The video provides high-value, actionable financial education that solves a common pain point, building trust before introducing the product as a tool to implement the strategy.
Summary
The creator explains a debt repayment strategy called 'micro payments' to pay off debt faster and save on interest. She uses a handwritten example to compare the cost of paying only the minimum versus adding small weekly payments, then directs viewers to her 'Debt Payoff Tracker' in her bio.
Structure
1Hook: The problem of high interest and long debt payoff times.
2The math: Comparing minimum payments vs. the 'micro payment' strategy.
3The result: Showing the significant savings in time and money.
4Social proof: Creator shares her own success with the method.
5CTA: Directing viewers to her Debt Payoff Tracker and asking for comments.
Product placement
The creator mentions and promotes her 'Debt Payoff Tracker' which is available via the link in her bio.
Original caption
I paid off 7 CC’s worth 30k debt in 1/4th the time with this method #debtpayoff #debtfree #financetok #financiallyfree
More from @tessaxlarson
More breakout videos from this creator.
Call to action
Grab my Debt Payoff Tracker at the top of my page
On-screen text
How to pay less for your debt & pay it off faster
Hold here to Watch in 2x
10,000
@ 28% Interest
Fixed payment of min.
334 / month
233 -> Interest
101 -> Principal
52 months to payoff
4.33 years
Interest paid overall:
7,367.03
Overall repaid:
17,367.03
micro payments + minimum
334 min
+ 25 / week
434 / month
34 months to payoff
2.8 years
Interest paid overall:
4,521
Overall repaid:
14,521
By paying an extra 25 / week
Payoff 19 months faster + save
2,857
Grab my Debt Payoff Tracker at the top of my page
Transcript
I'm going to show you how to save thousands of dollars while paying off your debt and how to pay off your debt in a fraction of the time and this takes literally like little to no extra effort. For this example, we're going to say we have $10,000 worth of debt and that debt has a 28% interest rate. Let's go over what most people do and how they pay their debt off. So if you have a $10,000 balance at a 28% interest rate, your monthly minimum is going to be about 334 and how we get this number is 28% of 10,000 on average throughout your loan payoff is going to equal out to about 233 a month in interest and 1% of your balance will be paid towards principal and that's where we get $101 and that's how we get 334 a month. Of course, this varies as the balance lowers. But this will take you about 52 months to payoff or 4.33 years if you're making a fixed payment of the minimum every single month, which is how most people pay their debt and what we don't want to do because we're going to be paying heaps in interest and interest is how the banks get paid and they charge us a lot of interest which is criminal but is what they do. That's how they make money off of us. That's how they keep us in debt. So, if you only pay the minimum over the 52 months paying off this debt, you will have paid an additional $7,367.03 just in interest. Your overall repaid is not $10,000. A lot of people think you borrow $10,000, you pay back $10,000. Wrong. You borrow $10,000, you're paying the bank extra money. So overall by the end, said and done, you're paying $17,367.03 to borrow that money. This is how most people repay their debt. This is not how you want to do it. This is going to keep you in debt much longer and it's going to cost you thousands of dollars more by the end of your loan if you're only making the minimum payment. So let me show you how to get out from underneath of this so you can pay this off faster and save thousands of dollars in interest. What you're going to do instead is micro payments plus your minimum. So what does this look like? Your minimum payment of 334, we're still going to pay that. But what we're going to do is we're going to put $25 a week towards your principal or towards your balance and an extra payment. What does this do? This tackles your daily compounding interest, so that way you are paying less interest over time and it's going to cut your payoff time down. So in total per month, it's only an extra $100. You're paying 434 a month. But I like breaking it up weekly. One, this has a higher impact on your daily compounding interest and it makes it easier to budget. So, let's see the difference. By making just an extra $25 a week, this is going to cut your payoff time down from 52 months or four and a half years down to 34 months, 2.8 years. See that drastic difference? That's insane. Interest paid overall is only 4,521. Still a chunk of change, but that looks a lot better than 7300, right? You're saving a lot of money. So overall repaid by putting an extra $25 a week, you think, well I'm paying extra money, you're really not. By making 25 extra dollars payment a week, you are saving $2,857 in the long run. So your overall repaid is only 14,521. Isn't that crazy to see how a small micro payment can have such a big impact, save you years of time and thousands of dollars repaying your debt. And yes, this actually works. I used this exact method to pay off seven different credit accounts and $30,000 worth of debt in a fraction of the time and saved thousands of dollars using micro payments to help me pay off my debt faster. Banks don't teach you this because they don't want you to know this because they make more money off of you if you only make the minimum payment. Grab my Debt Payoff Tracker at the top of my page. If you have a debt balance that you want me to use for my next example and show you how to set it up for micro payments and what that payment structure would look like and show the difference between only making the minimum and making the payments this way, put your minimum payment, your interest rate and your loan balance in the comments and I will make an example video with your balance next.
