So, after lots of filtering of piles, files, and stacks here is my current "Truth" of where I am right now, it's pretty painful: Most are all very past due.
Student Loan: $54,069.63
Mortgage Payment (past due/working with bank): $6000
Mastercard: $16,751.56
American Express: $2,179.48
Discover Card: 1958.78
Orchard Card: $ 1000
Care Credit: $1000
Home Depot: $911.71
Skin Care: $45.89
Hospital: $ 884.99
Citi Card: $1,200
ADT: 130.30
Phone: $366
Electric: $494.52
Gas: $962.79
TOTAL:$ -81,589.65
I am sure there are a few left out, but this is what I confronted today and seeing it written down is shocking. This didn't happen overnight though. I just let it get out of hand. The mastercard and home depot cards went toward our house, which is still draining money from us due to lots of fixing that is still needed. I guess I'm like the house, lots of fixing needed, but no finances to back it up. However, I did read a mother's blog about how she was $-93,000 and got out in 3 years, which gives me hope. I want this to be gone in less than 5 years. I ordered a ramsey book (didn't pay, had some amazon dollars left)and heard that his snowball debt paying method works. So what I can do now is take action...I'll find a phone DA to call this week. I'll cut out any other extras that I haven't cut out, meal plan/cook in bulk, sell anything that I am not using or donate it for the tax credits at least. I'll keep tabs on everything that I buy. For the first time in my life I want to stop hiding, stop being frightened by my fears, stop using food and money to fill the void and to start healing. I don't want to blame my parents anymore for not teaching me about money. I will now have to learn what they failed to teach and pass it to my children. This will be the toughest financial journey I have ever faced, but the thought that one day I can experience not oweing anyone/credit and being financially free out weighs the current fears I've had. Wow, getting the truth out was somewhat painful, but relieving at the same time. I now get to focus on the actions that are needed now and not just the numbers getting higher.
My total debt to be owed...my current truth
February 4th, 2011 at 04:09 am
February 4th, 2011 at 04:26 am 1296793562
Many have been and still are in debt, and they are living proof that success does come from consistent small steps and knowing what your priorities are, financially and for your life. Good luck and stay the course!
February 4th, 2011 at 04:28 am 1296793693
February 4th, 2011 at 04:53 am 1296795220
I think you've made a good start in trying to confront things. I know your debt seems insurmountable right now, but there really is a way out. Snowballing is as good a method as any.
February 4th, 2011 at 05:06 am 1296795963
One thing that really helped me was (if you read through some of my old posts) I posted EVERYDAY and listed EVERYTHING I spent that day. I kept all my receipts, categorized it and if I didn't get a receipt, I wrote it on a piece of paper so I would'nt forget to list it. At the end of each month I would total each category up and then try to beat the number the next month. Try it!
February 4th, 2011 at 06:09 am 1296799749
February 4th, 2011 at 12:18 pm 1296821916
February 4th, 2011 at 02:11 pm 1296828702
February 4th, 2011 at 02:25 pm 1296829544
And congratulations on taking the big step and facing your debt. I have some debt also, and hoping to be gone with it (other than my mortgage) within the next 12 to 18 months.
February 4th, 2011 at 02:42 pm 1296830556
Jerry
February 4th, 2011 at 02:44 pm 1296830693
Looking forward to following the journey OUT of debt! It is good to know what your starting point is.
February 4th, 2011 at 04:53 pm 1296838395
I like Mint.com for budgeting, but you can use some other software or pen and paper. Whatever works for you.
February 4th, 2011 at 05:13 pm 1296839626
February 4th, 2011 at 05:32 pm 1296840770
February 4th, 2011 at 05:57 pm 1296842271
February 4th, 2011 at 11:57 pm 1296863854
My name is Beth and during the number sharing time you can speak up and ask for my number and I will be glad to give it to you. I try to be there every morning as it helps me remember to keep my resolve not to spend just for that ONE day. It truly is amazing how things will improve in your life just with the simple act of carrying around a little notebook or scrap of paper and writing down everything you spend and also not charging anything. In just over a month of doing this, many different things about my life are straightening out...it's truly amazing how God starts giving us a helping hand (or whoever you choose to be your higher power). Bless you. You are so not alone.
February 5th, 2011 at 12:05 am 1296864330
February 5th, 2011 at 03:22 am 1296876135
February 9th, 2011 at 04:32 am 1297225950