14:20
  That's all me. It is, you know.
• 1:14:23
  And I can like, make them mean Bologna and cheese tacos.
• 1:14:30
  No, that's fire. I don't know who's going to see
• 1:14:32
  this, right, But they may not be Hispanic.
• 1:14:35
  It's not mean Hispanic, just or. Poor.
• 1:14:37
  Or yeah. But one of my favorite snacks is
• 1:14:43
  I get up a slice of Bologna, fry it right, and then I throw a
• 1:14:48
  cheese on it, and then I warm up a tortilla.
• 1:14:50
  Corn tortilla. It could be flour too, but and
• 1:14:54
  then you put the tortilla on top and you pick it up and you eat
• 1:14:56
  it. It's the fastest snack in the
• 1:14:59
  world. That's hot faster than the
• 1:15:01
  microwave. Literally, yeah.
• 1:15:02
  And. If you have a griddle, we throw
• 1:15:04
  5 down, you know, or 8 we have the double griddle.
• 1:15:09
  Yeah, kick it on stove and then the tortilla just on the
• 1:15:14
  literally the left side. Just put it till it burns.
• 1:15:17
  Flip it on the side till it burns.
• 1:15:18
  And yeah, get out of the crunch. Get out.
• 1:15:21
  You got a little like, burnt, Yeah, for the crunch.
• 1:15:24
  But yeah, so all those things with credit, OK, we're talking
• 1:15:27
  about credit reports, credit scores, all of that stuff goes
• 1:15:32
  into that credit report. You, you don't realize now when
• 1:15:35
  I, when I ask you, is the credit score important?
• 1:15:37
  Yes. Now you understand why.
• 1:15:39
  OK, another thing that they're going to ask here or I'm going
• 1:15:43
  to ask you to look at is pay your credit card balance in full
• 1:15:46
  every month to build good credit fast.
• 1:15:51
  I've already said that the starting emergency fund, even if
• 1:15:53
  it's just $10 a month, build your safety net little by
• 1:15:56
  little. That's that's very important.
• 1:15:59
  OK. But as good as that advice is,
• 1:16:03
  and I say it's pretty damn good, there's some pitfalls with
• 1:16:09
  credit. So let's talk about some of
• 1:16:10
  those pitfalls in this segment called Where are You going to
• 1:16:12
  Get burned? After or no?
• 1:16:15
  No. Now that we've talked about
• 1:16:26
  those steps you can take, let's talk about some of those common
• 1:16:29
  pitfalls that might occur that would give you some trouble.
• 1:16:32
  Here are your where you'll get burned.
• 1:16:34
  Pitfalls to avoid ignoring your credit by failing to build it
• 1:16:38
  early and responsibly. Living off loans or credit cards
• 1:16:42
  as an extension of your income. Waiting to learn about loans
• 1:16:46
  instead of understanding repayment options before
• 1:16:49
  signing? Let's make sure you stay clear
• 1:16:51
  of these dangerous traps. Ignoring your credit by failing
• 1:16:57
  to build it early and responsibly.
• 1:17:00
  Connor, you have no job. How often do you get a credit
• 1:17:04
  card in the mail? A lot.
• 1:17:06
  OK. We're not a credit card, but
• 1:17:08
  like. All applications or whatever.
• 1:17:10
  I get a lot. OK.
• 1:17:12
  Mostly from USAA. Yeah, and when Navy Federal does
• 1:17:17
  it too. A little bit, yeah.
• 1:17:19
  It's always USAA with something new.
• 1:17:23
  I think they just done this to everybody.
• 1:17:26
  Actually, No, I'll. Prove it to you.
• 1:17:28
  I'm on the same account as you, but I'm not a student.
• 1:17:34
  Oh that's true, I do get student stuff also.
• 1:17:36
  OK. I don't take it because I mean
• 1:17:38
  US. My USAUSAA is good.
• 1:17:41
  I don't really need it offers. Football season came around and
• 1:17:49
  I told Connor, do you want to get the live Hulu Live session?
• 1:17:52
  He says, yeah, I said, I'll pay you half of it.
• 1:17:54
  I said, OK, and we got it. It's $109 a month and it's not
• 1:18:00
  building credit or anything, right?
• 1:18:02
  But Connor said, I'll make a half the payments.
• 1:18:05
  So for example, this next statement is waiting to learn
• 1:18:09
  about loans instead of understanding repayment options
• 1:18:11
  before signing. I've talked to him about this
• 1:18:17
  and I've said, you know, you don't have a job.
• 1:18:22
  We, we, this is some high side jobs and side hustles and
• 1:18:25
  everything. So he gets money to go out and
• 1:18:27
  do stuff and he's going to have to give me 30 to $5 a month for
• 1:18:30
  Hulu. Well, 50, but I'm not going to
• 1:18:33
  charge him the whole thing. But do you remember the other
• 1:18:36
  night we're talking about October 11th?
• 1:18:40
  Oh yeah. What?
• 1:18:41
  Go ahead. I'm planning to go to a concert
• 1:18:47
  on the 11th in Albuquerque, and with what I want to do with a
• 1:18:51
  friend, it's going to be about 708 hundred bucks to do what I
• 1:18:56
  want. And that's only the concert
• 1:18:58
  itself. That's not even like how we get
• 1:19:01
  there, like for gas food, you know?
• 1:19:05
  Yeah. So I got side hustles and if I
• 1:19:12
  get enough, which I was hoping today, but no I I had. 40 It's
• 1:19:18
  an inside joke. It's an inside.
• 1:19:19
  Joke inside joke. But we had opportunities like we
• 1:19:22
  had openings, but there. Was 40 contracts available right
• 1:19:25
  now and they were all out of town?
• 1:19:27
  Yeah, literally they were all Las Cruces Ruidoso.
• 1:19:31
  I'm like there was like 7 NE. And I saw two and I'm like 40
• 1:19:36
  and I look at them, they're all out of town.
• 1:19:37
  It's because on our thing for our like job sites, it would say
• 1:19:44
  like a new one and it'll show what the number is to show that
• 1:19:47
  they're not claimed. So we're thinking, you know,
• 1:19:50
  we're in El Paso, it's going to show us our area.
• 1:19:53
  No the the radius is like 250 miles even though I tried fixing
• 1:19:58
  it down to 20. Yeah, it doesn't do it.
• 1:20:00
  Yeah, it really doesn't. It sucks because we get so
• 1:20:03
  excited. Well, you got to take up
• 1:20:04
  commuter mode. Is what it's called commuter
• 1:20:07
  mode. What's that?
• 1:20:08
  That's that's what's causing you to get more than your.
• 1:20:10
  I thought I hate. Zone.
• 1:20:12
  I'm checking like for example, one time we went on a trip to
• 1:20:17
  Saint Louis and we were driving through Nashville and I stopped
• 1:20:22
  at a, a 711 to get a drink or something.
• 1:20:24
  And I pull up the app and I open it.
• 1:20:26
  Oh, there's one literally 2 miles away.
• 1:20:28
  So we drove to do that one in Nashville, you know.
• 1:20:33
  Oh. Yeah, didn't we go to Subway
• 1:20:35
  also? No, that wasn't that.
• 1:20:37
  Was in Oklahoma. Oklahoma.
• 1:20:38
  Yeah. But anyway, anyway, so he has a
• 1:20:42
  side hustle and he wants to go to this concert and like he just
• 1:20:45
  to do the things he wants to do parking, get early entry, a
• 1:20:53
  dedicated merch store to his plan and like a little club area
• 1:20:59
  where you can go and hang out when it's not so crowded.
• 1:21:04
  So he was sitting there going, OK, remember waiting to learn
• 1:21:08
  about loans instead of understanding repayment options.
• 1:21:12
  If he buys that now, yes, he's going to pay interest on it.
• 1:21:16
  He doesn't work, so he has no savings per SE, right?
• 1:21:21
  Per SE. But if you want to make the
• 1:21:25
  payments on that, you're responsible for those payments.
• 1:21:28
  It's going to be in your name, in your name alone.
• 1:21:31
  Yep. And I'm not going to help him
• 1:21:33
  with it. So he's debating, do I want to
• 1:21:35
  spend all this money? And it's only half because this
• 1:21:38
  friend's going to pay the other half, but she had no guarantee
• 1:21:40
  that friend's going to pay his half or her half.
• 1:21:43
  Yeah. So you have to plan.
• 1:21:44
  Remember, we're talking about planning your payments, right?
• 1:21:47
  We have to plan what it could be and it could happen that they
• 1:21:52
  don't pay their half. So you got to be aware of that,
• 1:21:55
  right? Yeah.
• 1:21:57
  What are you looking? At Sorry, I'm looking at the
• 1:21:58
  drop sites. I'll talk to you later, but yes
• 1:22:03
  or no? Oh, hold on.
• 1:22:05
  OK, but but that's how I'm like. We'll talk.
• 1:22:07
  Yeah, there's definitely, it claimed.
• 1:22:09
  Actually, we're about to take a break.
• 1:22:10
  We can talk about it right now. OK, so I'm about to go to break
• 1:22:13
  and we'll come back with the heat Shields and how to prevent
• 1:22:15
  getting burned. Sounds good, all right.
• 1:22:18
  It's time for a break. Hot takes with the Murph man.
• 1:22:21
  We'll be right back. The station where our veterans
• 1:26:01
  voices are heard. MBR talk.
• 1:26:04
  Hey, thanks for supporting our channel by watching and
• 1:26:07
  listening find. Us on the web at NB radio dot.
• 1:26:11
  Before we get back to the show, Hot Takes with the Murph Man
• 1:26:13
  streams live every Saturday at 12:00 PM Eastern with military
• 1:26:17
  broadcast radio at NB Radio dot US.
• 1:26:19
  We give veterans a voice. We help them launch their own
• 1:26:22
  podcasts. Check out all our socials at
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  Pure Hot Takes. Head over to purehottakes.com to
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  stay locked in. Hello.
• 1:26:30
  Hello. Pure hot takes is not active
• 1:26:33
  right now. I'm in the process of migrating
• 1:26:37
  it so. But yeah, it'll be there soon.
• 1:26:42
  Soon, he says. I love that that website, I've
• 1:26:46
  been working hard on it. You have, haven't you?
• 1:26:49
  Yeah, I really have. Yeah, so let's go ahead and get
• 1:26:54
  our heat Shields to see how we can get burned.
• 1:27:05
  Now that we know where you can get burned, let's talk about the
• 1:27:09
  strategies you can deploy to protect yourself during the
• 1:27:11
  evaluation. Active listening without
• 1:27:14
  emotional reactivity protects your professional reputation and
• 1:27:18
  helps you uncover the hidden needs of your department.
• 1:27:22
  Structured post review goal setting turns vague feedback
• 1:27:25
  into a timed checklist, ensuring you show measurable growth
• 1:27:29
  before the next check in. Connor How do these Shields keep
• 1:27:33
  our listeners cool under pressure of.
• 1:27:36
  Course you haven't my name, huh? You think I would have heard
• 1:27:40
  that, huh? No, I heard it.
• 1:27:45
  OK, so these are the the ways we will prevent from getting
• 1:27:48
  burned. OK, For coverage financial
• 1:27:52
  snapshot, run a monthly 15 minute check on your credit
• 1:27:54
  score and debt to savings ratios.
• 1:28:00
  If you make a plan to say I'm going to pay $5 more on every
• 1:28:04
  card, you know, so on and so forth and you make a payment
• 1:28:07
  every month, there's no need to really do that, you know, but
• 1:28:10
  once a month I'd say check your credit report.
• 1:28:13
  You know, if you start getting like a bunch of spam calls, you
• 1:28:17
  know, check your credit report, there's a lot of things you can
• 1:28:19
  do there, OK? Also, proactive monitoring,
• 1:28:25
  track your finance metrics to catch small problems early.
• 1:28:30
  That is such a big deal because I'll tell you right now, like,
• 1:28:35
  for example, Connor had to buy books, right?
• 1:28:38
  And he hasn't got his financial aid check yet.
• 1:28:42
  Which is BS. So I said here, just use this
• 1:28:46
  card, right? And he used the card, didn't get
• 1:28:50
  the but now I'm like, oh crap, we have a payment coming up and
• 1:28:54
  he still isn't going to read his check, his check.
• 1:28:58
  So it's like now I got to go make that payment when I wasn't
• 1:29:01
  planning it and then obviously I'll get my money back.
• 1:29:03
  That's not the point. I got to make the payment so I
• 1:29:05
  don't get a late payment on my report.
• 1:29:08
  So that's what it means by, you know, keep track of your finance
• 1:29:11
  because it's so important. Then dead boundary setting.
• 1:29:13
  Keep strict limits on borrowing to prevent high interest
• 1:29:18
  burdens. OK, when you're, you're doing
• 1:29:25
  something, interest is so important.
• 1:29:27
  You're like, I can't afford the payment.
• 1:29:28
  But yeah, if you keep, for example, if you keep making
• 1:29:30
  payments on your school loan, you, you know, you don't touch
• 1:29:34
  it for four years or whatever and you start paying it for 15
• 1:29:38
  years, that means 20 years you're going to be making the
• 1:29:40
  payment, so to speak, and you're going to end up paying $53,000
• 1:29:45
  for a $13,000 loan. Yeah, that's ridiculous.
• 1:29:50
  Now, the house, if I buy you the house, that's to remind me.
• 1:29:58
  So we'll go afterwards. Sorry guys, got to keep track of
• 1:30:04
  your alarms also. Yeah, schedule yourself.
• 1:30:06
  Use Notion. And make sure you get the right
• 1:30:08
  time. OK, this don't don't sidetrack
• 1:30:14
  me. We gotta get this done.
• 1:30:15
  And then yeah. So you're gonna be paying 53,000
• 1:30:20
  on $13,000 on the home. 300,000 will cost you about 500,000 by
• 1:30:25
  the time you paid off in 30 years.
• 1:30:27
  Yeah. Yeah, that's a lot of money,
• 1:30:30
  right? So imagine if you can pay extra
• 1:30:32
  to it, like a house payment. There's this thing where you can
• 1:30:34
  pay every two months. So you pay, I mean, every two
• 1:30:37
  weeks you pay 1/2 payment now and half payment at the end of
• 1:30:40
  the month. And that's your payment for the
• 1:30:41
  1st of the month. So you got to be a little bit
• 1:30:44
  ahead of it, right? Yeah.
• 1:30:46
  But by doing that, you're paying the the balance down or
• 1:30:49
  principal balance and your interest is going to be less
• 1:30:52
  over time. OK, OK, makes sense.
• 1:30:56
  Yeah. All right, so let's go ahead and
• 1:31:00
  get to the Afterburn and reflect.
• 1:31:12
  Today we've been talking about all the steps you can take,
• 1:31:15
  where you will have some pitfalls, how to prevent or
• 1:31:18
  protect yourself from those pitfalls.
• 1:31:20
  But now let's reflect on the questions you should ask
• 1:31:23
  yourself. Here are today's Afterburn
• 1:31:26
  questions. What is 1 financial habit I want
• 1:31:29
  to build this year? How can I make saving feel
• 1:31:33
  rewarding rather than restrictive?
• 1:31:35
  What do I still need to learn about my student loans?
• 1:31:39
  Let's let these questions guide your personal reflection.
• 1:31:45
  All right, I don't know why it's why.
• 1:31:47
  I do, don't worry about it. Well, I know why, but yeah, why
• 1:31:53
  are you going to ask me the question, going to talk about
• 1:31:55
  it, or you want me to answer that?
• 1:31:56
  Literally do everything. Do everything, it's on you all.
• 1:32:01
  Right. You should put, you should put
• 1:32:02
  my name on that one, huh? No better, Yeah.
• 1:32:06
  What is 1 financial habit I want to build this year?
• 1:32:10
  Honestly, I would have to say keep track of my money and don't
• 1:32:15
  spend it if I don't need to. Like if I want to have fun,
• 1:32:18
  yeah, I'll spend it. But I don't check my account as
• 1:32:23
  much because I have a habit of like, looking to see how much I
• 1:32:26
  have so I know what to spend. I don't.
• 1:32:28
  Yeah, because you don't have credit.
• 1:32:29
  You, you use it as you go so you can open up your account and be
• 1:32:32
  like, oh, I have $300 and then I have $300.
• 1:32:36
  I can. Use.
• 1:32:37
  Yeah, I don't do that because that shows me in my head I have
• 1:32:42
  300. If I don't look at it, then I
• 1:32:43
  don't know how much I have, right?
• 1:32:45
  If I try doing something and I get declined, I get declined.
• 1:32:50
  Declined in. Like if I try to pay something
• 1:32:54
  like at a store or something. Oh, no, yes, don't do that.
• 1:32:59
  Yes. If if I don't check my balance
• 1:33:04
  hey in my mind I won't know how much I have till I try it.
• 1:33:07
  There's something with that in a debit card.
• 1:33:10
  If you go over your limit, sometimes they approve it and I
• 1:33:15
  have a negative balance and the bank sees you're not credit
• 1:33:18
  worthy. But it was not debit.
• 1:33:21
  We don't have credit. I have cash app.
• 1:33:24
  I don't know what cash app and PayPal or.
• 1:33:27
  Well, OK. They're a little different.
• 1:33:29
  Yeah, the the yeah. They're strict on it.
• 1:33:31
  Yeah, they don't. They won't really let it.
• 1:33:33
  Go 1 penny over, you don't get approved.
• 1:33:35
  Yeah, that's a little different. Well, that's what I'm using.
• 1:33:37
  I'm not. Checking before you make the
• 1:33:38
  purchase to make sure you have it.
• 1:33:41
  It was like small stuff then, yeah, but it was like, how can I
• 1:33:44
  explain it better? Yeah, don't, don't even, don't
• 1:33:48
  even go to the alien. It was an 8 feet.
• 1:33:51
  Oh yeah. How can I make?
• 1:33:56
  How can I? He's still 19.
• 1:33:58
  Still, that immaturity, that frontal lope hasn't developed
• 1:34:01
  yet. Until he's 25.
• 1:34:03
  No, the alien. Yeah, I I know what you're
• 1:34:06
  talking about. That's so funny.
• 1:34:08
  I'm sorry. I love scary I'm.
• 1:34:11
  Trying to stay focused here we get.
• 1:34:13
  How can I make saving feel rewarding rather than
• 1:34:15
  restrictive? I don't know.
• 1:34:19
  Makes I look at it and I want to feel happy that I have money.
• 1:34:24
  I'm not going to be using. I'll be like, wow, I have money
• 1:34:28
  in my account that's safe for later.
• 1:34:31
  I might be rewarded about that. I don't really think savings
• 1:34:34
  like restrictive. If you go to your account and
• 1:34:37
  let's say you have a paycheck every month, right, and at the
• 1:34:41
  end of the two week period you have $100 leftover, you either
• 1:34:45
  say oh, I want to go spend it or you put it into your savings.
• 1:34:49
  That's how you should do it. Next one is what do you still
• 1:34:52
  need to learn about your student loans?
• 1:34:54
  A lot on how it works, when I get it, how it's going to affect
• 1:34:59
  me, what it's used on. I don't know how am I going to
• 1:35:04
  pay it back? Yeah, understand what they do.
• 1:35:09
  Yeah. You know, so keep that in mind,
• 1:35:12
  you guys. All of that's important.
• 1:35:18
  One thing you can do is use technology to help you handle
• 1:35:23
  the credit. OK, so let's go ahead and talk
• 1:35:26
  about the digital inferno and see what technology we can use.
• 1:35:39
  Now is our time to talk about technology and the apps and
• 1:35:42
  software that's available to help you with said episode.
• 1:35:45
  Whatever we're talking about here are today's digital
• 1:35:49
  options. Use financial apps like Credit
• 1:35:52
  Karma to monitor your credit score and utilization weekly.
• 1:35:56
  Utilize official federal loan servicing portals to model
• 1:35:59
  different repayment options. Set up automated banking
• 1:36:03
  notifications to track your balances in real time.
• 1:36:06
  Let's leverage these tech options to streamline your
• 1:36:09
  tracking. All right, so sorry you want to
• 1:36:15
  use Credit Karma to check your credit score.
• 1:36:20
  I don't recommend Credit Karma because they experience started
• 1:36:27
  doing it too, but it's not always accurate.
• 1:36:31
  But it's not a bad place to start if you have nowhere.
• 1:36:33
  But if you can go to Experian and pay that, you know, Credit
• 1:36:38
  Karma's free. So it's like it's a trade off,
• 1:36:40
  right? But if you really need to know
• 1:36:41
  your credit score, you also need to know your FICO 2 score.
• 1:36:45
  You can go to the credit, I mean Experian website, click chat and
• 1:36:50
  say what's my FICO 2 score? And that's the one they use for
• 1:36:52
  houses and loans and that's the one you got to work on getting
• 1:36:55
  up. OK.
• 1:36:57
  What would be a good score to keep like?
• 1:36:59
  Minimum 630 and that's not a credit score.
• 1:37:02
  That's your FICO 2, FICO 2, minimum 6:30.
• 1:37:06
  You want to be over 750 or 800. So what?
• 1:37:10
  Ideally, ideally. OK.
• 1:37:12
  Yeah. Like when I bought our second
• 1:37:14
  house. Well, the the house that we
• 1:37:17
  lived in. Yeah.
• 1:37:18
  And when I started it, they didn't even verify my income.
• 1:37:20
  I had such good credit. They're just like you.
• 1:37:24
  You, you're good on your credit. Yeah, they're like.
• 1:37:27
  You don't really care what job you do.
• 1:37:28
  You can be in the mafia before we know.
• 1:37:30
  Yeah, score's good. It was sort of like that because
• 1:37:32
  my credit score was so good, but that was also the housing bubble
• 1:37:35
  and blah blah blah whatever. I use utilize official federal
• 1:37:38
  loan service importers to model different repayment options.
• 1:37:43
  You can go and set up a budget and say, OK, these are my credit
• 1:37:48
  cards. This is how much I make a month.
• 1:37:50
  This is how much I can pay toward it.
• 1:37:52
  And it'll say there's, there's two ways to do it.
• 1:37:54
  There's it's called a snowball effect, but there's two ways to
• 1:37:57
  do the snowball effect. Either you pay off your lowest
• 1:38:01
  payment first, right, your lowest balance.
• 1:38:05
  I mean, you pay off the lowest balance and then when you're
• 1:38:09
  done with that, that payment gets rolled into the next lower
• 1:38:12
  bill and then the next lower bill.
• 1:38:15
  And before you know it, you've combined.
• 1:38:18
  You haven't had to spend an extra penny, but now you're
• 1:38:21
  paying the principal down faster and you pay less interest
• 1:38:24
  overtime. OK.
• 1:38:27
  Why is he cutting? That it's the cable.
• 1:38:29
  Oh, I'm playing with it and set up automated banking
• 1:38:32
  notifications to track your balances in real time.
• 1:38:34
  There was one time we were in San Antonio and I didn't know
• 1:38:38
  where I left my wallet, so I froze my card and then I went
• 1:38:43
  out with a with the kids and my girlfriend.
• 1:38:46
  We went out to eat and it got declined, Declined.
• 1:38:50
  And I'm like. I started laughing because he
• 1:38:53
  never gets declined as much. I found the account balance.
• 1:38:55
  I'm like, I got money. He goes let's try it again.
• 1:38:59
  Try it again. Got declined.
• 1:39:01
  And then I, I call the bank and they're like, oh, it's because
• 1:39:03
  you, you froze your card. I'm like, oh damn, I forgot.
• 1:39:06
  I have, you know, I. Remember I did that.
• 1:39:08
  One now there's another time. We were at Walmart and we were
• 1:39:11
  buying like $8 worth of stuff. And Connor goes, you got
• 1:39:15
  declined. And I said what?
• 1:39:18
  Yeah. So he says let me try again.
• 1:39:22
  So he tries again. Declined.
• 1:39:24
  I was like. Yeah.
• 1:39:25
  Mind you, if it's like small amounts like that, we know like
• 1:39:28
  we're not like poor, but we know we could like pay for that.
• 1:39:31
  Yeah, it's not that bad, Yeah. So we're like, wow.
• 1:39:34
  Yeah. And.
• 1:39:37
  Then I tried and declined. So I called the bank and they
• 1:39:42
  said, oh, that's a problem with them, not us.
• 1:39:47
  I'm like, what? That makes zero sense.
• 1:39:52
  So we end up using the credit card function and we got our, we
• 1:39:54
  got it. But did you know there's
• 1:39:56
  actually a new law that's being passed when you go to a
• 1:40:01
  restaurant, for example, and they say if you pay with credit
• 1:40:04
  card, you will be charged a 3% fee, right?
• 1:40:08
  OK, that's basically every time. That's that's standard.
• 1:40:13
  Yeah. But if you're at a store where
• 1:40:15
  they accept debit and you do a debit transaction, they cannot
• 1:40:20
  charge you the fee because it's instantly taken out.
• 1:40:22
  There's no fee associated with it.
• 1:40:24
  So they're charging a fee on debit cards.
• 1:40:28
  They are wrong. So we consume, yes.
• 1:40:33
  Well, how would you know there's a fee?
• 1:40:35
  It'll say on the receipt, this is your ticket is so much.
• 1:40:38
  The fee was OK and then the Dollar Tree charges 10% tax
• 1:40:45
  instead of the 8.25 that we have here in El Paso.
• 1:40:48
  So I called, I literally called the city county tax office and I
• 1:40:54
  called the state tax office and they were both saying like,
• 1:40:57
  well, that's nothing we can do. I was like, what?
• 1:41:04
  And I started thinking about it. I'm like, I've had so much going
• 1:41:06
  on. I haven't done it yet, but I'm
• 1:41:08
  going to go back to Dollar Tree one day.
• 1:41:09
  I'm going to check to see if I'm still charged the 10% or more in
• 1:41:13
  tax. And then I'm going to see a
• 1:41:15
  lawyer and say you want us to Dollar Tree and.
• 1:41:21
  Kind of all things. Why not?
• 1:41:24
  It's like suing a baby. Well, yeah, but the house, Are
• 1:41:28
  you kidding? They have money.
• 1:41:30
  They have money. Oh yeah.
• 1:41:32
  OK, they bought out like Family Dollar and Dollar General.
• 1:41:35
  I think they're all together now so I wouldn't put it past them.
• 1:41:38
  Wow. But here's here's something
• 1:41:40
  interesting. Those initial $0.99 stores, you
• 1:41:44
  know all those cheap stores were stolen merchandise.
• 1:41:49
  So they would like rob trucks and stuff, right Little locally
• 1:41:54
  in town. And that's not funny.
• 1:41:58
  But so if you you saw something there, you had to buy it if you
• 1:42:02
  wanted it because it's not going to be there next month.
• 1:42:04
  You don't know what you're going to get next month.
• 1:42:08
  You know that originally a lot of that was going on.
• 1:42:10
  So they would launder money and everything, making those little
• 1:42:12
  stores. Damn dude.
• 1:42:14
  But it's. Yeah, that's crazy.
• 1:42:16
  I'll tell you what, Let's take one last break before we get
• 1:42:18
  back for our final burn. We're going to play a song.
• 1:42:21
  Is that the adios Amiu? Yeah, this is another.
• 1:42:25
  The three songs I played today. Dallas Alexanders played the I
• 1:42:31
  mean, Ryan Spencer played the make 22 zero again.
• 1:42:35
  Dallas Alexander played the Johnny Cash one, right.
• 1:42:38
  We we did that one. No, we did, Mr. Red Wine.
• 1:42:40
  Mr. Red Wine Coffee, Yeah. And now?
• 1:42:44
  And now we're going to play another song by Dallas
• 1:42:47
  Alexander. So if you like these songs,
• 1:42:50
  check them out. But Dallas Alexander's song,
• 1:42:52
  this one here, is about the world's longest sniper shot.
• 1:42:55
  So listen to the words. You're going to like it.
• 1:42:58
  It's time for a break. Hot takes with the Murph man.
• 1:43:01
  We'll be right back. The station where our veterans
• 1:47:30
  voices are heard. MBR talk.
• 1:47:33
  Hey, thanks for supporting our channel by watching and
• 1:47:36
  listening. Find us on the web at MB.
• 1:47:38
  Radio dot. Before we get back to the show,
• 1:47:41
  Hot Takes with the Murph Man streams live every Saturday at
• 1:47:44
  12:00 PM Eastern with military Broadcast radio at MB Radio dot
• 1:47:48
  US. We give veterans a voice.
• 1:47:50
  We help them launch their own podcasts.
• 1:47:52
  Check out all our socials at Pure Hot Takes.
• 1:47:54
  Head over to purehottakes.com to stay locked in.
• 1:47:59
  That's right, you can check us out on at Pure Hot Takes and all
• 1:48:03
  the socials and on Twitch. We are Murph Man's hot takes.
• 1:48:10
  On Twitch, yeah, that's that's your name now.
• 1:48:14
  That's because. You missed the twitch.
• 1:48:16
  That's I'm like, I don't know. No, Twitch has done nothing for
• 1:48:19
  us. I use it.
• 1:48:19
  I changed it to the bingo one. Yeah.
• 1:48:22
  And I'm like, damn it, I didn't think about that.
• 1:48:23
  I can't use the name again. I gotta wait time before I can
• 1:48:27
  change it. Anyway, today we've been talking
• 1:48:33
  about credit and I hope you've been paying attention to what we
• 1:48:37
  talked about, the examples I give.
• 1:48:39
  I know, a little bit sidetracked.
• 1:48:40
  We always do have ADD what happens, whatever.
• 1:48:43
  But I hope you listen to the advice of starting early and
• 1:48:47
  make your payments as long as you can.
• 1:48:51
  That's the most important thing, you guys, is that payment
• 1:48:54
  history. And remember, even if you don't
• 1:48:56
  have credit cards, your credit score deal still gets affected
• 1:49:00
  by you, how much you move, how much how often you change jobs,
• 1:49:03
  how often you change your phone number.
• 1:49:05
  OK, it it's one of those things that you don't realize it until
• 1:49:12
  you start doing it and the the rewards you get, OK.
• 1:49:20
  Because when I was struggling, that's how it all started,
• 1:49:23
  right? My well, actually it started
• 1:49:26
  back when I was in the army with my first wife.
• 1:49:29
  I was sent to Somalia and I wasn't managing all the books.
• 1:49:32
  And I get deployed. I'm like, I'm going to be gone.
• 1:49:36
  I'm going to come back. You need to learn how to do
• 1:49:39
  this. And I only had two days before I
• 1:49:41
  left Somalia. And she said, let me let me do
• 1:49:47
  this. And she wrote down all the bills
• 1:49:50
  and she made a little system and I liked it, right?
• 1:49:54
  I, I just had the papers and I would pay them as the dates
• 1:49:58
  came, you know, but it evolved into my Excel sheet Where now,
• 1:50:07
  well, not right now, but this next year coming up, I, I hope
• 1:50:13
  to pay off all my loans, literally the car.
• 1:50:19
  The, the other thing I'm going to have is the house, all my
• 1:50:22
  credit cards, any payment plans I have everything.
• 1:50:25
  That's my goal for my 2027 pay off all my debt.
• 1:50:29
  OK, that's something I want to do and that'll put me at 58
• 1:50:38
  years old and I want to retire at 6563, not 65.
• 1:50:42
  I want to retire early and between 58 and 63, those five
• 1:50:49
  years, the only thing I'm going to be paying is a new car and
• 1:50:57
  pay down my balance. And if I can do that, let's just
• 1:51:03
  say I can put, I'm just throwing even numbers out there, $1000
• 1:51:07
  every month, right? That's 12,000 a year.
• 1:51:10
  Within five years I'd have 60,000 paid, right?
• 1:51:15
  I could pay the house off. Yeah.
• 1:51:18
  Like within 10 years of getting the loan.
• 1:51:23
  So think about that kind of stuff.
• 1:51:27
  Plan ahead, know what you want, know you can afford it.
• 1:51:30
  If you can't afford it, know what it would take to earn that
• 1:51:35
  in savings. If you need to buy a house at
• 1:51:39
  the end of the year, you have six months, you need $10,000.
• 1:51:41
  You got to figure out how you're going to save $10,000 in six
• 1:51:43
  months or go do insight hustle or seasonal job or something,
• 1:51:46
  right? Yeah, something.
• 1:51:47
  And then you can get the down payment or whatever you need or
• 1:51:51
  pay off your debt or whatever. But remember, even if you pay
• 1:51:54
  off your debt and go to 0 on everything, right?
• 1:51:58
  What do you have to do? Each credit card has to have one
• 1:52:00
  charge on it every month that you can set up an auto pay and
• 1:52:05
  then you pay it when it's due or before.
• 1:52:09
  As let me tell you, as long as your payment says payment due,
• 1:52:13
  you pay it. So you can pay it like up to two
• 1:52:16
  weeks early on some cases, right?
• 1:52:19
  You pay it and that's your payment for the month.
• 1:52:22
  But when you have a zero payment due because you have no balance,
• 1:52:26
  be careful with that because you're not making a payment that
• 1:52:29
  month. So charge something small every
• 1:52:30
  month, one meal at Burger King or something and then pay it at
• 1:52:35
  the end of the month. You know that's how you use
• 1:52:38
  credit responsibility. And what else is funny is let's
• 1:52:45
  say I have a $300 balance that's on a card and I pay it off
• 1:52:49
  right? OK, I'm good.
• 1:52:51
  I don't pay it next month. I don't use it.
• 1:52:52
  I don't look at it because it's zero.
• 1:52:54
  But they charged me interest on what was left.
• 1:52:57
  So after you pay off a card, you want to make sure you keep track
• 1:53:00
  of it for the following month, at least one more month.
• 1:53:02
  But by you making a payment every month, you're making the
• 1:53:07
  payment so you don't have to worry about that happening to
• 1:53:08
  you, right. So that's, that's the probably
• 1:53:12
  the best advice I can give you is if you have credit cards and
• 1:53:15
  you have 0 balance to build your credit, have a credit card and
• 1:53:20
  make small purchases or bills or streaming service, whatever
• 1:53:24
  you're going to use it for. And then you'll be able to build
• 1:53:28
  that credit history, the payment history.
• 1:53:31
  Does that make sense? Yeah.
• 1:53:32
  You know anything you want to talk about like real quick, like
• 1:53:39
  what did you like best about today or was there anything that
• 1:53:42
  stuck out to you? I mean, you and I have these
• 1:53:45
  conversations all the time, so. Yeah, this is literally like
• 1:53:48
  this is what we talk about. Well, not daily, but.
• 1:53:52
  Well, next week we're going to be talking about the budget and
• 1:53:56
  how to actually set up the budget because what is up
• 1:54:00
  happening is you have what's the word I'm looking for here?
• 1:54:07
  You have bills and if you don't plan for them accordingly, OK,
• 1:54:15
  you have the you're going to fall behind.
• 1:54:20
  So next week I'm I'm getting the title here.
• 1:54:23
  Give me a SEC. I'm so sorry.
• 1:54:25
  I guess. Your first real budget, managing
• 1:54:28
  a paycheck, rent and real world expenses.
• 1:54:31
  OK, so today we're talking about how to build credit, but next
• 1:54:33
  week we're going to talk about the actual budget and how to
• 1:54:36
  plan ahead so that you pay everything on time.
• 1:54:39
  And let me just play the final burn before we go for today.
• 1:54:51
  Before we end the show, here is our final burn for today.
• 1:54:55
  Feedback isn't failure, it's fuel.
• 1:54:59
  Walk in prepared, walk out empowered, and use every single
• 1:55:03
  note to sharpen your professional edge.
• 1:55:06
  Oh God. All right.
• 1:55:08
  That I don't at the beginning, I don't at the end.
• 1:55:12
  It happens. That's so funny.
• 1:55:15
  Literally the first and last one.
• 1:55:16
  Wow. What?
• 1:55:17
  What what happens is I reuse the video, Yeah.
• 1:55:21
  Lights we we reuse it. I just re edit it, changed it to
• 1:55:26
  this this week and then. Yeah, I changed the video.
• 1:55:29
  I mean, despite I changed the audio and sometimes.
• 1:55:34
  So this month I didn't do that because I was working on it
• 1:55:37
  different times. What I usually do, I'll open all
• 1:55:40
  12 videos and I'll do a step on each one and then upload
• 1:55:44
  picture, upload picture, upload picture, upload picture, then
• 1:55:47
  open voice over, open voice over, change voice, change, you
• 1:55:49
  know? Yeah.
• 1:55:50
  He this is a lot of like process just to do 1 slide.
• 1:55:54
  It's not hard, but yeah. OK, so you guys just remember,
• 1:56:00
  money isn't just math, it's mindset.
• 1:56:03
  Learn the rules, play the game, and build a future of your own.
• 1:56:07
  All right, that's it for today, you guys.
• 1:56:10
  I shall see you next week, Saturday, 12:00 PM Eastern.
• 1:56:17
  Yes, Sir. Right here in military broadcast
• 1:56:19
  radio. Thank you for watching today's
• 1:56:24
  episode. Check us out on all social
• 1:56:27
  medias at Pure Hot Takes or go to purehottakes.com For more
• 1:56:32
  information. That's a wrap on this episode.
• 1:56:42
  If you're looking for more, you can find all the best clips from
• 1:56:45
  the show on our social media pages.
• 1:56:47
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• 1:56:49
  about today, visit purehottakes.com.
• 1:56:52
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• 1:56:55
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• 1:56:59
  We appreciate you tuning in. Ladies and gentlemen, thank you
• 1:57:50
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• 1:57:54
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• 1:57:58
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• 1:58:03
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• 1:58:06
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• 1:58:11
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• 1:58:18
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