Jul
20
There are many circumstances that can lead to debt. Some are conscious and necessary, such as student loans that act as a means to a better end with the premise that a good education is the a stepping stone to a well-paying job (unless you’re one of those tech mavens who dropped out of college and were just smarter than the rest of us).
Then there’s debt that occurs out of plain bad luck, bitter circumstances that made one wonder: why did it have to happen to me?
Frugal Babe was unfortunately one of the latter. Together with her husband, she explored different businesses to make a living. Her first, an insurance brokerage turned out to be a lemon and her second, a multimedia business saw her supplier nearly going belly up that left them with almost $18,000 worth of debt. Then an unexpected, but necessary dental procedure for her husband added another few thousand dollars. Forced to survive on credit cards they gradually found themselves stuck with close to $40,000 worth of debt.
But through careful saving and frugal living, they slowly paid it all back and made their monthly mortgage payments on time too! Now two years later, she is almost completely debt free with only the rest of the mortgage left to pay.
Jul
19
Starting a successful business is the dream of many. Heck, it’s one of ours. What could be better than doing what you love and making a living out of it? Then we came across Joel Maxwell’s story. Joel’s dream was to set up a restaurant selling his secret recipe fried chicken. Hence in August 2005, The Lazy Susan was born. It seemed to be going well, he made $10,000 in the first weekend, the future was looking bright.
Less than 90 days later, everything came crashing down. Creditors were pounding at his door demanding money for equipment, furnishings and contractor’s fees. He owed $556,848.35, 53 creditors wanted his head and his beloved restaurant was forced to close barely three months after it opened.
Faced with the responsibility, Joel decided that he couldn’t let the debt monster overcome his life, it was time to be proactive and take charge of his finances. Since then, Joel has cleared $214,007.52 in just 18 months. 18 months! We were flabbergasted when we read that. Joel, you are the man!
Find out how he did it after the jump.
Jul
18
King and Queen Paid Off $35,000 Worth of Credit Card Debt in One Year
Filed Under Success Stories | 1 Comment
Dealing with debt alone is difficult, but dealing with debt as a couple can be even harder. Yes, the wedding was wonderful, the canapés were perfect, and the most romantic vows were exchanged, “for richer or poorer, in sickness and in health blahblahblah…” They lived happily ever after. The end.
But suddenly things take a different turn. The groom loses his job and for a while the couple is forced to survive on one income. There are student loans, credit cards and a mortgage to be paid, not to mention groceries, phone bills and car insurance. Financial and emotional stress start to take its toll on the relationship and soon things are looking a little ugly. It’s a very familiar story.
Here’s a couple who did things a little differently. Self-coined King of Debt and his Queen graduated from college with over $100,000 worth of debt, the bulk of the sum from student loans. Despite working full-time jobs for four years since then, the debt continued to creep to a staggering $150,000. Together, they decided that it was time to face their debt head on and although they still have some way to go, their action plan saw them paying off $35,000 worth of credit card debt in a year!
Find out how they did it after the jump.
Jul
17
We were wondering who would do us the honor as our very first success story on We Beat Debt! It was heartening to come across so many stories from people who had faced the debt demon and overcome it (which also means lots of stories to come!), but when we chanced upon krystalatwork and her remarkable story, we knew we didn’t have to look any further.
After graduating from college in 2006, krystalatwork found herself saddled with $20,000 worth of student loans and credit card debt. Like many college students, she had gotten used to the ‘charge now, worry later’ lifestyle. It wasn’t until debt collection agencies came knocking on her door that she decided that enough was enough. And in an amazing turnaround, she cleared $17,223.10 worth of debt in 10 months and is now working towards a down payment on a condo. She’s only 24.
Learn how she eliminated debt after the jump.