Don’t repair your credit without repairing your thinking

“One of my biggest pet peeves is return customers”. This is what Real Talk Ron, an upcoming guest on the Millionaire Podcast told me on our preliminary call.  Ron was talking about how frugality is huge and that you can’t have bad spending habits and good credit.  

There are no quick fixes on the path to wealth. There are no short cuts, you have to take the stairs. If you are going to repair  your credit you have to also repair your thinking. 

Dave Ramsey

This brings me to Dave Ramsey. A lot of people think you can’t invest in real estate with debt and still follow Dave’s principles.  But this is not true. A lot of Dave’s teaching is to rid yourself of the debt that must be paid by you.  This means consume debt, debt on your personal residence, car debt etc.  He is 100% right.

Its important to also look at the debt that gets paid by others.  Debt that gets paid by others is not a liability it becomes an asset.  The way you spot this distinction is by changing your thinking.  A lot of people think on a surface level.  They lump all debt into the same pool. They lump all credit into the same pool. They lump all money into the same pool.

This shallow thinking will keep you from playing the game strategically.


Whenever I talk about frugality people say “well you gotta live”.  But what is living? To me, living is financial freedom. To me, living is traveling but being so attached to work that you work while you are in another country and with no worries not traveling to escape.

These are the things that frugality provides not things that frugality keeps you from. See if you are attached to a job you are never fully free. The problem is that the more of your lifestyle that you tie to your job the longer you will be attached to that job.

Frugality is freeing. Frugality is not restricting.  Again, change your thinking. You will never make big money from a job.  You will never liberate your family via your job.  Frugality lets you pull money and turn it into capital. That capital will let you create the independence you NEED.

One thing that I had to learn is that a job isn’t something to hate. Jobs are important. But being financially free lets you work on your terms. It lets you work where you ant to work not where you HAVE to work. It lets you do work you love.  Financial Independence lets you make bolder choices. Frugality is the first step to financial freedom. Shift your mindset. Frugality isn’t limiting, frugality is empowering. 

Avoid that spend spend and put that money somewhere that increases in value

Spending is how you got into your credit problem and spending is how you will create all new credit problems if you aren’t careful.  So, as you walk into good credit with new limits and new cards, the only way to keep yourself from needing credit repair all over again is to limit your spending.

Instagram is full of people living paycheck to paycheck and running up credit card balances.  The worst thing you can do is try to keep up. Don’t even try to compete.  You don’t know what they are doing or not doing behind the scenes. Just chill on competing with the gram.

I made the point the other day that I don’t travel for the play, buy sneakers or go to concerts but I have a lot of travel sneaker and concert money in these accounts and its true.  The killer though is that when you buy stuff out your paycheck its an automatic loss. The only win is the euphoric feeling you get when you stunt on someone.  When you buy stocks, options, rental property etc you get a win.  We bought a property yesterday on discount and walked into immediate equity that effectively doubled our investment.  And we still get cash flow monthly.  Those are the moves I am making and had I not got around the right crowd I would probably find value in stunting as opposed to now which finds its value in my financial statement.

In order to get your credit right, keep it right and build wealth you HAVE to recondition your thinking. A large part of reconditioning your thinking is getting around new people that are better than you, have more money than you and are DOING (not thinking about doing) the things you want to be doing.

Yesterday I was on the phone with our rehab guy and he was telling me about how he just flew in from Vegas and had a closing the same day then another closing the day after. This guy is buying about a deal a week and this pressure has pushed us to do the same but also shown us its possible.  When you get around greatness, your mindset changes because the conversation isn’t the same.  Mindset is everything. You can’t carry an old way of thinking into a new level of success.

If you are interested in joining any of our clubs and making a difference in your community, email if you haven’t yet done your taxes or haven’t created an LLC to organize your hustle, do so now! Email today!

Be great and invest well!

Todd Millionaire


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