A (Lucrative) Credit Card Debt Story

How I make money leveraging strategic debt

When I left my (well paid) salaried job to reinvent myself as entrepreneur and writer, it took some serious financial strategizing.

Not only did I stop receiving a steady paycheck, but also had to start paying the costs of running a business and buy family health insurance out-of-pocket.

Needless to say, it was a major financial transition for my family.

It was not a great time (2 months after my exit) to learn the tenants in our first-home-turned-rental-property were leaving, resulting inevitably in a few months of lost rent and the cost of maintenance/repair work in the house before we could re-lease it again.

One very necessary project was new flooring, that would run about $10,000. Since our reserves were built up to supply cashflow in our new income transition, still in its infancy, it would not have been strategic to use $10K out of savings in one fell swoop on rental property flooring.

Nope.

Instead, I opened a 0% promotional credit card and paid for the $10,000 in work.

Credit cards get a bad wrap. But the problem isn’t the credit cards; it’s paying the high interest associated with them.