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The Best Way I Know for Turning Debt Into Wealth
Turning debt into wealth can be accomplished by focusing on creating wealth building habits. These habits need to be learned, planned for and put into practice so you can use them to go from debt to wealth.
If you are seeking credit debt relief it is important that you create a plan to tackle it with a goal of living debt free. What you should not do is focus all your thoughts on debt. Like I mentioned on the debt to wealth page, debt is not the problem it is a symptom. Therefore when transforming debt into wealth you want to focus on wealth not debt so that you learn the practices and habits of wealth and then use them to eliminate debt.
| Attracting wealth, “The Secret” and the law of attraction – a lot has been written about this stuff and some of it can be a bit… lets say obscure or even corny. I know because I am a skeptic too. But regardless the reality is that visualization, positive thinking and creating clear pictures in your mind of what you want instead of what you don’t want is a proven technique used by successful athletes, business men and successful people in all areas and backed up by research. Whether you believe it is possible to attract wealth by what you think is up to you but do not deny the powerful effects our subconscious mind can have on our actions and the ability for you to shape it. This why I recommend turning debt into wealth by focusing on wealth not debt.
In turn this has a dual effect: first, you focus your attention on wealth building and this creates an empowering mindset that will give you confidence and help attract wealth instead of debt. Second, once you eliminate the debt you are left with habits that will allow you to build wealth and keep you from getting into debt again!
Some of the wealth building habits you want to learn, acquire and put into practice are:
- Personal financial planning - if wealth building is important to you and you want to have and achieve wealth and financial goals then you need to plan. This means making plans and following them. Review your net worth, create a spending plan, set goals, look for help, invest, etc…plan the actions that will get you where you want to be.
- Pay yourself first - when you create this habit it becomes second hand and like it has for me it can accumulate massively over a long period of time.
- Acquire money management skills - budgeting, debt management, balancing your accounts, periodic re-balancing of your investments, keeping track of your expenditures, creating and keeping an emergency fund, minimizing credit purchases, etc. These are all skills that will prevent you from going into debt.
- Frugal living - do not confuse this with cheap living. Frugal living really has to do with not being wasteful, not buying in excess or in our times extending the life of that car, shoes, TV, cell phone, etc. Millionaires are created this way  and this can certainly lead you to living debt free.
- Hard work - In any aspect of life hard and smart work will provide you with good results. Turning debt into wealth will be by no means easy but if you work hard whether it be at becoming a more valuable employee, creating a side business, investing in real estate or creating more income that you can apply towards credit debt relief, you will see good results.
- Patience - Any debt to wealth solution will require time and patience. Any promises for “quick” help should be a red flag. Wealth building works over time and requires consistent performance rather than sporadic actions.
- Lifelong learning and education - this is a commitment you make to yourself to constantly grow. We should never stop learning and there is always something new for us out there. Educating yourself about your finances, money, investing, the economy, etc. should never end.
Remember it takes on average 66 days to create a habit  plus who knows how long to eliminate the bad ones, so get started on these habits now.
Turning Debt Into Wealth Actions
First you identified the problem areas that led you to debt and then we identified the habits that you need to acquire to begin transforming debt into wealth in a wealth-conscious manner. Now you need to put them in action.
For example, by paying yourself first you will put money every paycheck into a savings account that you will then use to pay off the credit card balance owed.
But why not just use that money instead to make the monthly payment on the card?
Because you want to get in the habit of putting money into your savings account regardless of where it is going afterward. This
teaches you to save, empowers you by letting you see your money accumulate and grow and creates a habit (always saving part of your paycheck) that you will keep after the debt is paid off.
In the next article we will put together a plan of attack for turning debt into wealth and get you on your way to living debt free.
Please check back soon for the follow-up posts on Turning Debt Into Wealth or subscribe to my blog and RSS feed
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References and good resources on turning debt into wealth:
 Millionaire Next Door, Thomas J, Stanley, William D. Danko, p.27
 The Road to Wealth, Suze Orman, p. 40
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