Revolving debt, home equity I must have it now syndrome

[VoyT]

Both say they could manage better if they only had the time. "“It’s been almost two weeks since we’ve had time to sit down and go over the bills,” Ms. Moellering said. You can’t do it every day because we both work full time. We’re trying to cook dinner. We have to do the dishes, fold the laundry."

I guess they have to fold the laundry; they've thrown all the bills in the laundry basket...

This mindset of "we have to deal with the bills everday" puzzles me. At my house, when a bill arrives, it's payment date is logged on a calendar. Once a week we write checks or make the online payments. Then again, I'm not in debt; perhaps daily juggling is needed??

Guess I'm still trying to decide if they're in denial, or just don't care, or if they're having some kind of a power struggle over this.

 

[eridanus]

Until our congress critters see how 'horrible' this is and 'how good we savers have it' and justify taking from us 'just to help them and even out the playing field.' This kind of story scares the crap out of me.

Right. I have this fear of Roth earnings being taxed. The debt-laden boomers have to keep up their standard of living somehow!

 

[eridanus]

And 30-some k for software design? He must not be much of a programmer, that is a crazy low salary for someone that can code.

That was my first thought. Either he's exaggerating his job title/description, or he needs to ask for a serious raise.

 

[Goonie]

This mindset of "we have to deal with the bills everday" puzzles me. At my house, when a bill arrives, it's payment date is logged on a calendar. Once a week we write checks or make the online payments. Then again, I'm not in debt; perhaps daily juggling is needed??

Exactly! What's the with the 'everyday' deal? Like you say, once a week works. Although for myself, I just found it easier to pay as they came in. (otherwise I'd probably forget to pay once in a while....at least 'on time'....I tend to forget things occasionally)

I always knew what the 'closing date' of my CC's were, and so the day after closing (or as near to it as possible) I'd get online and pay the bill. Still do with the one CC I use, as well as a couple of other monthly bills that aren't on 'auto-pay' (yet).

So I'd guess, according to the Moellerings, most of us here just aren't normal! But then again, I've always enjoyed be abnormal. .......

 

[samclem]

I also think it is interesting - the denial - but also just the overall spiralling out of control-ness of the story. they eat out when they have a bad day - i don't think they feel in control of their lives - and look up and wonder why they are depressed.

One giveaway is the passive voice in many of the quotes fromthe couple. They see things as "happening to them" rather than realizing that their situation is the net result of all their decisions (big and small). Going out to eat tonigt is not going have a big impact on their overall situation--but it will have a small one.

The 1948 education film Khan linked to http://early-retirement.org/forums/index.php?topic=14163.0 might have looked a little hokey, but this couple could benefit a lot from something as simple as a piece of graph paper with their road out of debt plotted out over time. That, and getting into the habit of delaying gratification.

 

[bright eyed]

perhaps they can come up with a new home economics that includes folding laundry, paying bills and reading the fine print on the credit cards!

 

[kcowan]

Education is not the issue. These same people:
1) Buy what is advertised on TV and radio
2) Shop in the retails stores and pay full price
3) Buy cars at the local dealer at the price quoted
4) Finance our "free"credit cards
5) Keep life insurance companies in business.

and many other things beyond just financing SS and Medicare...

We need to count our blessings that WE are the exceptions.

 

[Sam]

Education is not the issue. These same people:
...
4) Finance our "free"credit cards
...
and many other things beyond just financing SS and Medicare...

Agreed. Don't be so hard on them, they are good for us.

 

[UncleHoney]

Here's another sucker fish on the line.. Just got to wonder how long $34K will last her each year. With a nice steady supply of money each year think how far into the future she can borrow.

http://www.cnn.com/2007/US/05/20/lucky.cashier.ap/index.html

 

[citrine]

Hey...if everyone was saving and shooting for early retirement.....who would pay for our social security!

I know....I may not have any by the time I am 62...but it gives me something to smile about!

 

[lazygood4nothinbum]

Here's another sucker fish on the line.. Just got to wonder how long $34K will last her each year. With a nice steady supply of money each year think how far into the future she can borrow.

http://www.cnn.com/2007/US/05/20/lucky.cashier.ap/index.html

already able to recognize her problem, i suspect she will fair well.

"If I'd have taken a lump sum, I'd be broke again within five years," she said