Denzel RodriguezFinancial Coach & Kingdom Builder

The Line of Credit Strategy That Feeds Your ATM Machine

13 Jul 2026 · 1 min

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1:27

In this segment, Denzel Rodriguez outlines a financial strategy that uses various lines of credit—such as credit cards, business lines, personal lines, and home‑equity lines—to leverage other‑people’s‑money (OPM) at a lower cost. He explains how to acquire an open‑ended, revolving working‑capital line, then either consolidate personal or business debt into that line or inject the borrowed capital into a business to generate short‑term cash flow that can exceed typical market returns. The cash flow is then cycled back into the “ATM machine” metaphor, effectively turning $1 into $2. Rodriguez also touches on tax considerations when using credit‑line debt as business capital.

Chapters

Money comes in, and by leveraging and building a good credit— once we've done that, I'm gonna have you acquire some type of a line of credit, a working capital line of credit that's open-ended and revolving. That could be a credit card to start out. It could then become a business line of credit, a personal line of credit. If you're a homeowner, it could become a home equity line of credit, first or second lien position. We're going to leverage OPM at a lower cost to borrow, and we're going to inject that capital either into debt elimination on the personal side or business side to produce more cash flow, because the rate of return on your debt oftentimes beats whatever you're earning in the S&P. Often, very often in the short term. In the short term. So if I get that short-term cash flow back into your economy, now what? You can inject that back into the what? The ATM machine, right? That's that ability to create value, turn $1 into $2. As you're doing that, we take the line of credit, either it pays off the debt, now that debt gets consolidated into the line of credit. Or I take that line of credit and I invest in my business. I inject debt into into the business, that's capital. There's tax strategy around that.