The financial landscape is rocky for many Americans these days. Douglas Eze, founder of Largo Financial Services, is on a mission to change the way Americans view debt and what financial advisors offer their clients. People have a wide variety of debts and find it difficult to save money because all of their money is used to pay off their debts. Wanting to talk about what debt is doing to middle-income America, Eze points out that for every dollar a person makes, 34% of that dollar goes towards debt or interest.
Eze identifies four main categories of debt that he believes are holding people back and that people need deeper understanding. These four areas are credit card debt, student loan debt, mortgage debt, and car loan or lease debt. Eze gives us a breakdown of each debt area and why it’s crippling middle-income America.
Credit card debt – Eze says credit card debt is the quickest way to ruin your balance. Demographics like college students, single parents, and younger people often run large credit card debt. It can be a question of using loans to pay bills, medical expenses, and living expenses, and then working on paying them off. This becomes a cycle and difficult to break. This high-interest debt almost often leads to bad credit and years of debt.
Student Loan Debt Going to college is the path to better jobs and careers for most, but when high school-to-college students take on student debt, they often have no real understanding of what they are getting into. Parents who work to pay off their own college debts will use up their savings and retirement, or even build their own home to pay for their children’s college, and students will have to keep borrowing. The debt cycle is growing, often students fail to find high paying jobs after graduation, but that debt follows them. Eze wants to help people understand that there is a better way to deal with student debt.
Mortgage debt – Owning a home is considered to be the cornerstone of the American dream, but in reality it is simply another, possibly the greatest debt that people take on for a lifetime. Eze explains that a mortgage basically just pays the rent to a lender and the government. Homeowners do not always understand the terms of their loans and can make decisions that will not benefit them in the long run as they often live cashless or on credit due to the obligation to pay their mortgage.
Car debt Financing or leasing a car seems like a good debt and is a necessity for most Americans. However, these are a great way to get into high-interest debt, leases often have fees and mileage limits and do not serve creditworthiness, although they are often touted as “good debts”.
Eze has developed a system to help clients get out of debt called The GOOD Program (Get Out Of Debt), which teaches clients how to get debt free in less than 9 years. This system includes mortgages, student loans, credit cards, and auto loans with no extra money being spent. Eze shows them how to pay off their debts, save thousands on interest and save money for the future, and how to use their money to capitalize on investment opportunities.
Eze is an asset strategist, author, financial planner, and founder of Largo Financial Services. Eze recognizes that there is a void in the way people view debt and the advice and guidance of financial planners. He works with clients on an individual basis to help them understand how debt works and then creates a plan to get out of debt and avoid it. Find out more on his company website, https://largofinancialservices.com.
Published June 25, 2021
source https://collegeeducationnewsllc.com/douglas-eze-founder-of-largo-financial-services-breaks-down-why-debt-is-crippling-middle-income-america/
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