“Dear Steve,
I left an abusive/ controlling husband a few years ago with literally not a penny to my name. Because of shady practices on my ex’s part and a lawyer who did not serve me well, I ended up $5000 in debt right from the start with legal bills and a poor settlement.
In spite of working overtime as much as possible and trying to live frugally, I am now $10,000 in debt and barely keeping my head above water. I do not own my own home, I rent. I’ve been trying to recover from medical bills and have almost paid these all off. I am at a place where I make too much money to qualify for any types of assistance, but not enough to be financially free.
What advice do you have for me? What steps can I take to dig myself out of this debt? a few years ago with literally not a penny to my name. Because of shady practices on my ex’s part and a lawyer who did not serve me well, I ended up $5000 in debt right from the start with legal bills and a poor settlement. In spite of working overtime as much as possible and trying to live frugally, I am now $10,000 in debt and barely keeping my head above water.
What advice do you have for me? What steps can I take to dig myself out of this debt?
Lynn”
The Answer:
Dear Lynn,
Being in that widening chasm of the working poor is frustrating and hard to break free from. But let me congratulate you for the difficult steps you’ve taken to date. It took real guts to escape that abusive relationship and for that you should be proud.
Before you rush to any solution I first need to make sure your life can fit within your current income. Let’s say you pursued bankruptcy to get a fresh financial start and eliminate your past lingering debt, would your current income be enough to cover your current minimum life expenses of shelter, food, transportation, etc?
I’m concerned even without the debt you’d be living on the edge. Am I right or wrong?
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