You’ll Definitely Learn a Lot From This Writer’s Story About The Best Piece of Debt Advice They Just Didn’t Take
One of the most common financial struggles that people face is having and managing various kinds of debts. And with the rising costs of education, housing, and childcare, many find themselves needing to take out loans to be able to better afford these necessities. Writer Ashley Abramson and her family are no exception.
Despite their household benefiting from her husband having a well-paying job, they were still saddled up with about $100,000 in debts including their credit cards and student loans. It even came to a point when they were paying several hundred dollars a month in interest alone as they tried to make a dent on their debts. That was when a friend of their friends recommended that they get in touch with a certified financial planner (CFP).
They eventually set up a meeting with the finance expert and consulted with him at their home. They honestly laid out their situation and told him about their debt problem. Abramson remembers being quite nervous about the meeting as she expected that the planner would advise them to do something drastic like stop putting their kids through daycare or even sell their house.
In the end, though, she was surprised about what he came up with. The CFP actually told them to open two more credit card accounts on top of the ones they already have. He had some stipulations though.
Abramson’s account to be a 0% interest one while her husband keeps another one. They were also recommended to transfer all of their interest-accumulating balance to these new accounts so the couple could pay what they owe in a year.
Straying from the Plan
While Abramson and her husband actually followed through and found the best 0% interest cards on the market, they ended up not completing the plan. Their goal to pay off all their debt in 12 months didn’t pan out due to a variety of reasons like spending out of their budget and needing to pay unexpected bills.
Looking back, Abramson now realizes that she should’ve consulted with the CPF again as he could’ve given them useful advice on coming up with a strict budget. In the end, she and her husband were left with higher interest to pay off when the rates drastically rose eventually.
Fortunately, they managed to pay off a good chunk of their credit card debt after two years.
This was thanks in part to their household’s increased income and the fact that one of their kids has grown old enough to enter kindergarten and doesn’t need daycare anymore. This alone slashed $600 a month from their list of expenses.
More in Inspiration
Crystal Hefner Has ‘Removed Everything Fake’ From Her Body and Refreshed Her Social Life
Hugh Hefner recently took to her Instagram to announce that she was undergoing a massive health transformation. She announced that she...January 17, 2022
Americans Say the Television Home They’d Most Like to Move Into is Fresh Prince of Bel-Air Mansion
Ever since the advent of sitcoms Americans have had a longstanding love for their favorite television shows. Loyal fans have grown...January 8, 2022
Asking $295 Million, Bel Air’s ‘The One’ Mega-Mansion Is Finally Slated for Auction
The 105,000 square foot mansion, also known as “The one” is to be set up for auction this coming February. The...January 3, 2022
‘1883’: All you need to know about the latest ‘Yellowstone’ Prequel Series
After Yellowstone‘s remarkable successful season three, Paramount+ announced a prequel series over the Dutton family and their origins in Montana. Coming...December 30, 2021
Kate Middleton & Prince William Exchange Smiles During Ellie Goulding’s Christmas Performance
With the holiday season around the corner, everybody is busy organizing feasts and get-togethers. Some call up old friends, some check...December 27, 2021
Camilla Bowles & Prince Charles Ask People to Remember The Elderly This Holiday Season
Every year as the holiday season begins, we rush to the shopping centers and wait in long queues just to grab...December 27, 2021
Baby Mama Olivia Munn Welcomes First Child With John Mulaney
You might think that this is wholesome news and there is nothing problematic about it – but guess again! As it...December 23, 2021
Too Busy Working as a Corporate Executive to Manage Your Finances? These Are The Simple Steps You Can Take Today
Corporate executives often find themselves in an interesting predicament. After they’ve managed to put in the work to nab the high-paying...December 21, 2021
Leonardo DiCaprio Buys a $9.9 Million Beverly Hills Mansion
Leonardo DiCaprio is no stranger in the world of Hollywood – and if you don’t know him, what have you been...December 17, 2021