Kim’s Journey from $28k to Debt-Free is Nothing Short of Inspiring

March 8th, 2017


Kim was in $28,324.73 of debt when she came into Money Mentors just last year. She is now set to be debt free in four short years, and is truly thrilled to have the support of her counsellor.

“I was probably just at the end of the road,” said Kim, regarding the day she finally called in to book an appointment. “I needed some options, I was heavily in debt, and the income I was making just wasn’t going to get me out of debt.”

When asked what could have been the reasons behind this debt, Kim didn’t hesitate in saying she absolutely knew.

“Overcommitting, overspending, over the limit, just everything,” she said.

LOOKING FOR GUIDANCE

Kim felt as though she was in panic mode, wondering “what do I do next”? That was when her counsellor, Eric, stepped in to guide her through the next steps.

After realizing she wasn’t paying attention to how much she was spending on certain expenses, Kim knew she has overextended herself by living outside of her means.

Eric told Kim that she was paying much too much for her insurance, and to negotiate or shop around. She did just that, and cut her bill in half – from $500 to $250.

He told her to keep going and keep doing her research, writing her a list of things to consider. Boy, did it work. Not only did she shop around for her insurance, but she also ended up reducing her phone bill and mortgage by 50 percent.

The two sat down, and decided her best course of action moving forward, would be the Orderly Payment of Debts program.

MOVING FORWARD FINANCIALLY

“It was like a weight lifted off of my shoulders,” she said. “I was still financially responsible for my debts, but now there was a plan in place to take care of it.”

She knew how much she needed to pay each month, how much income she was bringing home, and how much to budget for.

That’s when the cash-based diet came into place, and Kim was nothing but happy to try it out.

“Yes it can be hard, but at the end of the day, I don’t have any credit card companies knocking on my door saying you owe us money,” she said. “And that’s an amazing feeling.”

Kim knows that the short-term pain is worth the long-term gain she will soon reach.

Although the holidays were a tough time to keep to a cash-based diet, Kim pushed through and felt confident in her budget. Being honest about her financial situation with friends and family has been a huge help too.

She continues to put away a small amount of cash into a savings plan, so that she has a cushion in case of emergency. She said the feeling of seeing that account grow each month is amazing.

“Even though that $25 can be the difference between me and a half tank of gas, I still put it into savings.”

PROUD OF HER MONEY HABITS

One of the things that Kim loves about the Orderly Payment of Debts program is that her debts are being paid back in full. She spoke about how happy she was in knowing that she is accountable for all of her payments, and won’t be letting anyone down by avoiding them.

“I’m really proud to be on this program,” said Kim. “It has changed my life.”

Kim also said that her needs and wants have become more clear, and that having support and guidance during a tough time has been exactly what she needed.

“I will never regret the day that I picked up the phone,” she said.

When asked what advice she would give to someone who was going through a similar situation, Kim answered quickly: “I would tell them immediately to call Money Mentors.”

“I have somebody that has my back, and that is a great feeling.”

What’s next for Kim, you ask? She plans to pay off her mortgage as soon as possible, by taking her current debt payments and pushing those straight towards her home.

From there, she plans to focus on retirement and to keep these new financial habits her main priority and focus.

Money Mentors would like to thank Kim for coming forward and sharing her story, and also give some enormous congratulations on her future of living life debt free!

If you would like to share your story, please contact us at marketing@moneymentors.ca


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