00:00So you said you're not quite with the budget. Why is that?
00:03Because I'm bad.
00:06And bougie.
00:15Some of the pitfalls of debt management are just credit cards.
00:18Before you know it, you're, you know, $5,000 in debt, $10,000 in debt,
00:23tens of thousands of dollars in credit card debt.
00:26And so my rule of thumb for me is I have three credit cards.
00:33I have a business credit card.
00:35I have two personal credit cards.
00:39One is for emergencies and one is just for household, you know, expenses and so forth.
00:44I try and spend with cash at all.
00:46If I don't have the cash, I do not buy it.
00:49And if it is something that I want, I plan for it.
00:52If it's a big purchase, you know, or I just, you know, you go without.
00:55Until you're in a position to buy.
00:58But the credit card thing will get out of control really, really fast.
01:02So Pola, as the CEO of Clever Girl Financial, what are some tips for managing debt that you give to some of your clients?
01:10So first things first, get on the budget.
01:13Definitely.
01:14And understand the fine print.
01:16What are you signing up for?
01:17What is the interest that you're going to be charged?
01:19And have a plan to be able to pay it off.
01:21Okay.
01:22I'm not there yet.
01:24I try not to charge much on my credit cards.
01:30I try to spend cash or save or even big purchases before I put things on credit cards because I've been in the abyss before.
01:41I don't want to be there again.
01:42That's a good thing.
01:43Yeah.
01:44So it doesn't always work that way, but I try.
01:48My husband has to tell me how, because I'm so rigid.
01:52I'm very disciplined when it comes to our budget.
01:55Like I don't deviate.
01:56We balance each other well that way because I am, no, this is due.
02:01This is due.
02:02That wasn't in the plan.
02:03I should have married you.
02:04You should have married me.
02:05No, me too.
02:06Because I'm not doing too well.
02:08But I'm like, that's not in the plan.
02:11And he's like, babe, live a little.
02:13It's great you have a partner to do that with.
02:16For me, it's just me.
02:18So there's nobody, you know, checking me when I do go off.
02:23But you can, you know what?
02:24I'll be your accountability partner.
02:25Really?
02:26I will.
02:27I'll be your accountability partner.
02:28I'm a little nervous about that.
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