You are walking down the street one morning and approaching you is a middle aged gentleman in a sweat suit pulling a medium-sized, empty wagon. In his arms were a number of packages and on his pack was a very large napsack which appeared full. You looked at the man and were completly puzzled as to what he was doing. Why was he carrying the packages and the napsack while pulling an empty wagon? It didn't make any sense!
Given that picture, you can now understand my own confusion when it comes to hearing from people out there in the same metaphorical situation. I get hundreds of emails from borrowers telling me of their financial condition. They have a house (wagon) and usually it has a pretty good loan on it. They also have generally a home equity line of credit with a pretty high interest rate. There are credit cards with interest rates that should be illegal and auto payments that mirror mortgage payments. These are debts that are comparable to baggage because of the fact that for almost everyone I come in contact with, they are paid with after tax dollars at rates double or triple the rates of a first mortgage on your house.
Prudent thought will tell you that if you can pay these through your house, they might be tax deductible and, in addition, they will be at lower interest rates in almost every case. At this point someone always tells me you can't get out of debt by incurring more debt.
You aren't. You are just finding a better way to pay off your existing debt.
Now is the time for me to ask "what will it take to get you to listen, learn and act"?
You need to realize that the money that is sailing out the window is yours. With costs for everything rising, you need to accentuate the positive, install a new financial plan, and eliminate the negative by ridding yourself of expensive debt.
It has been said that talk is cheap, but if you talk with someone who gives you information that will put you onto the road to financial freedom—talk is priceless!