Recession Proof Living

OK, so it isn’t technically an investment. However, paying off debt during this economic slump will probably earn you a better immediate rate of return than just about anything else around. The reason? Getting rid of a 12% finance charge on your credit card is the same as earning 12% in a mutual fund! If you have a car loan or credit card debt, pay them off pronto. If you find yourself in the land of payday loans or subprime loans, often marketed as “loans for people with bad credit,” you may be paying 30% or more. Pay them off, pronto! Then you can use the money you had been spending on monthly payments to save and invest. I recommend Dave Ramsey’s book The Total Money Makeover. to help you prioritize what to pay off first.