When I started my 6FiguresNBroke blog, I mentioned that I loved my 2006 Infiniti G35 which was financed at a “fantastic interest rate.”  Well even with the great rate, the payment was still $820.00 per month.  Not only was the payment high, but upkeep was also expensive.  See, it wasn’t just your typical 2006 Infiniti G35 coupe, we put several thousand dollars of after-market parts in to the car (to the tune of $13k-$15k).  As a result, the rear tires needed to be replaced twice a year.  These were 20″ tires and wholesale price on each tire was close to $300.00.  So there is $1200/year in tires. 
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I have recently had the privilege of watching the documentary In Debt We Trust by filmmaker Danny Schechter.  The film is different than Maxed Out in that it takes an in-depth look at the credit-lending scene.  It touches briefly on collectors but discusses credit cards, predatory lending, cash advance/payday lenders and more.  The filmmaker also queries users to ask the question if the next bubble to burst is going to be the credit industry, much like the mortgage industry is going through woes (as a result of the subprime/predatory mortgage lending market).  He didn’t present this concept in a doom and gloom the sky-is-falling way but instead as a question that consumers must ask themselves.
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After seeing Maxed Out (a documentary) mentioned on several websites, I decided to check it out. What better way to spend a Saturday night than cuddling up on the couch and watching a movie about debt, right? The film, by director James Scurlock, provides an insider’s view of debt collectors and the credit card industry. In all honesty, as a user of credit, the documentary was a bit scary to watch. I’ve seen enough documentaries to know to take everything I see with a grain of salt but even if only a portion of what was presented is true, it is definitely the right time to stop using credit.
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My husband’s company usually gives a hefty annual bonus to employees (several thousand dollars); 2007 wasn’t the best year for the company so we weren’t expecting a bonus.  Well the company felt bad so we ended up with a small bonus - $340.50 after tax.  Not one to look a gift horse in the mouth we were thankful.  The money hit the checking account today and I just got done paying $340.50 on my Venetian Card.  I tell ya, it feels good to know that I’m really making a positive change in our lives.

Dave Ramsey comments about people changing the family tree from the roots on up.  That is what I’m doing.  Well my sister isn’t a spendy gal, she’s actually a tightwad.  Looks like I got all the spending genes in our family hehe. 

Welcome to 6FiguresNBroke.com - that stands for “six figures and broke.”  I am a stay-at-home-mom to two young children and my husband is an engineer-type who earns a six figure income, annually.  We have mountains of debt and have vowed to make a lifestyle change - stop spending and start getting serious about paying down this debt.  Thankfully we are not in dire straits.  We have a fixed-rate home mortgage with a great interest rate, a fantastic interest rate on our car loan and credit cards, and both have good credit scores.  However, we have realized that we need to stop the financial bleeding and start getting serious about getting out of debt.  Once we’re out of debt then it will be even easier to plan for the future.
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