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In Debt We Trust DVD Review

BigSpender — Tue, 03 Jun 2008 21:33:04 +0000

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.

Two parts of the film really stood out to me. The first was of a Baptist church in Virginia that helps members pay off non-car and non-auto debt. Parishioners donate what they can to a chosen member and then their credit cards are paid off. That member then cuts up the credit cards and the whole parish celebrates. As Dave Ramsey says often, debt is merely a symptom. I don’t know the whole program that the church uses but I would hope that they address the core root of the problem which can be different in each individual. Cutting up the credit cards is definitely a good step and having support from friends and family will likely help that one parishioner stay out of debt.

As the movie came to a close, a brief description of 2005 NYC helicopter crash in which six executives from MBNA (who was the primary backer for the 2005 bankruptcy reform laws) were rescued. One bankruptcy attorney mentioned that several people thought that perhaps this was divine intervention. I’d lean more towards karma perhaps but it does make a person go hmmm? Of course no one would ever wish this on the executives but considering what they were working on at the time, it is quite a coincidence.

The film runs a total of 98 minutes and was definitely eye-opening. I can definitely tell you that it helps keep me focused on getting out of consumer debt!

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2008 Economic Stimulus Payment Information

BigSpender — Mon, 14 Apr 2008 18:30:43 +0000

The time is quickly approaching for the 2008 Economic Stimulus Payments to be processed. Tomorrow is tax day and the deadline to file your 2007 Income Tax. Even those individuals who wouldn’t usually file a tax return (some disabled individuals, veterans, etc) need to be sure to file for 2007 as the 2008 Economic Stimulus Payments will only be sent to individuals who filed a 2007 Income Tax return.

Here is the payment schedule taken directly from the IRS website.

DIRECT DEPOSIT
Last two SSN digits:      Payment will be transmitted:
00 through 20              May 2
21 through 75              May 9
76 through 99              May 16

PAPER CHECK
Last two SSN digits:     Payments will be mailed by:
00 through 09              May 16
10 through 18              May 23
19 through 25              May 30
26 through 38              June 6
39 through 51              June 13
52 through 63              June 20
64 through 75             June 27
76 through 87              July 4
88 through 99              July 11

If you are married and filed a joint return, the social security number of the first person listed on the return will be used when determining the payment processing date.

With payments starting at $300 and going up from there, the stimulus package was enacted in order to stimulate the slowing economy. For information on how much you will be receiving, visit the IRS Economic Stimulus Payment Calculator online.

Here at the Six Figures and Brokehouse, we will be putting the payment into our savings account to pay for my Fall 2008 tuition. Although we originally intended to pay down debt, I decided to take more courses than I originally planned for as I’d rather finish up my degree sooner vs. later. Our refund will cover my courses and books for the entire semester. I’m not sure if that is going to help stimulate the economy but it will help stimulate our household’s future economy. No more student loans for me, please!

photo credit: pfala

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Getting Out of Debt

BigSpender — Sun, 24 Feb 2008 03:39:09 +0000

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.

I have started this website to help hold us accountable for our plan. In addition to progress updates on our personal finance journey, I will also be blogging about the latest in personal finance news. Whether it is the latest live event from Dave Ramsey or news on an interest rate cut by the fed, I plan to post it here.

If you are on a get out of debt journey yourself, I’d love to add you to my blogroll. Please leave me a comment and I’ll get you added as soon as possible!

Yours Truly,

Big Spender

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