Money Coach Chloé Daniels Paid Off $40K in Debt in 2 Years and Regrets It — Here’s Why
Written by
Laura Beck
Edited by
Zuri Anderson
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When money coach Chloé Daniels, who now boasts over 200,000 Instagram followers, aggressively paid off her $40,000 debt in two years, she thought she was doing everything right.
Now, she’s singing a different tune — and her perspective might just change how you think about debt.
The Debt-Free Dream Isn’t Always the Answer
“I care about building wealth more,” Daniels shared, challenging the popular notion that being debt-free should be everyone’s top priority. She’s not wrong — her current $350,000 net worth speaks volumes about her strategy.
The Double Standard of Debt
Daniels pointed out a fascinating paradox in personal finance: “Debt is something the incredibly wealthy use to leverage their money and buy more assets,” she said.
“Why are the middle class and below told a different story? It’s as if debt for the wealthy is leverage, but debt for the middle class and below is BAD.”
Breaking the “Pay Off Debt First” Rule
Here’s where Daniels really shakes things up. While conventional wisdom says to tackle high-interest debt before investing, she begs to differ.
“If you wait until all your high-interest debt is paid off, you’re missing out on time in the market,” she explained.
She noted that investors could miss quarters with returns of over 40% by sitting on the sidelines.
The Power of Both/And Thinking
Instead of choosing between debt payoff and investing, Daniels advocates for a balanced approach.
“It doesn’t have to be all or nothing,” she said. “You can do both. You can find a balance to find what works for you.”
The Real Cost of Waiting
Perhaps most compelling is Daniels’ personal example.
“If I had waited to be debt free to start investing, I’d be starting from zero instead of the $350,000 net worth I currently have,” she shared.
That’s some serious food for thought.
The Bottom Line
Daniels finishes with something we all ought to keep in mind: “Your debt does not define you. And it does not have to hold you back from building wealth.”
She wants everyone to run the numbers on opportunity costs before committing to aggressive debt payoff strategies. According to her, it just makes sense.
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