I’m a little embarrassed to say “yes, yes, yes, and yes.”

Or, at least, that was the old me. I’m a hyper, busy guy, so everything was a mess.

When was I supposed to find time to organize my stuff when I was constantly rushing to do the next big thing?

But then I started noticing something…

By training my mind to give every physical thing a purpose, I started making better decisions about my time and my finances

.

The floor of my car is not a trashcan. That’s not its purpose. Its purpose is to stabilize the car, keep me from falling through, hold the seats in place, etc. It was not created with the goal of holding my garbage.

So I don’t put garbage on the floor of my car. If I must store garbage in my car, I place it in a bag whose purpose is to hold garbage.

Now, you might be thinking that organization and cleanliness are irrelevant to credit or financial problems…

But I disagree.

If your physical space is sloppy, your life will most likely be sloppy…

Training your mind to give everything its purpose and its place allows you to make better financial and spending decisions.

If your mind is not trained to examine everything, decide its purpose, and then put it in the right place, you will make purchases that do not honor your long-term goals.

You will make buying decisions that do not have a purpose.

Your budgeting will be sloppy…

Giving things a purpose, and then placing them where they belong, gives you control over your life. It allows you to immediately eliminate dead weight and garbage.

It also gives you the opportunity to accept things that will improve your life.

Imagine the impact of training your brain to put things in its place.

You can immediately eliminate expenses that are silly. You can immediately accept ideas that will help you become more frugal.

You can immediately stop yourself from making purchases that don’t have a purpose…

What do you think? Am I crazy? Spot on? Let me know your thoughts below!

My point was this: If you want to change your financial circumstances, you could consider surrounding yourself with people who are going to help you get out of debt, fix your credit score, or increase your savings. By getting exposure to these people, you will naturally be exposed to ideas, habits, and activities that will help you change paths.

These people come in all shapes and sizes. You could decide to start having a weekly conversation with your sister- in-law, who is a master at budgeting and living on a shoestring. If you are a mortgage broker who just can’t make ends meet, you could find a mortgage broker who figured out how to make money in this economy.

Or you might want a mentor who can help you make other important shifts in your financial life or even in your career…

So if you are looking to meet with the Zig Ziglars, Ken Carters, and Rick Carusos of the world, I thought I’d pass along a strategy I use.

It’s called the 7 Magic Words, and I’ve used the strategy to get in front of all sorts of people…

So what are these seven magic words that will help you get exposure to the people you need to meet?

Here they are:

“What can I do to support you?”

These seven magic words open all sorts of doors.

Let’s say you are an employee at a large company. You want to have lunch with the head of the company, but he’s a busy man, and you are just one more face in the crowd.

Imagine what would happen if you sent your boss an email that said something like this …

Dear Steve:

What can I do to support you?

I want to be a superstar employee— someone who is with this company for many years; someone who becomes an integral part of the team. So what can I do to contribute more to the company?

Can I take you to lunch and find out more about you and your ideas for the company?

I know you are busy, and that your time is important. This week, I have $25 in disposable income. I know it isn’t a lot, and it certainly won’t compensate you for your time, but I’d be happy to donate it to a charity of your choice if you could spare an hour for a lunch meeting. And if you don’t have time for lunch, maybe we could grab coffee and talk for 15 minutes.

Sincerely,
Jason

If you promised to give your last $25 to your boss’s charity, do you think he or she would take notice of you? And do you think he or she would be willing to consider you for a raise or promotion when a spot opened up? I know I would!

Of course, if you are up to your neck in debt, you might not want to donate $25 to charity. No problem—let your boss know that you’ll donate five hours to a charity of his or her choice! Or do something—anything—to let your boss know that you are driven and want to move your life forward.

As always, let me know your thoughts by leaving a comment below!

Another time, I convinced billionaire Rick Caruso to have coffee with me. I got Coach Ken Carter (of the 2005 film Coach Carter starring Samuel Jackson) to meet with my staff members and me. And when I was 23, I persuaded Zig Ziglar to have lunch with me.

I did all these things because I believe in getting exposure to big thinkers— people who can help me shape my future.

In one of my posts emails, I suggested that if you are struggling with debt or credit problems, you could “change your physical environment so that you are more likely to create the psychological shift necessary to fulfill your financial goals.”

I got several requests asking for more information about how to do this if you are deeply in debt, can’t get credit, or are having to start over from scratch.

So I thought I’d pass along an idea that has worked for me …

Get physical exposure to people you admire.

If you start talking to other people who have been in your circumstances, and who are now living a life you admire, you will get at least a few ideas for changing your circumstances. Plus,
you will build a supportive network of people who are on your side … who want you to achieve your goal.

I know that financial problems can be embarrassing, and you might not want to reach out to people for help. But you can save yourself from years of pain if you decide to reach out to a few strategic (and trustworthy) people who will give you ideas for changing your finances and your future.

So whom should you get exposure to? Basically, you need to find people who have “been there, and done that”—people who have successfully moved past obstacles to find success and financial stability. This might be your sister-in-law, a local businessperson, or a good friend.

Or, you might want to reach even farther outside of your social circle, especially if you are deeply in debt, unemployed, or starting from scratch.

You could start looking for people who can pull you up, a few mentors or advisors who can help you make radical shifts in your situation.

That’s what I did when I got Zig Ziglar to have lunch with me. And that’s what I did when I brought Coach Carter into my office.

So how did I do it?

Well, you’ll have to wait for my next post, but I’ll give you a hint …

I used Seven Magic Words.

Until then, post a comment below and let me know your ideas for getting physical exposure to people who can help you change your circumstances.

That’s what I said to Tyler, a good friend of mine, who called me the other day after being turned down for a loan.

He explained that his score is in the low 600s.

“Why haven’t you taken the 14-Day Credit Challenge?” I asked him.

Tyler and I have known each other for almost 20 years. He knows all about my program, and I couldn’t believe he hadn’t taken advantage of it.

Tyler and I have one of those ultra-frank relationships, but I was kind of surprised to hear his reasoning …

“I just don’t have time,” he said.

This time I only thought it … What. The. Heck?

One of my favorite things about the 14-Day Credit Challenge is that it takes only about 10 or 20 minutes a week. You don’t have to read an entire book or study the credit laws.

All you have to do is spend 5 to 10 minutes a week watching a video tutorial, and then complete about 5 to 10 minutes of homework.

That’s it.

Seems simple to me.

But then Tyler called me out.

“Phil, I have a business that I’m trying to get off the ground. And I have a family to support … a family I only get to see in the evenings and on weekends, assuming I’m not working. There’s no way I have energy to take a course about credit repair.”

Okay, Tyler, point made.

The 14-Day Credit Challenge is pretty amazing, in part because of its simplicity. But it isn’t for everyone. Some people need just the facts—they don’t want to know any of the “what ifs,” nor do they want to know why the rules work.

“Cut to the chase and tell me what to do,” Tyler said to me.

So I laid it on the line for him and started with the number-one strategy he should take.

Want to know what I told him?

Submit your name below, and I’ll send you the answer.

Plus, I’ll send you information specifically for people who are too busy to go through the 14-Day Credit Challenge and want a Fast Track for getting their credit fixed … and fast!

The Hour Factor: A Financial Tip for Personal Growth and Development

One of my favorite parts of the 14-Day Credit Challenge is the “buried treasures” lesson because it gives students an opportunity to have massive personal growth and development.

You see, when I teach people how to find their buried treasures, I also give them a financial tip about changing their mindset. After all, finding money won’t change your life if you rush out and spend it frivolously.

Instead, I give them a financial tool for personal growth and development.

It’s called the “Hour Factor™ question.”

Let me explain …

Instead of considering price alone, always consider the “Hour Factor™” before making a purchase. The Hour Factor™ is the number of hours you will need to work to pay for something.

And this number is a better indicator than the price. From a personal growth and development perspective, the most valuable thing we have is viagra … time with our families, time pursuing our passions, time enjoying life. When you buy something, you are simultaneously making a commitment to spend time away from your family  (or away from your passions) so that you can work enough hours to pay for your purchase.

So before you purchase anything, always ask yourself the “Hour Factor question”: Is it worth it to work ____ hours to pay for this?

What do you think? Do you like this strategy? Leave a comment below and let me know …

And for those of you who want to use this strategy, here’s the process:

1.     Start by figuring out your hourly after-tax wage. If you are paid hourly, just look at your paystub and divide the take-home (after-tax) pay by the number of hours your worked. If you are paid a salary, divide your annual after-tax salary by 2,080 hours (this is based upon a 40-hour work week, 52 weeks per year).  This is your after-tax wage.

2.     Then, divide the price of something by your after-tax salary to computer the number of hours you must work to buy it. For instance, if your after-tax pay is $12.50, you will have to work ten hours to pay for something that costs $125.

3.     Once you have “done the math,” ask the Hour Factor question. For instance: Is it worth it to work 10 hours away to pay for this? You can always change the question to make it more powerful. For instance, I ask: Is it worth it to work ____hours away from my children and wife to pay for this?

Is it worth 30 minutes of your time to pay for a latté and muffin from the corner coffee shop each morning?

Is it worth even 15 minutes? Or would you rather spend that money (and your time) on your child’s college savings?

It’s up to you! But one way or another, the Hour Factor question will represent a giant shift in your mindset. And it’s a powerful vehicle for personal growth and development.

viagra

I got a call from a client this week, we will call him “John.”

Here is his problem..

• He has over $41,000 in credit card debt.
• He has other unsecured loans totaling $12,000.
• Although he hasn’t been late on his bills yet, he can’t seem to get caught up and doesn’t think he will ever dig himself out of this debt.
• When he puts his debt into a debt reduction calculator, it says that it will take him 21.6 years to pay everything off at his current pace.

(Can you say …. STUCK?)

He emailed me and asked for my advice… I explained to him his three options:

Option #1 – Continue to pay the bills for 21.6 years.
Option #2 – File for Bankruptcy
Option #3 – Negotiate his debt with his creditors.

Let’s review…:

Option #1 – Continue to pay, which needs no explanation. This client did call the credit card company and got his interest rates lowered, however, by following their payment plan; he will be paying for 21.6 years.

That is like being held hostage by your credit card company for 21.6 years. I say “held hostage” because I believe that.

Yes, he took out the debt, but to pay on $41,000 in credit card debt for 21.6 years… is a crazy thought and in my opinion, other options need to be looked at.

Option #2 –Bankruptcy. If he qualifies for a Chapter 7 bankruptcy, he will have no more debt, however, the bankruptcy will be on his credit report for 10 years.

He can easily repair his credit (to 720 ) after the bankruptcy, which can be done in 1 ½ to 2 years.

There are two downsides to this option;

1. The bankruptcy on his credit report. That will impact his ability to borrow for the next 2-3 years.
2. Does he qualify for a Chapter 7 Bankruptcy? Believe it or not, many people cannot qualify for a bankruptcy because their income is too high.

If this is the case, he will have to file a Chapter 13 Bankruptcy. That means he will have to repay all his debt plus have a bankruptcy on his credit report.

Let’s move on to Option #3.

Option #3 – Renegotiate his credit card debt with the credit card company.

Here is what I know for sure:

1. Your credit card company will not negotiate with you unless you stop paying your bills. They may tell you differently, but this is what I know to be true.
2. Your credit card company will lie to you so you continue to pay. I’m sure this is not their “policy,” but when you combine eager employees looking to get their bonus with vulnerable debtor – this happens.
3. Once delinquent, they will put your phone number into an auto dialing systems. This means you will get up to 8 calls per day trying to collect payment. … Ouch!
4. If you understand how to negotiate with your credit card company (and I don’t), I hear from numerous clients that they will offer you a settlement somewhere between 15-40%. Meaning, if this gentleman did it right, he would pay off his credit card debt for between $7,950 – $21,200. You read that correctly, he would pay off $53,000 in debt for between $7,950 and $21,200.
5. After you pay off your debt, our clients are getting back to a 720 credit score in approximately 18-24 months.

The biggest problem with Option #3, is having the stomach to handle the negotiations… because it is very stressful and daunting. And, if you don’t know the proper way to negotiate, you will pay more than you should.

If this sounds like your situation, listen up.

I’m going to put together free information designed for those that have more than $20,000 in debt and would like to know and understand all their options.

If you want to be informed about this information, give me your name and email below!

Once I do the interviews or webinars, I’ll email them to you.

I know this is a long email… thanks for reading!

If you have debt over $20,000 and this post seems to be written for you, submit your name and email below. I’ll provide you additional free information that I hope will help you choose the right option for yourself.

1. How easy it is to raise and rebuild your credit
2. How much I was overpaying because of my low credit score, and how much I could save by raising it.