This is a continuation of the Five Steps to Financial Freedom Series, for the previous post please refer to Five Steps to Financial Freedom Step 2 – Get Rid of Unnecessary Debt Part 1 Five Steps to Financial Freedom Step 1 – Boost Your Active Income It’s been quite a while since I updated this series, so let’s have a refresher on the various debts and corresponding interest rates. This is just a rough guide and may vary from country to country as well as personal credit history. Types of Debt Instruments and Corresponding Interest Rates Loan shark Debt/ Unlicensed Moneylender / Black market Moneylender – 100%-1000% per annum Licensed Moneylender Debt – 20%-200% per annum Credit Card Debt – 20-30% per annum Personal Loan / Credit Line / Instalment Schemes – 3%-15% per annum Car Loan – 4-10% per annum (based on housing loan interest calculation, rule of thumb ......