Since I just started this new blog, I thought I would share a bit of my background. Growing up, I was not financially literate. At all. While I knew my mother liked to budget and needs always seemed to be met as a child, I was never taught the nuts and bolts of it. My father did spend some time talking about how to use credit cards, but that was about it.
Young and married at 19, I started racking up credit card debt. I thought credit cards were the means to get where you want to be. I became a widow at age 22, and the cards were paid off using money from survivors benefits.
I learned that being in debt wasn’t ideal, but as a single mom to three young children ages 3, 2, and newborn I found myself back there quick, fast, and in a hurry. I remarried at age 24, and finances started looking up.
Then came the market crash of 2008. Our home that we purchased for $150,000? Now worth half of that. We were stuck in a neighborhood where one evening large booms had us scrambling to our window. Low and behold, a SWAT team was standing in our front yard as a meth lab across the street was raided. Yep, this home was purchased by a very under qualified buyer, like the many who caused the recession in the first place.
Our neighborhood was riddled with foreclosures. At this time I was just thankful my husband hadn’t lost his job. Many people we knew had, including both of our parents. This is when I began my Etsy Store making clothing for little girls. Unbelievably, there was still a market for it.
In 2013, we were finally able to get out of our house. We still owed $100,000, and had a contract on it for $120,000. It only appraised for $115,000, so we had to lower the purchase price. We lost so much money on this house, but it could have been much worse. At the time I was desperate to leave our half-vacant neighborhood and felt like our now six children deserved better. It wouldn’t be long before I realized my entitlement mentality was way out of line as we stepped into a house with a $800 utility bill during the summer!
I will be sharing more of our story soon. In the meantime, please take a look at Dave Ramsey’s book, The Total Money Makeover. It gave me hope and a road map to follow in 2016 when I was “sick and tired of being sick and tired.”
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