7 Quotes that Can Put You on the Path to Good Credit
Have you ever read a quote that made you stop? Perhaps it was so powerful, that it forced you to pause and ponder of its meaning? Maybe you were going through some tough times or about to make a major decision. And just at that moment where you thought you’d break, you read some wise words online, in a book or heard them from a friend or family member. For those of you looking to improve your credit, there are some great quotes from the wise men and women in the financial world. And they have value for all people in all sorts of financial situations.
1. “I’m not against emergency funds, but I do feel that $2,000 to $3,000 is much more realistic than $10,000. If you’re afraid that an expensive emergency looms in you future, establish a $10,000 credit line at your bank.”
David Chilton
Businessperson, author, T.V. personality
Putting up a substantial amount of money for emergencies may seem like “overkill”. But not doing so can actually work against you. If you don’t have relief money in emergency situations, you might have to dig into your savings and other funds to take care of your family. And that’s something you don’t want to do. At the same time, you need to be realistic. If you think that you can only survive an emergency with tens of thousands of dollars, you will set yourself up for a strained budget and frustration.
So aim for an achievable range. An emergency fund works as a lifeline, yes, but it shouldn’t be the focal point of your earnings and savings. If you think that your family is in serious danger from an emergency, it’s better for you to establish a $10,000 credit line at the bank.
2. “It’s not how much money you make, but how much money you keep, how hard it works for you, and how many generations you keep it for.”
Robert Kiyosaki
American investor, businessman, self-help author
Robert Kiyosaki, author of the famous self-help book, “Rich Dad, Poor Dad”, knows a thing or two about the importance of having assets. And his quote makes perfect sense. There are people out there making a “killing” in terms of income, but are still buried under blankets of debt. So what happens, is that they end up having to pay pay pay, keeping very little for themselves. The opposite is also true. There are those who don’t have the highest incomes, but still enjoy their money because they keep more of it. So don’t focus so much on your income, but rather, how much of your income is disposable.
3. “Run your household like a business and manage your finances like a bank! The lack of money is not our problem it’s the mismanagement of life holding us back from maximizing our earning potential.”
Mark A. Wingo
Author of Wingonomics, Creator of Get Your PhD in Wingonomics and President and CEO of New Beginning Financial Group, LLC
This is a quote that belongs on every refrigerator in the world. It’s easy to assume that financial 
problems come from not having enough money, when the reality is that it’s what we do with money that’s the issue. If you spent $1000 on parties and “nights-out” a month, paying your rent might seem like a really tight squeeze. But if you cut that expense in half, you’ll find it easier to pay for rent and you’ll resent the landlord less. That’s why budgeting is essential. It’s like building a map that allows you to see your money, and where it should go. If you find it to be a tough task, technology is there to help – there are many apps that can turn you into a budgeting machine.
4. “Frugality isn’t about cutting your spending on everything. That approach wouldn’t last two days. Frugality, quite simply, is about choosing the things you love enough to spend extravagantly on – and then cutting costs mercilessly on the things you don’t love.”
Ramit Sethi
Author of I Will Teach You To Be Rich
You want to know why most of us find saving hard? Because we make it difficult. We assume that saving means relentlessly cutting things out of our lives. But that isn’t the case. You can save without depriving yourself, as long as the money takes care of the things that matter most to you. It goes without saying that you should take care of the essentials first (ie. food, clothing, shelter, kids).
But if you have a special hobby or interest that you are truly passionate about, you can spend a little more on that thing, while spending less on the things you don’t regard as highly. Love to travel? Make room in your budget so that you can take more trips, while cutting down on something like gas and car expenses (take public transit more). Or if your passion is fashion, you might spend less on movies and expensive dinners, so the wardrobes you want are affordable. It’s really all a matter of rearranging.
5. “You don’t have to start big… small steps over a lifetime really add up. Start funding your emergency fund with $10 a month, start investing with $50 a month. It is more important to get going than to wait for the big amounts of cash!”
Andrea Travillian
Personal finance expert specializing in money management basics and beginner investing.
Saving for retirement, rainy days and investing in general just seems daunting to most people. Again, it’s all about how the majority of people approach it. Look at it this way: If you swiped your debit card for coffee and donuts here, a pack of gum there, a pair of shoes on sale at H&M, or an SD card for your phone, it might not seem like a whole lot. But those little transactions when added up can surprise you, and that usually doesn’t end in a smile (o:). The same is true when it comes to saving. The $10 bills you throw away at the convenience store, if saved on a regular basis, can lead to a surprising savings balance in the future. So don’t squander them!
6. “Live under your means. Know exactly what you earn each month and spend less. That’s a step beyond living within your means. Take responsibility and choose where your money goes, instead of being influenced by whims, advertising, habits or peer pressure.
Kevin Gallegos
National consumer finance expert, vice president of Freedom Financial Network
Spending less than what you’re actually able to do is admittedly tricky. There are too many distractions
and influences out there, all of which encourage you to spend more than what you really need to. You’ve got advertising, personal desires, friends, and family members all persuading you to buy stuff. With that said, not all of it’s necessary. Wouldn’t you agree that saving your money for purchases that actually matter is much better than splurging on things you don’t need? That’s where the principle of spending less than your means comes in. The benefit of adopting this mentality is that you’ll set yourself up for having more money at your disposal, whether it’s to pay off your debts or add to your savings. In other words, living under your means is a win-win situation.
7. “Know you want it, then wait for wholesale!”
Joann Farley
Instructor at Online Trading Academy
Has someone ever called you a cheapskate? Well if you have received that label, don’t be surprised if those same people have higher credit card bills than you! If you’re more of a big spender, learn from the cheapskate. You don’t have to pinch every penny you have, but you shouldn’t hesitate to take advantage of discounts, sales and promotions taking place at your favourite retailers. To save even more, take trips to outlet malls/stores that offer products at reduced prices. There’s nothing wrong with wanting a particular item or brand. But you shouldn’t have to empty your wallet on such purchases, especially when there are means and ways of getting them for less.
A Wealth of Wisdom in Just a Few Words
You’re never too old, too young or too experienced to hear financial advice. The reality is that all of us can improve our financial situations, and even the gurus mentioned above still need mentoring and coaching at times. The beauty of the quotes mentioned is that they’re not overly philosophical, mystic or confusing. They’re simple yet practical. In fact, you’ll probably notice that some of them emphasize the aspect of balance, and not having to make ridiculous sacrifices for financial flexibility. So whenever you feel overwhelmed or it seems like you’re veering off track, don’t hesitate to come back to reread these quotes. They might just be the perfect “pick-me-up” for the moment.
