is on sale this month for $100, isn’t it? I know, I know, don’t wanna spend… Many of the files from the FPU course are in the files section. (You ARE allowed to share them, but not for a profit)
I am listening to the 3 hr down load each and it is a great motivator. I have started to do the budget but have not gathered all my number together-very scary to me but needs to be done. I am of course trying to cut down on the money going out and was not …View full post
are the books you want to start with. I’ve heard Mark say on his show that TMMO is the how and Financial Peace is the why I also highly recommend listening to his show (I listen online, it’s free at paydayloansfloridaonline.biz) to keep motivated and to really get a feel for what he’s teaching. If …View full post
Communitcation and working to show you have intent to pay it off is the first step. Call and see, let them know the situation. Dave always says to focus on the 4 walls… house, food, utilities, clothing … first and rest of the payments after you are caught up on those. Plus getting the emergency …View full post
A little bit more about our situation is we lost everything (ran up all this debt) a few years ago on a bad real estate deal combined with a medical expense. We sold our house at that time for a big loss and really don’t have too much left to sell! The debt we have …View full post
I am listening to the 3 hr down load each and it is a great motivator. I have started to do the budget but have not gathered all my number together-very scary to me but needs to be done. I am of course trying to cut down on the money going out and was not sure if I wanted to spend almost $ 200 for the home study if I could get around it.
are the books you want to start with. I’ve heard Mark say on his show that TMMO is the how and Financial Peace is the why I also highly recommend listening to his show (I listen online, it’s free at paydayloansfloridaonline.biz) to keep motivated and to really get a feel for what he’s teaching. If you can save up, you can purchase the Home Kit and it’s the same thing as FPU, you just watch the DVD’s by yourself instead of with a class.
The first thing I would do (my opinion) is to go to Marks’s website and download the free budget form. Then do a detailed budget and work on it for a few months to figure out where your money is going. I am personally still working on this after following Dave for several months … I love making budgets but have a really hard time actually following them 😉
Good luck and welcome
Communitcation and working to show you have intent to pay it off is the first step. Call and see, let them know the situation.
Dave always says to focus on the 4 walls… house, food, utilities, clothing … first and rest of the payments after you are caught up on those. Plus getting the emergency fund in place before starting to hit the payments hard.
Also stop all borrowing, just don’t do it. THat’s been the tough part for my husband, but he’s doing so great and it is showing in our improved financial situation.
We are so deep into the credit card madness that it is going to take us 3 to 4 years to get the credit cards paid off.
A little bit more about our situation is we lost everything (ran up all this debt) a few years ago on a bad real estate deal combined with a medical expense. We sold our house at that time for a big loss and really don’t have too much left to sell! The debt we have is not new, it is the same principal we have been carrying around for 3-4 years making minimum payments (that’s all we could afford) and just spinning in circles with it. I finally decided to give it all to CCCS and stopped making payments. Now I have changed my mind and wish I would have never quit paying on them! oh well, can’t cry over split milk!
I work a full time and a part time job and my husband is supposed to be getting a raise of about $100 a week in the next couple of weeks so IF that comes thru it should really help us.
My biggest obstacle on budgeting is groceries. So if anyone has any ideas or link for cheap meals I will gladly take a look! LOL I have 2, 6″4, 200 lb teen aged sons who can eat me out of the house! LOL I am embarrassed to say I spent close to $300 on food (including dog food, toiletries, school supplies etc.) last week. I just checked into angel food and the closet location is about 25 minutes away but I think I can more than save the $5 in gas it takes to get there. So I am going to get an order in for Nov and I think that will really help.
I am feeling really motivated already! A couple days ago I thought there was no way out and now I am seeing that just maybe there is a light at the end of the tunnel!
Yes! There is hope for you. It’s a bad idea to call one of those consumer credit counseling places. You are treated just as if you filed for a bankruptcy, you also have to watch and make sure that they are paying the creditors as agreed. I’ve heard a lot of issues with this. The thing about Dave to file bankruptcy is really not moral. You made the bills – so unless you are sick, some family emergency, unemployed, underemployed, about to lose your home, be on the streets etc. You made the bills, so you need to pay them.
Lots of folks have done it and been in worse situations. I would suggest that you only call the credit card companies when you are ready to make a serious deal. You can’t tell them one thing this week and not stick to it. They can call the entire debt due at anytime. Read the fine print in your contract. So unless you are serious and able to stick to a plan then don’t call them.
Following the Dave Ramsey way – the first thing you need to take care of is your 4 walls. Food. Rent/mortgage, lights, gas etc. You pay those FIRST before you even worry about paying anybody else. Get the Total Money Make Over book, he has letters in there that you can send to your creditors. Why and how did you get behind? Was there some kind of emergency? Divorce? Change of job? Change of income? Medical etc? Had this changed? These are all things you need to ask yourself so that you can decide which method and how to go about attacking your debt.
One thing I have learned over the years is that communication is VERY important. Keeping in constant contact with those you owe money to is always the best thing to do.
My suggestion to you is:
Keep paying the bills that you are not late on
Figure out your budget and how much you can pay toward each of those bills you are late on.
Then call them and negotiate. However what ever arrangement you make with them be sure to stick to it and don’t be late or all bets are off with them.
At one time I was late on so many bills and had so many late fees it was like having a whole new bill I called “THE LATE FEE BILL!!” Eventually we caught up on each of them one bill at a time. As one gets caught up your new “LATE FEE BILL” will start to shrink. Eventually I did not have anymore late fees and was able to take the money I was spending on the “LATE FEE BILL” and put it toward paying off my smaller debts. I think it took me almost a year to get caught up.
I understand that sometimes it looks like you will never get out but as you get caught up one bill at a time you will start to see the light at the end of the tunnel.
Remember, One day at a time, One bill at a time.
Hope this helps
It will not be easy.
You will need a lifestyle change.
It is an entire family effort.
You have to admit ALL of it to yourself and family.
1. List all the debt $ amounts.
2. List all the asssets $ amounts.
What can you get sell? Everything from books to cars. If you can sell it at a garage sale, in the paper or online DO IT NOW.
Call your creditors, tell them what is going on. Propose a plan. can they stop the late charges? reduce the interest? DO NOT USE ANY MORE CREDIT CARDS……EVER!
Any other ideas folks?
You can do it.
and have been reading the past messages of how some of you have paid off so much debt you all are inspiring! We have a huge amount of credit card debt and I was on the verge of either filing bankruptcy or going with a debt settlemnt plan (was actually going to do one of them this week). Now I am wondering if there is any chance we can get this paid off on our own? Right now we are 2-3 months behind on our credit cards and of course they are all over the limit with late fee and over the limit fees adding up fast. Do you think there is any hope for us even though we are already late? I am thinking of calling up the credit card compnaies at the end of this week and seeing if they can work out a payment plan with me.
Cash doesn’t have stipulations on it, like a gift card might, but I didn’t mention a gift card in my response…
Speaking of visa, I have an actual visa card, not a debit card, that I cannot use at a gas pump. The issuer stipulates this as a benefit to me, saying that anyone could steal my card and use it at the gas pump. If I want to use it to purchase gas, I have to go inside and sign. Personally I pay cash for gas, ie a gift card which I refill monthly. I’m not big on charging items for which I consume. I never charge food, or groceries or gas, or fast food etc. I have nothing to show for my bill at the end of the billing cycle and I don’t like that.
A gift card as you described below isn’t an actual debit card or credit card, so there may be special stipulations as to where it can be used.
I redid it as I had been budgeting 125 every other week but it had to include pullups for my daughter and a large diaper pack box for my son, over the counter medications and vitamins-when needed, all personal care items, pet items and food for 4 people and I always went over-of course some of it is all the stocking up on sale needed items. But what do you do when there is no Share or Angel food ministries where you live and most of the stuff I buy doesn’t ever have coupons like fresh fruit and veggies? I always pay the bills first then buy food so should I be doing the opposite? Cause I hate it when there is never enough food or I cant think of anything to make. (hubby wont let me cook so we just make quick things like sandwiches, soup, lean cuisine meals-I tried to plan meals but he’d rather just make something quick) We need to eat healthier but cant make anything that takes longer then 10 mins to make and he’s also really picky about his food thanks to parents that always eat fast food- doesn’t like veggies or the way things are done like I cant buy tons of hamburger meat on sale as he will not eat it if its been frozen. Help. any suggestions? I am stocking up on staple items like pasta and spices and sauces and other stuff so that I can whip up a really good lunch but not dinner. Oh yeah he gets home at 2:45pm so I cant make dinner before he gets home as he’s already home. Also does anybody have an opinion about Costco, is it worth the membership? Can you check it out without having the card?
I was like an ostrich with its head in the sand. When things got bad, I’d just stop looking at the bank balance. My credit cards were going up every month instead of down. I realized that even though I was paying on them, I wasn’t doing it consistently and I had hundreds of dollars in interest, late pmts, and over limit fees increasing my balance, not decreasing it! If I didn’t have the money to pay bills, I’d stop looking at the bank and then I’d bounce lots of checks, sometimes up to $300 a month in bounced check charges. It was ridiculous!! I couldn’t even pay the bills and then try coming up with all those charges. It was a vicious cycle.
The biggest part was that I didn’t care about ever paying off my debt. I lived for the moment and when we had money I felt I deserved to “finally” spend it. It just got worse and worse.
Finally about a year ago, I went to my husband and fessed up. We had a big fight and he was really mad. Once he cooled off, he started helping me. We setup a spreadsheet with all the bills listed. I started actually “looking” at the credit card statements instead of just the minimum payment line. I listed all our debt, whoo was it a shock! It was slow going, but the debt was going down.
paying all the bills doing all the worrying and my husband being mainly clueless to what all was going what we owe to who and what our monthly “budget” is. I told him that I had to have his input and his understanding. He has known we had a lot of bills and he knew of all the accounts — but basically he was happy to be blissfully unaware of how tight things are. He always would complain every payday if there was not enough money for the things he wanted to buy but he had refused to talk about it or help me with it. We both agree that he is too busy to do the actual bill paying and the last time we tried that we had to pay a lot of late fees because he didn’t get the bills paid on time. Anyway, it helped me a lot to put down all the money we owe, the house, the car, the credit cards and the loan. That way he could see it in black and white. On another sheet I put down the functional monthly budget.
We found out we are just barely breaking even and mainly we got the credit card debt because of lack of savings & having too many emergencies. We didn’t save and we overspent. It is a big relief that he is willing to participate in Dave’s Money Makeover plan. I expect resistance from him at Christmas time. But after initially arguing with me about starting the savings first — he now agrees and sees that is mostly why we got so much debt. We never seem to have money put aside when something breaks or needs repair. We had a water heater break, plumbing repairs, truck repairs, etc. etc., even a very expensive electrical problem with the house all this year — but the debt is 4 years worth of it so it is big. I guess I just mainly nds to participate in the budget decisions too not just leave it all up to us! After the 3rd “talk” my husband agreed to sit down before every payday with me and negotiate how it’s all going to be spent and saved. I hope yours will too.
Wow, I’m impressed with how helpful everyone is with Shannon’s predicament. I am tired of worrying about money all by myself. I pay all the bills. My DH doesn’t really know all the bills we have. I have ordered the FPU kit and have talked to hubby about getting our finances straight. He is willing to look into it, thank God! I can’ t wait to get started. I have been extremely lazy, not paying bills on time, especially if it was going to leave us slim on funds til the next paycheck. I am also terrible about instant gratification, I buy what I want…even if it’s just a cd or a scrapbook paper.
I’m no budgeteer myself, my wife’s the accountant.
I’m sure you’re software would work, but I recall Ramsey recommending doing a spreadsheet where you can see all the ins and outs of your money.
I believe he also recommends you spread your income evenly through months to figure out the budget, though I also recall he has an irregular income budget on his site, if you go into the free forms area.
Here’s our budget template if it will help.
#1. Food $200
#2. Mortgage $800
#3. Electric Bill $100
#4. Car Payment $250.00
#5. Macy’s $25.00
#6. Bank of America: $10
And your take home was $1200
You would pay: up through half the car payment. When it’s gone, it’s gone. Macy’s & BofA would just have to wait.
He also says to have a “hill & valley” account, so that on good months, you stash some extra in there, so when a bad month comes, you can meet your monthly minimums.
I’m a wife and mother to 2 ds’s that I homeschool. Dh and myself are each self employed. I work part time at home. DH is full time at his at home business also. I read Jhons book older version and slowly learning to apply it. Still overwhelmed with the big picture.
We’ve don’t have much debt but, no saving or retirement. I know this has been something on my mind for awhile to learn to not spend as much. I had a real wake up call when I was injuried and could not work for three months. Living only on dh income that had a slump in profit at the same time.
The lessons I learned was I wasted alot of money before. My business is not as profitable after being off so long and I have to live by what I learned. That said we are better off now than before so I want that to continue. Wrapped change to pay medical bills. Need to build emergency fund again.
Budgetting??? I just don’t get it. So I started writting down all extra’s I spend and the rest is organized by my computer program that show where money is spent. Even with this I still don’t get it. I think this is because the income can be $0 to $$$$’s a month . No weekly set income. I’m trying to get money a head then pay bills as they come in.
Anyone else live with up and down income never knowing what you will make that month?
I’m set for digest so it may take me a while to answer any emails.