How To Eliminate $500,000 of Debt as a Physician
Whether you are going for public service loan forgiveness or looking to pay down your mortgage, Dr. Cory Fawcett has some great insights on how to tackle all of your outstanding debt. We discuss how he went through a major mindset shift that allowed him to crush $500,000 of his own debt in less than 6 years. I appreciate his honesty and openness of how he incorrectly approached his own debt early in his career and how he was able to right himself and eventually eliminate all of his debt within 6 years.
Dr. Fawcett has authored several books and it ends up that we discuss one of his books in detail during our conversation. If you have a debt of any kind, you really need to purchase his book, The Doctors Guide to Eliminating Debt. Dr. Fawcett is relatable and gives the readers an amazing overview of how to go about eliminating your debt.
What You Will Learn in This Show:
- How to recognize bad advice – stockbroker, insurance salesman, tax preparer, advisor paid on total portfolio assets (AUM) and then the unbiased advisor (flat fee only planners).
- How to eliminate debt even if you are going for public service loan forgiveness.
- Conflicts of interest between those giving advice or selling products.
- Your home is a liability, reasons to pay it off early.
- 15-year mortgage vs 30-year mortgage and a physician mortgage loan – how much is that extra interest really costing you.
- A good example of what the debt snowball approach is and why you would use it.
- Unconventional thinking that being debt free other than your home is, in fact, not being debt free!
- How he paid off over $500,000 of debt in under 6 years!
- His quick tip on not leaving any free money on the table.
- Our views on if physicians should rent or buy a home in residency.
If a physician wants to be debt free, what are some steps they can take if they just finished training? How would your advice differ if they are 10 or more years into their career? Would it differ if they were going for public service loan forgiveness?
Don’t forget to:
- Join the Financial Residency Facebook Community and join hundreds of physician families take control over their household finances.
- Leave an iTunes review!
- This episode is part of the Student Loan Debt Movement, which is encouraging and inspiring people to take action on their student loans. Check out the Student Loan Debt Movement Leaderboard and submit your total debt eliminated today!