How to invest little money fast? 23, in debt, Living at home, Help!?

Question

I really need to find a way to get rid of my debt fast.... I earn an average income for a 23yr old and not very clued up when it comes to making money outside of work.

If I can find a smart and fast way to rid me of debt I could start to build my own home which is desperately needed... & did I mention that my partner will not stick around if I don't sort it out? I'm under a lot of pressure, everyone has always had high expectations of me. Guidence sincerely needed, please!

Kind regards,

Bradley J'

Answer 1

Honestly, if this is your attitude on "investing", you had better stay out of the markets (stock,commodity, etc.), because you will lose a great deal of money very quickly.

To get out of debt quickly, start with your largest non-mortgage monthly bill -- the one with the largest payment. For most people, this is typically a car payment. Drop all other payments on credit cards etc. to monthly minimums and apply all available money to your largest payment. You're overpaying this debt in an attempt to pay it off quickly.

Once that debt is paid off, take the money you were paying to it and apply it to your highest interest credit card balance to pay it off. Once it's paid off, move on to the next highest interest card.

If you're strictly dealing with credit card debt, try to get the balances transferred to your lowest interest card. Paying minimum payments on 4 or 5 cards is a killer -- you're not bringing the balances down, and interest is piling up. With one card and one balance, you can apply the total of what you were paying on your 4 or 5 cards and bring the balance down faster.

As to your "partner", if they're leaving over something like this, in the end, you're better off. I assume your partner is a least a part of the reason you're having these debts. A "partner" is a partner in paying them off.

Once you get the debt paid off, look for a good low cost index mutual fund tied to the S&P 500 or Russell 2000 and religiously put the money you were paying to your debts into the fund each month.

Answer 2

1) Stop spending any more

2) Get another part time job evenings / weekends. Use EVERYTHING you earn from this to pay off your debts, plus whatever you can afford from your normal job.

3) If you,ve got debts on credit cards and store cards, see if you can get a card with either a low rate or 0% offer and transfer as much as possible onto it so as to minimise the interest. If you can't do this, pay off the highest rates first and work your way through.

4) BUDGET!!! Get a piece of paper and list your fixed expenses ie car, petrol, insurance, phone etc. When you've done this, compare it to what you earn. You'll realise 2 things - you waste loads of cash and, if you change, you can clear your debts fairly quickly.

I'm not saying any of this is giong to be easy 'cos it's not. However, learn from it and you'll be OK. One last thing - if you smoke - QUIT - you'll be al least £150 a month better off!!

Answer 3

Generally the interest earned from investments is less than the interest you have to pay on debt, that's how banks make their money. (aside from robbing us blind at every opportunity) So, if you are in debt, get those cleared first. Keep a very tight rein on your budget. You may find a spending diary useful for this. Write down every penny you spend, first it will make you think about whether the spending is really necessary, secondly it will show you your pattern of spending so you can identify areas you can economise in.

Answer 4

You will never get as good a rate from an investment as you would by paying debts off.

Unless your debts are already at 0% you should throw your money at the highest interest debt.

Answer 5

There is, as you will probably expect, no easy answer to this problem. The solution must be to 'tighten your belt' and to repay your outstanding debts. As Johnny says, you will not find any investment which will offer you an interest rate as high as that you will pay your lender.
You might be surprised to find that your partner will stick around if you face up to your problem. Good luck!

Answer 6

Penny stocks are loosely categorized companies with share prices of below $5 and with market caps of under $200 million. They are sometimes referred to as "the slot machines of the equity market" because of the money involved. There may be a good place for penny stocks in the portfolio of an experienced, advanced investor, however, if you follow this guide you will learn the most efficient strategies https://tr.im/4ed13

Answer 7

Life is full of choices.

You have chosen to be poor (only people who have chosen to be poor are in debt).

If you decide to be rich instead, then cut up the Credit Cards and use every penny you can raise to pay off your debts. Sell off expensive un-necessary rubbish to raise more cash to pay off the debts quicker.


When you are debt free (excluding any Mortage, so long as the Mortage is 60% or less than the value of your Property) you will no longer be poor.

Good luck - giving up being poor is like giving up smoking (NB. only poor people (or the very rich) smoke)..

Answer 8

let me know when u find out,,, lol

as for your partner, they mustnt fink much of u if theyd leave you over this,,