Minimum Payments — the silent wallet-killer
Paying only the minimum on your credit card balance might look responsible — “I didn’t miss my payment!” — but interest is quietly compounding in the background. You can end up paying 2–3× what you originally owed.
Better way: Once your basic emergency fund is set (about $1,000 for starters), attack your debts using the debt-snowball or avalanche method.
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Snowball: Start with the smallest debt first for quick wins.
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Avalanche: Focus on the highest-interest debt first for faster savings.
Either way, automate your payments so progress happens even on autopilot. You’ll be shocked how fast your “forever debt” turns into free cash flow.
Skipping Insurance — saving pennies, risking thousands
Insurance is the least glamorous line in any budget, yet it’s the one that protects every other line. Skipping it might save $100 today — until life throws a $10,000 surprise.
Cruze warns that many people drop coverage during tight months, only to regret it later. Health emergencies, car accidents, and property loss can wipe out years of savings.
Better way: Do a quick Coverage Check-Up once a year. Shop for better rates, bundle policies, raise your deductible slightly if it lowers premiums — but never go without protection.
Insurance isn’t fear; it’s strategy. It buys you peace of mind so your money goals can grow uninterrupted.
Get-Rich-Quick Investments — the shiny bait
When TikTok or Reddit swears a new coin, stock, or “side hustle” will double your money overnight — take a breath. Most of those schemes rely on hype, not fundamentals.
Cruze calls it what it is: gambling dressed as entrepreneurship.
Better way: Invest for freedom, not adrenaline.
Start with your workplace 401(k) or an IRA, focus on low-cost index funds, and set up automatic monthly contributions. Long-term consistency beats any viral coin every single time.
In short: build wealth the boring way — because boring compounds.
