Get rich quick?

Question

How can I eliminate some major debt in six months making the same money I am now?

Answer 1

#1. marry rich ...... OR
#2. get a mortgage on your home and pay off your debts .... then place the same money you have been using to pay debts into savings
#3. work a second job part time
#4. win the lottery
$5. stand on a corner with a sign asking for donations

Answer 2

Short answer: There's no way to "get rich quick." Either put your shoulder to to wheel and work harder or get frugal and spend less if you want to pay down your debt. You can also get a better education and thus get a better job, but that doesn't fall within your "six month" time frame.

Long answer: I'm going to assume that you don't want to go back to school and get a better job, so I'll just talk about investments and other methods of wealth creation that don't involve actual work.

Financial theory tells us that for any investment opportunity, risk is inseparably linked to return. Risky stocks, for example, may have huge swings in value from period to period, but generally have a high "average" return (which is likely to be little solace if your risky investment happens to be on a downswing when you want your money.) Meanwhile, a risk-free investment like a treasury bond has a very low average return, but there's no deviation in your outcome; you can set your watch by the coupon payments.

There are zero exceptions to the above rule. Every single one of those "get rick quick" systems you see on late night infomercials are lies. The ability to make risk-free profit using none of your own money (which is what the "Carlton Sheets" real estate system and others like it promise) is called "arbitrage" in financial theory, and it doesn't happen. If it ever did happen, it would be competed out of existence almost instantly.

Generally, there are also no abnormal investment returns to be had at all, never mind arbitrage. If a stock returns more than its risk characteristics dictate that it should, the demand for the stock goes up, which drives up the price until the dollar return on each share of stock matches up with its risk. This is also the case with nonsense like those "OMG MAKE MILLIONZ OF DOLLARS/YR WORKING FROM HOEM!!1!" scams. If there really was such a way to make money, wouldn't everybody want to get in on that action? Wouldn't these people be competing for a limited number of opportunites to "make millionz of dollars/yr?" They'd all compete against one another for the finite supply of opportunities, accepting less return and less return (perhaps only "thousandz of dollars/yr") until the opportunity evaporated.

However, an implication of the risk/return trade off is that anyone could make a huge return in a very short amount of time if they're willing to take on an enormous amount of risk. This is a service that the casino industry provides. If you sell everything you own, take all the cash and put it on a number on a roulette wheel and hit, you could very well be a millionaire in less than an hour. Of course, you're not exactly getting a fair shake at a casino (look up "statistical arbitrage; it's how casinos make money), but casinos screw you by taking off a small sliver of the fair odds for every play, which then adds up. If you play once, a roulette wheel is pretty fair.

So, if you want to get rick quickly, go gambling, or invest in volatile penny stocks, or something really risky like that. If you don't want to do that (and I don't blame you), spend less or earn more.

Answer 3

Pay your bills on time so that you don't get charged late fees.Start cooking at home,take a lunch ,phone your credit card company and see if you can consolidate your loans at a lower rate. Have your friends come over to a pot luck dinner and a movie instead of going out to dinner.If you have a cell phone do not go over the minutes. If you live alone turn down the furnace and wear a sweater, turn the lights off when you leave a room.If you smoke quit.It's the little things that adds up and before you know it..........you're in your way.

Answer 4

Depends on how much debt. If it's a few thousand, you can reduce the cost of luxuries such as fast food. With the price of gas going the way it is, considering carpooling to work if you haven't already would be a good idea.

If you're talking tens of thousands of dollars in debt, there's no way you'll be able to pay off that much assuming you make around the household average in 6 months ($20,000-$35,000). It'd be too big of a transition and I doubt your monthly bills would get paid.

Answer 5

You can't spend money on anything except the barest essentials. Look at every dime you spend, write it down, but before you spend it, make sure you had to have whatever you were buying. Don't buy anything without waiting a day or so. Put the money you were going to spend in a drawer and then in a week, take it out and pay on the balance of your big bill. Every dime towards the big bill makes it smaller. Every dime you waste just defeats your purpose. You have to start with your head, not your wallet.

Answer 6

1. Consolidate your debts into one package with your banks
help, and reduce interest payments on your debt.
2. Sell off less used assets to raise cash.
3. Reduce living expenses / Eating out / Entertainment /
Transport costs.
4. Take a part time second job.

Answer 7

come up with an original idea...something totally groundbreaking that nobody has ever thought of... something that would make everyone's life easier/more fulfilling. a product or a service that everyone will want, and then get a patent, and then go make a million bucks.

Answer 8

try this. take a reasonable amount of money and put it in a bag. This is the only money you can use for that week. The rest of your money put it into savings and do NOT buy unecessary things!

Answer 9

Second Job or Work from home!

Answer 10

Eat ramen noodles, peanut butter, and potatoes.