I’ve been broke, I’ve been real broke, and less than two months ago I found myself INCREDIBLY broke. I mean, just a few pennies in my checking account, zero in savings, and completely maxed out credit cards (4 credit cards to be exact), BROKE. The night it finally hit me, I couldn’t sleep. I was having a major panic attack. I had hit Rock Bottom. Over a decade of being fiscally irresponsible finally caught up with me, and it was not pretty.
The following day I decided to face the music. I had no idea what my total debt was, but I knew that if I was completely maxed out on all my cards, it was not going to be good. I opened up Excel and added it all up. Even though I didn’t want to know the truth, I had reached a point where I didn’t have another option. I titled the document ‘financial budget’, although I had no idea what either of those words truly meant. I created a column for credit card company name, and one for total balance. I logged into each of my four credit card company websites, and added one total after another. It went a little something like this:
American Express – $10,839.45
Mastercard – $4,533.39
Chase #1 – $2,066.29
Chase #2 – $11,618.44
That comes to a whopping $29,057.57. And as if that weren’t enough to send me straight to the emergency room – there was also the two personal loans I had taken out. I added those in to get a clear picture of how deep the whole in the ground actually was.
Loan # 1 – $6,025.87
Loan #2 – $11,426.70
So there it was. $46,510.14. Only 31 years old and over $46 THOUSAND DOLLARS in debt. The questions started rolling in.
How in The H*LL, did this happen?
How did I allow it to get this bad? I mean I knew it was bad, but never imagined that it was THIS bad.
And all for what? What exactly did i spend so much money on?
But even more importantly, now that I am here, how am I ever going to be able to get myself out?
I decided right then in there that I would need to completely overhaul my life and change practically everything about my relationship with money.