Philosophy No. 2-Families and individuals have a desire to consume available cash. Because of this desire to consume, they will spend any extra cash if they perceive they have it. If they don't have it, they find a way to "create" it. This is evident by the debt-consolidation and refinancing market. Eighty-five percent of people who take out a debt consolidation loan or refinance will return within two years to do it again.

After lowering monthly payments through refinancing or debt consolidation, the very first thought is usually "how can we spend it?" Before the individual knows it, there's a new car in the driveway, new home furnishings, or a newly planned vacation. Most people have a psychological spending limit and will do almost anything to spend to that limit. Therefore, the program must work without creating the feeling that extra cash exists.

Philosophy No. 3-Discipline is perhaps the most important ingredient in achieving financial success. If left up to the family or individual, most would probably never get themselves out of debt. The common phrase in America is "life happens" or "everything will work out on its own." If families have extra money, it is likely to be spent on something other than debt reduction. If they do happen to pay a little extra, it is sporadic at best, and will do little to reduce the amount of debt. Thus, the program must consistently apply additional principal payments month in and month out.