nothing seems to work...

**strwberri** · 07-24-2006, 06:01 PM

Re: nothing seems to work...

I am sort of in the same boat as you, but I didn't declare bankruptcy, and I don't want to, I have a good job, make good money, single, no kids, but I just can't' get ahead. I thought of downgrading to a cheaper car, but I don't know how that works. My problem is the credit card, I've learned my lesson now, but am still paying from a few years ago.

**joesixpack** · 07-24-2006, 06:13 PM

Re: nothing seems to work...

I didn't want to file bankruptcy either. However, my average income was about $2300 less than my total payments after doing absolutely everything I could short of moving back in with Mom (which was not an option.) Yeah, I was stupid, but after trying for four years and having more debt after four years than when I started (thanks to making less money than my bills,) I decided that the only way to improve myself was to start over.

**Broken Arrow** · 07-24-2006, 06:18 PM

Re: nothing seems to work...

Welcome, joesixpack.

If it's any comfort, you're not alone and you're in the right place.

Please understand that to achieve financial freedom requires determination, motivation, and sacrifice. Sacrifice is the biggie. Nobody wants to make any sacrifices if they can help it. However, if you're on a diet for example, would you not agree that it is necessary to sacrifice your love for cheesecake in order to achieve physical fitness? In that sense, financial diets are no different, and if necessary, then you must be willing to sacrifice cable/internet so you can pay off your student loans for example.

Unfortunately, financial fitness isn't a quick fix. Rather, it's a way of life. Really, I think the mindset is the biggest stumbling block for most people to turn their life around. The willingness to make sacrifices to turn their life around.

Fortunately, when it comes to personal finances, the hardest part is always yesterday! It may not seem like it, but things do eventually get easier as time goes by. In other words, take heart that the sacrifices you make is temporary. Eventually, when your finances is stable enough, you can put the cable TV back into your budget if you want to. However, hopefully by then, you won't want to because you've learned to enjoy your simple life in more rewarding ways. Say, maybe enjoying your strolls around the park instead of being glued to the TV?

**getforfree** · 07-24-2006, 06:27 PM

Re: nothing seems to work...

Wow, you spend almost half on taxes. If you use car for you job, will you be able to itemise miles and get some money back? You should if you don't get reimbursed from your employer. Check if you can do that, and if yes, then change your w-2 form, so they would take less taxes. Or get married or have a kid (just kidding)

Your grocery bill is high. We spend $200-250 for 5 people including diapers for one of the kids. I am sure, you can cut an extra $50 from there. I watch sales, rebates, use coupons, and cook at home.

If you have a cell, maybe you don't need a land line, and if you really want to save, you can cut the cable too or at least switch to a cheaper option. Or if you still decide to keep the landline, you can use your home phone instead of cell when you are home.

I don't know if you take your lunch with you to work, if you try to do that, it will save you a couple of bucks every day.

If your appartment has more than one bedroom, try to get a roommate, preferably someone you know already and if the person is responcible. That way you can split your rent and utilities in half. Or you can downgrade to less expencive appt. if it's possible (not sure what the prices are in your area).

Even if you leave everything as is, things will still get better because you loans will be paid off in about a year. And good luck with comissions, so you can get rid of the cash advance fees.

By the way, what are you selling, maybe we would buy some?

**34saving** · 07-24-2006, 06:30 PM

Re: nothing seems to work...

I don't know where you live, but $210 for gas and $65 for water seem extraordinary to me. I have a family of 3 and a 2000 sq. foot house and spend 1/3 of what you do on those two utilities. If you write a good story and offer a fairly high interest rate you might be able to break the payday loan cycle at www.prosper.com It should be worth looking into at least.

**joesixpack** · 07-24-2006, 06:49 PM

Re: nothing seems to work...

Originally posted by getforfree

Wow, you spend almost half on taxes. If you use car for you job, will you be able to itemise miles and get some money back? You should if you don't get reimbursed from your employer. Check if you can do that, and if yes, then change your w-2 form, so they would take less taxes. Or get married or have a kid (just kidding)

Your grocery bill is high. We spend $200-250 for 5 people including diapers for one of the kids. I am sure, you can cut an extra $50 from there. I watch sales, rebates, use coupons, and cook at home.

If you have a cell, maybe you don't need a land line, and if you really want to save, you can cut the cable too or at least switch to a cheaper option. Or if you still decide to keep the landline, you can use your home phone instead of cell when you are home.

I don't know if you take your lunch with you to work, if you try to do that, it will save you a couple of bucks every day.

If your appartment has more than one bedroom, try to get a roommate, preferably someone you know already and if the person is responcible. That way you can split your rent and utilities in half. Or you can downgrade to less expencive appt. if it's possible (not sure what the prices are in your area).

Even if you leave everything as is, things will still get better because you loans will be paid off in about a year. And good luck with comissions, so you can get rid of the cash advance fees.

By the way, what are you selling, maybe we would buy some?

I do mortgages for a living! Anyone need to refinance? I am good at what I do, but the market's a bit slower as we all know. I am licensed in 18 states.

I already have my withholdings as low as possible because I DO itemize. but with no kids, no mortgage, there aren't many deductions. Plus, I'm trying to save $3000 to get my girlfriend an engagement ring, but as this month now looks I won't even make the $3000 I need to get by. I get paid once a month, which means one bad commission month doesn't get remedied for 30 days. I could make a million bucks but won't see a dime of it for 30 more days!

<a href="http://www.prosper.com/public/lend/listing.aspx?listingID=26447"><img src="http://www.prosper.com/images/promote/bid_on_my_listing_on_150x60.gif" width="150" height="60" border="0" alt="Bid on my listing at Prosper, people-to-people lending"></a>

**joesixpack** · 07-24-2006, 06:50 PM

Re: nothing seems to work...

Originally posted by 34saving

I don't know where you live, but $210 for gas and $65 for water seem extraordinary to me. I have a family of 3 and a 2000 sq. foot house and spend 1/3 of what you do on those two utilities. If you write a good story and offer a fairly high interest rate you might be able to break the payday loan cycle at www.prosper.com It should be worth looking into at least.

I have an 1122 square foot rented house. My gas bill was over $400 per month this winter (Ohio) and I'm on a repayment plan because I couldn't pay that much.

<a href="http://www.prosper.com/public/lend/listing.aspx?listingID=26447"><img src="http://www.prosper.com/images/promote/bid_on_my_listing_on_150x60.gif" width="150" height="60" border="0" alt="Bid on my listing at Prosper, people-to-people lending"></a>

**joesixpack** · 07-24-2006, 06:51 PM

Re: nothing seems to work...

If your appartment has more than one bedroom, try to get a roommate, preferably someone you know already and if the person is responcible. That way you can split your rent and utilities in half. Or you can downgrade to less expencive appt. if it's possible (not sure what the prices are in your area).

Tried the roommate route. Ended up supporting two other guys. My issues look like Donald trump compared to these guys.

<a href="http://www.prosper.com/public/lend/listing.aspx?listingID=26447"><img src="http://www.prosper.com/images/promote/bid_on_my_listing_on_150x60.gif" width="150" height="60" border="0" alt="Bid on my listing at Prosper, people-to-people lending"></a>

**joesixpack** · 07-24-2006, 08:18 PM

Re: nothing seems to work...

Originally posted by taking charge

I would say your #1 debt to get rid of needs to be that payday loan. Do not get anymore of those loans no matter what - you will never get out. Have you checked out their interest rates? I agree that you could eat cheaper, get a roommate, and don't understand the gas and electric bills you pay. I am assuming you live in an apartment. I also live in a house and only pay $210 in gas maybe 4 months a year - the rest of the time it is like $20. You don't need to heat a house when you are out at work, and you don't need to have it on high when you are sleeping.

And frankly, I would say, don't worry about fun - maybe you should think about a 2nd job. I don't mean to be mean - but if I made $60,000 I would be in heaven.

STOP THOSE PAYDAY LOANS! PAY THEM OFF!

And I am gonna be blunt - you can't afford an engagement ring. You are already living too way beyond your means. You need to worry about getting in control - not getting engaged.

I CAN'T stop the payday loans. I'm already a month behind on my bills and once I pay back the loan, I have NO MONEY to pay for utilities. Next payday, $1850 will come out of $3000ish. That leaves $1200, which doesn't even cover my rent and car. What do you suggest I do? I mean, eventually I'll pop a good month and break the cycle, but what till then?

My gas bill USEAGE is about $22. But I still owe $940 from this past winter when the bill was $400 a month for three or four months straight. Part of the utilities problem was my sister. I turned the heat down, she (who pays NOTHING to me) turned it up. I live in a house, not an apartment. It's as cheap to rent here as an apartment though because I know the landlady.

Pay them off WITH WHAT? Isn't that the entire point of my post? FYI I did register at prosper.com. Any loan is better than those damn payday loans! Breaking the cycle will go a long way towards developing a budget, that much I know. Those alone cost me $300 in fees!

**joesixpack** · 07-24-2006, 09:19 PM

Re: nothing seems to work...

Originally posted by taking charge

Could you use your connections to get a bank loan - even at 18% or even at 30% , even at 40%, it would be much better than the pay day loans. I just know that those payday loans can become a cycle you can never get out of. Someone at work's husband was using the payday loans for his gambling problems - and when I went to the place with her - I believe the interest rates were like 500% - which I had to assume there are no longer usuary laws in the this country.

Better to have been late with the utilities and have them shut off then get into that trap. Can you not get a 2nd job - I know I have worked 2nd jobs lots in my life - because I had a debt and couldn't stand it. I had a car payment, and had to pay it off. Course I got a car that was only worth $8,000. I had a mortgage and had to pay it off. The job that paid my car off so fast was working in a bakery packaging cinnamon rolls - I am not too proud to do that for $6.00 an hour - but I am proud of having no debt, and I don't make close to $60,000. I worked at UPS, and I am female and was not a UPS employee so didn't make $18/hr, I worked at a Department Store to make extra principal payments on my mortgage.

Can you ask your girlfriend if you can move in with her for just utility payments for a few months - rent free so that you can get things under control. Your credit card and your student loans, your balances are not that high. What is the balance on those PayDay loans?

I've thought about a second job, but tried it before the bankruptcy. I found that since I already work 60 hours a week, it simply detracted from my ability to work efficiently at my main job. My total income was about the same.

If the utilities get shut off, I have to then come up with even MORE money that I already don't have to get them turned back on.

Connections in the industry don't mean sh*t. But good idea! I don't own a home, and all I do is mortgage-related ONLY. If I had collateral I wouldn't have this problem. I could get a reasonable loan to get me back on track.

I tried prosper.com but doubt I'll get help there since for some reason, Ohio is capped at 8% rate there and I'm sure that NOBODY will even look.

My girlfriend lives 200 miles away.

The payday loans are about $2100 aggregate. In Ohio, you can't "roll them over" you must actually re-borrow monthly.

**Broken Arrow** · 07-25-2006, 03:03 AM

Re: nothing seems to work...

You certainly have been trying, haven't you Joe? I sympathize with you, and in many ways, I am no different in that I too am struggling. Therefore, I hope that things work out for you. I really do, because I want things to work out for me too.

I... don' t think it's a good idea, for example, to propose while you're still in this financial quagmire. Trying to save $3k for an engagement ring? Not so bad if you're in the black, but pretty steep considering everything else you're trying to juggle. Even if you marry her, there's a good chance that you'll just end up divorced... with nothing to show for except more debt... like me....

I don' t know what the situation is with the rented house, but wow, it sure is large. Actually, it's a pretty good deal given its size. However... does a single guy need that much space? I'm just saying. What if you found a cheaper, smaller place to live? It's only temporary until you're back on your feet again. A smaller place should also help reduce your utility bills.

Well, whatever it is that you can do, I hope you do not read what I written as an insult. It was never intended to be that way.

I also hope that, eventually, you will be able to create an emergency fund for yourself. Everybody should have one, but it's especially true for those whose income can fluctuate.

**joesixpack** · 07-25-2006, 04:01 AM

Re: nothing seems to work...

Originally posted by Broken Arrow

You certainly have been trying, haven't you Joe? I sympathize with you, and in many ways, I am no different in that I too am struggling. Therefore, I hope that things work out for you. I really do, because I want things to work out for me too.

I... don' t think it's a good idea, for example, to propose while you're still in this financial quagmire. Trying to save $3k for an engagement ring? Not so bad if you're in the black, but pretty steep considering everything else you're trying to juggle. Even if you marry her, there's a good chance that you'll just end up divorced... with nothing to show for except more debt... like me....

I don' t know what the situation is with the rented house, but wow, it sure is large. Actually, it's a pretty good deal given its size. However... does a single guy need that much space? I'm just saying. What if you found a cheaper, smaller place to live? It's only temporary until you're back on your feet again. A smaller place should also help reduce your utility bills.

Well, whatever it is that you can do, I hope you do not read what I written as an insult. It was never intended to be that way.

I also hope that, eventually, you will be able to create an emergency fund for yourself. Everybody should have one, but it's especially true for those whose income can fluctuate.

The worst part right now is that, as far as it now looks, the month of July is going to be BAD commission-wise, as in, I'll be $1500 short for bills even NOT CONSIDERING the payday loans I'll be paying back. I really have no idea what I am going to do.

The disheartening, yet also encouraging, thing, is that ONE GOOD MONTH of commissions could quite literally wipe out most of the problem in one fell swoop. I mean, a good month can be an extra $4300 or so, which would eliminate the payday loans, give me a few hundred for the emergency fund, and pay down the utilities. A second good month could finish them off and pay off my dad.

Know anyone who needs to refinance or buy a home and needs it done FAST?

**cschin4** · 07-25-2006, 04:01 AM

Re: nothing seems to work...

joe - Sounds like your income varies. If so, you have to budget based on your leanest months. Right now you are caught in a viscious cycle. The car and cash advance fees are really dragging you down. If you can't sell the car then you need to find a way to get it paid off. There really are only 2 solutions. Earn more and spend less. If you can't spend less, then you need to consider getting a second job until you get the car, cash advance, and cc's paid off. Your other bills don't seem out of line at all for your income. Suck up the second job, work like a dog and get these things paid off. Then, vow not to ever put yourself into the same position where you have to work like a dog again just to pay for junk and ridiculous fees and interest.
Once you do that, I think you would do fine as long as you continue down the road of smart financial choices. Sorry, but there is no easy fix for your situation.

**autoxer** · 07-25-2006, 04:07 AM

Re: nothing seems to work...

Is that the minimum payment on the credit card? Is your sister living with you? Can you find a more responsible roomate? That is a lot of gas for the car! Can you do anything to make it more efficient? Keep the tires inflated properly, make sure you aren't carrying around extra weight. Are you an aggressive driver? Do you use the cruise control?

Your taxes still seem high. Did you get a large refund last year? Are there other deductions from your paycheck like healthcare? I have a similar income and after taxes I'm left with 74% of my gross income.

If you found a salaried job that didn't require all of the driving & the cell phone, then you could get a job paying $6k less and still have the same amount after paying the bills.

nothing seems to work...