7 Steps I Took To Get Out of Massive Debt

Laura Beck  Mon, October 28, 2024  GOBankingRates

I’m a Former Shopping Addict: 7 Steps I Took To Get Out of Massive Debt

When Mary H. of Portland, Oregon looked at her credit card statements in 2022, she felt her stomach drop: $100,000 in debt, mostly from years of impulse shopping and living beyond her means. Today, she’s debt-free and sharing her journey to financial freedom.

Here’s how she turned things around.

Step 1: Face the Music

Getting real with herself about the situation was Mary’s first step — and harder than it sounds.

 “I had to stop pretending everything was fine,” Mary said. “I lined up all my credit card statements on my kitchen table one Sunday morning and finally added up the total. I cried for hours, but that moment of brutal honesty was my turning point.”

Step 2: Cut Up the Cards (Literally)

“Everyone says this is dramatic, but I needed dramatic,” Mary said. “I cut up every card except one for emergencies. No more ‘treating myself’ to designer bags or justifying splurges as ‘investments.’ Cold turkey was the only way for me.”

Step 3: Track Every Single Penny

Mary started using a budgeting app to track everything — even the $4 coffee runs.

“It was embarrassing to see I was spending over $300 monthly just on random Amazon purchases,” she said. “Knowledge is power, even when it hurts — and trust me, it hurt to know I spent that much on coffee. I’m a cliché.”

Step 4: Find Your Money Triggers

“For me, Instagram was my biggest spending trigger,” Mary shared. All those influencers making everything look must-have made her think she needed to shop, shop, shop.

TO READ MORE:  https://www.yahoo.com/finance/news/m-former-shopping-addict-7-120009828.html