Wife and I have been patiently retiring our outstanding debts for the last 6 months with the goal of buying our own home within the next year. Both of us like to spend money and we were good at it. We are both employed and actually live rent-free in the house my 87 year-old mother bought 6 years ago. We live here free in exchange for keeping an eye on her and assisting her with things she can no longer do for herself.

I bought an expensive sports car 3 years ago and at one time I was making payments on 3 cars at the same time! Well when I finally came to my senses, I sold the Vette, finished paying off the Buick, and now just have the Jeep to pay for.

We got the usual multiple credit cards (5) and had them all nearly maxed out. We were in bad shape. We owed probably around 18K on all of them combined.

We also had some collections staring us in the face…

Since last October or so, with only one car payment, we’ve eliminated about half the CC debt and taken care of all the old collection debts. The only thing worrying me now is the deferred student loans I took out on behalf of my youngest daughter. She’s in her last year of college so at least that obligation won’t be getting any bigger.

We earn over 100K combined and yet have no real savings. Sad, I know. No rent or mortgage, that income, and no savings. Just high debts. I comfort myself knowing that soon we’ll be debt free and working towards putting money into real estate or something other than “things.”