Getting out of debt/Dave Ramsey

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amother

Saddlebrown

Sat, Jun 30 2018, 11:28 pm

We are well over $100G in debt mostly from a failed business and some CC’s. My DH also borrowed a lot of $ from friends/acquaintances and were just not able to catch our tails. We make enough $ monthly Bh to cover our basic budget, nothing extravagant we don’t go on vacations, eat out, shop expensive clothing etc but because we have so much debt we need to use the $ from our monthly income (that should be going for regular bills/tuition) to cover the costs of the cc and other companies we owe $ too. I’m willing to help my husband and we are both ready to get out of this but how?? We are looking into purchasing the Dave Ramsey program but I’m a bit skeptical if it’s legit.
If you have ever been in our shoes, had debt like us please tell me there is a light at the end of this tunnel and share how you got out of it.
TIA

jkw

Sun, Jul 01 2018, 12:07 am

go to KOSHER ON A BUDGET. Her ideas are based on Dave Ramsay's but tweaked for a frum family. Yes, it works. Hatzlacha!

baby12x

Sun, Jul 01 2018, 1:35 am

Just get the book from the library and read it
You don’t need to purchase anything yet
Read the book and see if it works for you and start putting it into action

amother

Babypink

Sun, Jul 01 2018, 3:29 am

Google his baby steps. I don't think there is any need to spend money on anything. Basic concept is working as much as humanly possible, even taking low wage jobs when possible and throwing it all at your lowest debt while paying the minimum on everything else. Then when you pay off the smallest debt you take everything you were putting to that and throw it at your next smallest debt.
It definitely works because it's a plan and setting your mind to get it paid off, but realistically speaking if you can have the same mindset and drive it probably makes sense to pay off the highest interest first. His way you get the satisfaction of one loan paid off. This way you end up paying back the least amount.

amother

Magenta

Sun, Jul 01 2018, 4:26 am

Why not go to a bankruptcy attorney and get rid of the debt you can? Personally, I wouldn't get rid of friends and family debt. If you don't qualify for liquidation, you can reorganize your debt and have breathing room.

amother

Gold

Sun, Jul 01 2018, 5:12 am

Try calling money management international. We had Over 20k on one cc and they negotiated a better deal for us. The card is closed now and we are paying $350 a month for 3 years to pay it off. We never would have paid it off otherwise because you end up getting by the interest.

It’s the best feeling to not be strangled by your debt!

Good luck!

amother

Magenta

Sun, Jul 01 2018, 5:19 am

amother wrote:

I like bankruptcy because often it can make credit card debt gone. OP should see an attorney for her options.

amother

Sapphire

Sun, Jul 01 2018, 5:19 am

in terms of declaring bankruptcy and still paying back family and friends you might want to read this first- http://www.natlbankruptcy.com/.....ptcy/
Good luck op!

amother

Silver

Sun, Jul 01 2018, 7:35 am

Buy the book and read it before you purchase any programs.
You can also download his free EveryDollar app to make your monthly budget and work on getting rid of debt.

amother

Khaki

Sun, Jul 01 2018, 8:46 am

I’m a huge Dave Ramsay fan. I listen to his podcasts on my drive to work. I watch his YouTube videos at night with dh. He isn’t just about getting rid of debt - it’s a lifestyle and dh and I really have internalized his approach. also, the millionaire next door is a good book to read.

amother

Mint

Sun, Jul 01 2018, 1:58 pm

amother wrote:

My husband wanted to comment on this: He agrees with the comment above. The problem with Dave Ramsey is that he doesn’t deal with generating income. Somehow, it’s necessary to figure out how to make more money. You can only cut so much.

Bankruptcy is a last resort. It will hurt your credit for years and make it virtually impossible to get a home loan for even longer. It can even hurt future job opportunities depending on your field of work. For $100k, you should be able to find ways to make more money and pay it off.

shanie5

Sat, Jul 07 2018, 8:25 pm

Try reading "The Garden of Riches" by Rabbi Shalom Arush (same author as In the garden of emunah.)

amother

Saddlebrown

Sat, Jul 07 2018, 10:32 pm

Thank you everyone for your suggestions/replies. We actually wanted to file for bankruptcy a few years ago but our accounted said not to do this as it will hurt us in the future when we are ready to buy a house and if will need any type of loan it will be harder to get. Plus you need to wait around 7-8 years till you’re in the clear. I took out Dave Ramsey’s book from the library and let’s hope we can get past this quick.

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