At this very moment, there is something working against you or for you and your money: interest. Interest-bearing savings accounts and interest that may be adding up day by day on loans and credit card balances you may have.
"Interest never sleeps," said Dave Nellis with America First Credit Union. "Interest that you are paying never sleeps and interest that you're earning never sleeps, and so is it going to benefit you or is it going to harm you."
By eliminating debt, you save on the bad interest that takes away from your earnings and savings, giving you capital freed up to start earning the good interest, which is money that compounds over time in savings vehicles.
Something to keep in mind is that positive net interest is not all equal. Savings accounts, CDs, and 401K accounts will have different interest rates varying based on a number of factors.
Look carefully at each investment and talk to a financial advisor to see what makes the most sense for your saving smarter plan.
