Page - FAQ
Frequently Asked Questions
What exactly is financial coaching?
Finacial coaching is a personalized, detail oriented service to help you develop a plan specific to your financial situation.
Should I consolidate debt into one loan?
Debt consolidation is basically only treating a symptom of the problem rather than solving your problem. If you don’t change your habits you could end up with more debt.
How do I know if I need a coach?
This varies from individual to individual and can be anything from general questions about money management to building wealth or starting a small business. You could also need coaching if you are in crisis such as bankruptcy, foreclosure or being harassed by creditors. Coaches are trained to handle a wide variety of situations and help you develop a plan specific to you.
How do I pay for coaching when I am broke?
For some coaching is a necessity to help you develop a plan to guide you. If you compare the costs of bankruptcy or credit counseling, which can range from $500-$2000, our fees are a bargain. You should look at this as an investment in your legacy as you will have a plan to follow with a goal of building wealth.
What should I expect during a financial coaching session?
We focus on the future. We don’t focus on past mistakes or what went wrong in the past, rather we look at your specific situation, make a plan with you and give you action steps to put in place.
Do I need to sign a contract for your services?
No, there are no contracts. You are completely in charge of your plan. Each meeting is independent and you will pay for the appointment when you schedule it. After each appointment you will be given feedback and action steps to put in place, which will be up to you to complete. If you wish to continue with the sessions you may schedule more. There will be a discount for anyone that would like to set up a multi-session plan.
What is the debt snowball?
The debt snowball is the process we recommend to pay off debt. You simply list your debts in descending order starting with the smallest balance first. The interest rate or terms are not taken into account unless debts have similar balances, in that case pay off the higher rate first.
First you pay your necessities, then pay the minimum payment on all other debts except your smallest debt. For your smallest debt you pay all money left over and pay it off as quickly as possible. The next month you repeat. Once you have paid off that debt you move on to next one with the extra money that you were paying on the last debt. You will pick up momentum like a snowball as you clear each debt and you have a bigger snowball (of money) to knockout each of your remaining debts.
What if my spouse isn’t interested in budgeting or getting out of debt?
By sitting down and talking with your spouse about how you feel (and not how they should feel) you will be able to get to the sticking point. For some when they hear budget, they hear restrictions or being controlled. A budget can actually give you more control and less anxiety (as well as possibly make your marriage communication stronger) because you are planning together each month where your money will be going each month before it starts. Once you both see the progress you may be surprised by how motivated each can get.