How I’ve Remained Debt Free My Entire Life | Financial Freedom

It is 100% possible to not take on debt in life...and I am living proof!!

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Chapters

00:00 Debt Is A Mindset
01:27 Seeing Debt As A Cultural Construct
03:10 Not Seeing Anything Wrong With Being Broke
05:02 Recognizing And Taking Advantage Of Every Opportunity
07:21 Not Expecting Things To Last Forever
09:19 Being Terrified Of Debt

Most people live their entire lives with a bunch of debt; however, debt is a completely unnecessary and avoidable thing. I have lived my entire life up to this point without having debt. I believe if you can get in the right mindset, you can avoid debt in your life. In this video, I share five different traits that make up this debt free mindset.

1. Seeing Debt As A Cultural Construct

In the United States debt is so ingrained in our way of life that we don't see how much we use it. We buy cars we can't afford because we're offered loans, we use our credit card for small purchases, and we even have credit scores. This way of life is very American as many countries around the world don't use debt in their life. The only reason we accumulate so much debt in life is because we're offered so much of it. If you can avoid accepting debt in your life and act as if it's not an option, you can avoid debt.

2. Not Seeing Anything Wrong With Being Broke

Another cultural construct we have in the United States is that we think there is something wrong with people when they do not have an abundance of possessions. And because we have this belief, we often go in a bunch of debt because we think if we don't get these unnecessary things then our lives are not worth living. There is nothing wrong with being broke and not having an abundance of material possessions. It is much better to be broke than have a bunch of debt, and if you can understand that you can live debt free.

3. Recognizing And Taking Advantage Of Every Opportunity

In life we are all offered different opportunities that can help us live the life we want. These opportunities, however, are only useful if we recognize them and use them to our advantage. Whenever you have some sort of opportunity in life, you should seize it because opportunities are few and far in between. If you take advantage of each opportunity in life, it can help you avoid debt.

4. Not Expecting Things To Last Forever

When it comes to money and salary, many people often believe that once you start making more money, you will continue making that level or more. And because people believe this, they end up putting themselves in an unsustainable financial situation. Life is full of surprises and it is highly possible that an unexpected financial expense will appear in your life. If you do not prepare for it, then it can put you in a bad financial position. If you instead expect that bad things will eventually happen in life and prepare for them, you can avoid having to take on debt.

5. Being Terrified Of Debt

It shocks me how people are so comfortable living with debt in their lives knowing that multiple people are wanting their money back. Debt is modern day slavery because when you have debt, you give up a bit of your financial freedom in life. And so debt should terrify and you should do everything in your power to avoid it. If you can see debt for what it is, modern day slavery, then you can avoid debt you entire life.

**This video is intended for entertainment purposes only, none of it should be interpreted as financial advice. Links above are affiliate links where if you click and order, I will receive a commission at no cost to you. **

[ElAgustin]

Is debt a necessary thing or can it be avoided in life?

[rntt]

You're better off never taken out any debt. I spent over 12 years in bondage. It was awful. Started with college loans. Had over $36, 000 when I graduated. My first job barely paid $15 an hour, and it was in my field. I basically lived on credit cards for years. I also lived in a large metro area so cost of living was not cheap. I, of course, developed a horrible drinking problem, only prolonging the financial pain. I financed a brand new car when I was 28 for $30, 000. Adding to the insanity. I had consolidation loans for the credit cards over the years that did absolutely nothing. I carried a balance of over $25, 000 in credit card debt at over 25% for years. When I was 29 I had over $80, 000 in debt. It was insurmountable. I hated my life, myself, and everyone else. At its worst, the minimum payments for this debt exceeded $1, 800 a month. I was living alone in a shitty roach filled apartment for $1, 000 a month, and had about $1, 000 left over every month for food and booze. This was on a salary of $75, 000 a year!

I had a health crisis when I was 32, and my liver failed because I was drinking every day at that point. I had to completely stop drinking. I had to move. I relocated back to my hometown from the city. I lived my parents for a while. I had to sober up completely. I got on a budget, cut my spending, and at that point I had just over $53, 000 in debt left. I paid it off in under a year. I had to let some credit card go into collections and settle later. I sold my car! I drive a $1, 400 Pontiac Vibe now. I completely changed my life.

I bought a house last year. Old fixer upper. I bought it with cash. Life is much better now that I'm sober. I still have no friends, no woman, and no social life, but my finances and health have never been better.

[DavidDavisDH]

I really believe less is more. I'm not saying don't buy stuff, just be intentional with everything. Don't let greed take over.

[jonathanmcgovern]

Never been in debt and hope to stay that way. Strange how society says renting is waste money yet being in debt isn't. Rather rent living below means than get mortgage

[gordonpi]

Great! Tell them Austin, how we, the smart guys do the things! Bravo!

[Brittanysure]

I like that saying, it’s motivating: “Be terrified of debt”

[michaelbevan]

The past 2-3 videos have been the best content to date. Keep up the amazing content, it’s always well received mate.

[spencers-adventures]

Nice video buddy! I think the need to once again become scared of debt is a great point. It's so normalized as you mentioned and we're all the worse for it. Looking forward to your next one!

[juliem.]

My father's older brother died at 12 years of age. My father subsequently developed a "let's do it/get it now because we could be dead tomorrow" mindset that rubbed off on me. I'm fighting the get it now pay it later mentality. I totally agree that the US makes it SO EASY to take on debt.

[ellenroehl]

Ivanka Trump told a story of when her dad was billions of dollars in debt. He pointed out a homeless man on the street to her and said "See that man? He's richer than I am."

[batica]

Nice touch with that car picture, a Yugo truly is a symbol of a crappy car :) That said, I drove a similar one while I was a student and couldn't care less about it. Being smart about your money at a young age is really important.

[donmawele]

I love how simple your message is so relatable and easy to digest

[kerry_runs]

I liked how you turned French briefly with your accent 😂

[derrick]

The biggest financial mistake I made is getting into debt. It is so difficult to repay nowadays

[jairsaydferreira]

When I came across this Channel, I found a treasure! The way you inform us is awesome! Congratulations from The Middle West of Brazil, the city of Cuiabá in the State of Mato Grosso where the air is fresh and warm and the water is really sweet.

[albertoflores]

Wow! So true! Wake up call!, saludos desde México amigo, thanks for sharing! 👍

[MrGilperc]

This, hands down, is your most powerful video!

[tamaranicoleofficial]

I love how you said act like taking on debt is not an option 💕💕💕

[GrannyLinn]

I was in my 60s when I got out of debt without going right back in.

[donnahilber]

You're in the driver's seat in the way you live your life and that is a great accomplishment. More and more, people are manipulated by clever marketing and don't even realize how much freedoms they lose in those decisions. Marketing is gaining strength with each decade through technology. The answer isn't to get rid of technology, but the answer is to to fight for its ethical application at every corner. Technology can be a drug and an addiction much like any other. Our predecessors wouldn't even comprehend overwhelming debt or sometimes any debt at all and yet it's now commonplace for many of us. That's why I recognize your strength in the financial and lifestyle decisions you make. You're able to overcome marketing and think for yourself.