Stupidest Car Debt I’ve Ever Seen | Financial Audit

So, you you have another one in. collections, another school in. collections? These aren't collections. This is just. how much I currently owe to the school. three different schools. Yes. Please just say no more than that. Hi, I'm Hannah. I'm 20 years old. I'm from. Southwestern Oklahoma, and this is. financial audit. What do you do up there. for a living? So, I'm a practical nurse. I work in like critical access hospitals. all over Oklahoma. Love it. My mom's a. nurse, love nurses. What are you making? Um. My goal is about 1,500 a week. Last year.

I made 73,000. You say goal, but what do. you make? I make 35 an hour. Okay, how. many hours a week are you working? Mm, depends. On average, how many hours. a week are you working? I work anywhere. from On average, how many hours a week. are you working? It depends, 36 to 72, so You don't have. an average? I know it ebbs and flows, but can't you average it across? Um. that's why I just say like my base would. be 1,500 a week. Is what you're aiming for, but is that.

what you hit on average? sure. Oh, okay. So, you said that's what. you're aiming for, but I get to aiming. for it to me is more like this is what I. want to do. me aiming is like 3,000 a week. Okay, so. 78,000 dollars a year. I mean, 73 last year. My goal. aiming for 78,000 dollars a year. Yeah. But, we're not hitting it? Not last. year, but um I had like a job switch. Making more? Mhm. So, I should make more. this year. Good, good, good, good. So, that'd be 6,500 dollars a month, ish, on. average. Mhm.

If it's bi-weekly, if it's semi-monthly, it's probably going to be that. If it's. bi-weekly, some months are going to be. less, some months are going to be more, a couple months are going to be more. Yeah. Um what came in was this month. That. been a good month, $9,000. See, it's like all over the place. Yeah, but on average we're looking at. that like 6,500 before taxes? Uh Do you. aim for that uh weekly income after. taxes or before? I would say after is. what I aim for to that much. I mean, that's. some soft living at 20.

I feel so behind in life. I always feel. behind. Like I feel like I'm Behind? You're 20. I know. What what are you feeling behind. about? I feel like I should be making a. lot more. A lot more? You're making. after taxes above the US median. household income at 20. But, as you can. see, I'm so broke. Well, yes. No, you've been stupid, but. like. but it's not an income issue. You're. doing crazy well. Um And then making crazy decisions.

You're making a lot of money. And. compared to people your age, you're. making a [ __ ] ton of money. And most. people are in college going into debt. Yeah. Which I'm doing that, too. You're also in college. Why are you a. nurse? What are you trying to What are. you trying to. now, I'm a licensed practical nurse, which is, you know, LPN, and I want to. be an RN. RN. Yeah, you want to be an. RN. You're making this. without even being an RN. Mhm. It's incredible. So, you're obviously a. workhorse. I work a lot. Yeah, how many hours a week are you. working? You You said it was like 36 to 72.

36 to 72. Yeah. Plus how many hours a. week in school? Um right now, I'm just going to take I'm. enrolled in nine credits this 8 weeks, and then I'll do nine credits next, so. So, how how have you had enough time to. be as stupid as this pile of debt. suggests? Like there shouldn't even be. enough time in the day to go take out a. 63%. interest loan. 63% loan. Okay, I had no. clue about that until I sent you. had no clue about that? I didn't know. that that was the interest rate until I.

sent you all the documents. What? When. did you get this? How'd you not even. know that was before? I How did it take. sending us the documents? I don't know. have you had it? But, that's what I want to pay off. first. Well, no [ __ ]. Um so. How long have you had it? I want to say. maybe 2 years, and I've. barely paid anything off. What could this possibly be for? What is. this? Cuz you only borrowed $2,000, but. you're paying $1,000 of interest back. from it. What is this possibly for? This.

is insane. to love it. Last year, I think it was last year It was 2022. I. went out and bought a brand new 2022 Kia. Kia K5. Um and then I got that loan to do like. the registration and all that. No. You. Why? So, at 18? Yeah. From where? Did you walk into like a sketchy place. with a bunch of mobsters and be like, "Yo, I need to pay for my registration.". Why did you Did you put anything down on. the car when you bought it? No. But my interest rate on that was.

like 3%. Yeah, but then this. This interest rate. is insane. because I could have paid for it in. cash. I don't know why I got that. No, why did you get that? told me it was a good idea. I thought it. was going to build my credit cuz I was. working really hard to get my credit up. to 700 and then now I've completely. tanked it. The majority of Americans are dumb when. it comes to personal finances. We're not. listening to people. I figured that out. Yeah, you did. I figured it out young. You figured it. out at 18, I know, but but you've. started to become more educated on.

personal finances, right? Yeah, for. sure. Cool. How'd you not know the. interest rate of this until you sent it. to us? Well, I would say I became more. educated recently, very recently. Like a week ago? Yeah. Well, on this. Because I've always just paid the. minimum. It's like $200 a month. Yeah, but you're paying. 63.22%. on that 2,000. I feel like that should be illegal. You. I mean, you signed up for it and when. you didn't need to. I know.

cash. So, what's still Oh, now. Oh my gosh, it's up from the original balance. No, now it's technically down, but you. made a, you know, So, you're paying $200 a month. Yes. What even is this? What. company is this? What are we even. talking about? Sunloan of death. I really want to get. that paid off like as soon as possible. Yeah, I know. It's not You're Dude, you're bringing in 6,500 bucks in the. middle of nowhere. You can pay this off. today.

I have a lot of things to pay for. Nah, and most of that is going out to eat, which we'll get to cuz that's where all. your money actually goes. So, I think. let's take some accountability going. into this conversation, please because. it's not like you I mean, sure there's. bills. But. come on. I mean, I have your [ __ ]. spending right here. Miscellaneous. Food is important. Yeah, but not going out to eat. Have you. heard of a sandwich? For sure. Miscellaneous.

Then you don't need to be going out to. eat every second of your life. We. haven't even gone into that. Groceries. was 12% of your spending. Going out to. eat was 12% of your spending. Miscellaneous That doesn't matter. It. was 33% of your spending. Yeah. So, don't. Don't come into here with. that. Come on. Take some accountability. for the first time in your life. 20. You're young. This is a good time to. learn. Trust me, when I was 20, I wish someone. was having this conversation with me. Okay, so we currently owe $1,900.

$79.50. of sun loan of stupidity. Wonderful. at a $200 and $27 minimum monthly. payment. This is crazy, dude. An 18-year-old. signing up for that. So, when you were walking in, it must have. been just like, yes. I did it all over the phone. It was so. easy. I Never again. Never again. University collections. Collections from. university? But you're in the university. right now and you have university.

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So, I had gotten a full ride scholarship. to a nearby like local college. Um but they didn't have the degree that. I wanted. So, I kind of just. you wanted? Uh my RN. They didn't have an RN program. there. So, and I realized how expensive it was. to live that I needed to make money. every day. So, I stopped going and got. my LPN instead. And then kind of just completely forgot. about that and recently called and saw. that the all of that was in collections.

because in order for me to get my. transcripts sent to the college I'm. going to now, I have to pay that off. This is internal collections, too. Mhm. It looks like, so. So, I really need to have that paid off. by August, so I can get into nursing. You make so much [ __ ] money. How have. you not paid this? Going out to eat is. the answer. Not a good time. What's stupid is like all of that is. like a dorm fee. Which I didn't even stay in my dorm. I. think I stayed one night in my dorm. You're lucky it's not accruing interest. or anything.

Oh, an email from him. I also forgot to. mention I owe my dad $1,800. So, He. helped pay me some college classes. He. yeah, he put. I think he has an insane amount of. credit card debt, too. So, he went ahead. and put that on his credit card for me. Oh. Got college college caught classes? Yes. On a credit card? So, I can hurry up and get these done. I. mean, there's like. parent loans, though. That would have. been so much better. Not that they're.

great by any means, but better than a. credit card. $800 is that a minimum. monthly payment on this that you agreed. to, or is it just $800? When did you. take this out? Or any heat you took Um. this is like last month, so No. He says. not to worry about it, but I just don't. want to feel like I owe anybody. anything. Yeah, especially family. Yeah, for sure. Last month? But so I can't. I don't know if you're ready for a. change last month borrowing $1,800. I can't get anything from FASFA or like. any uh I don't know, like government.

loans. your credit and just life and. everything, right? Well, until I have that OU collect is. paid off. Yeah. Yeah. Uh what is this? What is this? I. think that's my SWASU balance, which is. another. SWASU, Southwestern University. You owe. another balance to a different school? Yes. So, I've basically just been school. hopping because I'll owe a balance, so I. just go to the next school. I didn't. How are you laughing? That's terrible. I know it's bad, but I want to get my.

classes done, and it's expensive. Yeah, but you I again with the money you make. This is so irresponsible. Um. At least I'm getting my school done. Yeah, through 50 different schools. Well, it's getting done. you just buckle down and finish it? Because I don't have the money. have to jump from this school? So, that. school is the school I'm going to attend. in fall, but I have to have that paid. off by the fall semester. the school you're in now? The school I'm. in now is just online. Well, I'm getting.

that paid off. Got to love it, huh? I don't really want. to go through this, but. Um but I yeah, I really need to have. like all those paid off by fall. What are you doing at Walmart, dude? Why. do you owe $112.67. to Walmart, dude? So, there for a while. I was spending like $300 a week at. Walmart buying groceries. And financing. it all? Yeah, a lot of it. Okay. It's so easy. Okay. Never mind. I just answered my own.

question. I was like, "Okay, maybe she. just started making her good money and. there was no reason to do this." But you. already explained you make good money. last year, especially for someone your. age at 19. Okay money. How much was it again? About 73,000. Dude, that's great money. at 19. Are you kidding me? What are Do. you come from You're not You know you. don't come from a super privileged. place. No. But like why are you acting. like that's not a good money at 19? Because I just have. In the middle of nowhere to be fair. high goals for myself. Oh, well, that's.

okay. But I mean, let's not pretend like. you're not in the position you're in. You're in an amazing position and you're. [ __ ] it up. I am. Really bad. It's not the income, though. Stop. blaming that. This is you. income. But you just said, "Oh, I'm not. making that much." and all this stuff. Like you're making an incredible amount. of money at 19. There's people out there that are. watching this that are in their 50s not. making as much as you. Mhm. Mhm. And then I'm watching someone just. roll it all away. Stupid financing.

Walmart. But then it makes me feel. better cuz instead of spending 300, I'm. only spending. 100 or 75. What? This doesn't make sense. No, it. all stacks up with. I know it does. Then why'd you just say that? know. It makes it a lot better in the moment. Okay, but you know what doesn't actually. correct? Yeah. There's no interest. I know, but your. minimum monthly payments are already. insane. You're just [ __ ] around with. your money. Your money's just stacking. up and they're becoming owed at diff- Oh. my gosh. This is all becoming just wild.

I know. And I don't ever look at my bank. account, so. already have two things in collections, so what's what's to prevent this from. going in collections? My point of view. I don't Can that go. into collections? Huh? Can Quad Pay and. stuff like that, Affirm, can that go. into collections? if you don't pay for it. It's an automatic payment. If you What. if you don't HAVE MONEY IN YOUR. I WENT TO YOUR CHECKING ACCOUNT. $100. was in there. What if there's a little. less than that? you my statement this month. What? What? What? There I just I have. more I don't know. Yeah, but at that.

point you had $100 at the time of this. statement, you had $100. Which what if a. couple of the payments hit? And you. would not have paid them. Would that. have automatically gone into. collections? No, but that's just one. start of a train more Quad Pay people. DHGate. Best Lament. That's flooring. Lament. So I had a little. Well, I had a little manic episode where. I ripped up the carpet in my bedroom, so. I'm putting flooring down. Who owns your bedroom?

Um so. you're going to hate me for this, Caleb. Um my I have a cousin that's letting me. I basically just took over her payments. And I was really hoping. are what? For a rental or of a house. that she owns? The house. So she has equity in this home. Yes. But you're putting your money into. it. Well, I was. hoping to apply to a home loan this. this year. she'll sell it to you. Yes, yeah, she. was trying to sell it, but.

I she said that she would. credit score is like nothing. I know, that's why I'm trying to work on that. At the time, I had it like high up. It. took me forever to get to like 700, and. then it went down so fast. But, I was. really Do you think it's possible for me. to get get it up enough this year to. apply for There's no reason it should be. where it is. Before you walked in this. door, to the both both of the. collections should have been paid off. You make too much money. You spend it. all. You're frowned. You're damn right. you can get it up. But, I was really. hoping to buy that house this year.

Maybe. Let's go through it. Let's go through. it. What is this? These are screenshots. We asked for. statements. You sent screenshots. They're Well, since these aren't like. student loans or anything, these are. This is just the amount that I owe. Um there's not a statement. This is. SWASU again. statement for everything. This is the. Southwestern University. Close to the thing I already have. Yes, I don't know if that was the same. amount. No, it's different. So, you owe. more? So, you owe more? Which one Which. one's correct? 1,680 or 2,778? Maybe the.

1,600 was EduCan. I'm going to too many. different schools. this is why you send statements when we. send we say send statements. statements. I went. Incorrect. I literally didn't know who. to send the statement to. What was the. other one EduCan. This is called. SWASU, Southwestern. So, you you have. another one in collections, another. school in collections. These aren't. collections. This is just how much I. currently owe to the school. to three different schools. Yes. Please just say no more than that. Really?

No, that's it. Is this a joke to you? You find this humorous? I mean. sitting here like. I'll get it taken care of. What does. that mean? You haven't taken care of. anything, and you make too much money. That's why I'm here. I know, but you're. just sitting there taking it like a. joke. It's not a joke. I'm going to get. it taken care of. here and laughing, and you're making a. little silly hee ha hee ha's, goofs and. gaffs. See? Look right there. I'm taking this seriously. I'm here to. sit down and talk about this. I. like you don't give a Well, because. right now my top priority is school. I. want to get school over with. Okay, well.

that's a complete lie cuz you just said. your top priority was SunLoan. Then you. said you want to get a house this year. And now you're saying you want to take. your school as the top priority. What's. the top priority? We can't have five top. priorities or we don't meet. Or no, no. Top priority No, you can't. Top priority means YOU HAVE A TOP. PRIORITY. THERE AREN'T 10 THINGS AT THE. TOP. YES, OKAY. MY top 10 priorities. Top 10, okay. Okay. But then you rank them. The thing. is, the only thing I become concerned. when people are just when they have so. many different things they're trying to.

do and they're all equal in their mind. of what they want to do, they don't get. any of them done cuz they can't focus up. and then get them done. I want you to. hone in, kill it. Well, then I have too many top. priorities. are not all the top floors. Which one's. the top? All of them. All right, okay. Well, that's I just. At my age I should have my life together. and I don't. I know, but it just feels like I'm. drowning. You are. You are. You're acting like a child in multiple. different ways. Like.

Okay. I would be upset if you were saying it's. it's 20. It's okay. It's perfect. Like. I'd be upset No, I would said I would be. upset if you said that. Mhm. But some. for some reason, I don't know what it. is. Maybe you guys can explain it. I'm. upset that you're saying I should. absolutely be perfect at 20. There I. think there's a middle ground in between. that like 18 to 21. It's like I I. obviously would want you to be doing. better. These These just strict mind. approaches like, "I'm not making that. much money for my age. I'm behind for my.

age." It's not true. It's not. It's your actions that you've done. behind this. Mhm. Not your income. Not Okay. Okay. I agree. Maybe maybe I'm just getting outside. Okay. Something credit union, 6,200 6,000 you. took out. Uh basically 9% interest. Is. this for a car if I'm not mistaken? Loan, credit union, 6,000. Total amount financed, sorry. Uh sorry, that's your that's how much you're going. to pay in interest. Uh 26,025 dollars.

Yeah, that was probably one of my cars. One? Again with the laugh. What are we doing. here? I'm sorry. It is goopy. Well, it's in a. salvage yard. No, that's the car I just got. So, Just got When? Mhm. Last month. Actually, So, you had to borrow from your dad last. month, but then you go and get a car? Well, What kind of choices are you. having in your life, dude? So, last year. get a 26,000-dollar car?

I feel like that's affordable. The one I. wanted was a lot more. No [ __ ]. No p-. The car that everyone wants is a lot. more than the car that they get. I went. out in October. Oh my gosh. and got my dream car. A diesel Jaguar F-Pace. What the. It She was beautiful. I miss her so. much, but before I could even like. register into my name, I totaled her. Why? How? What happened? Um I. hydroplaned on the interstate coming. home from work.

quick. No, it was raining. Yeah, no. with the hydroplane you usually go a. little quick. I mean, I wasn't going too fast. So, I've been in That's what happened to. my Kia. I had a deer, totaled it. I've. had like five insurance claims in the. past 2 years. Four of them have been on. the same road. Sounds like we need to take a different. road. And be an hour have to leave an hour. earlier? Uh you're right, you're in the. middle of nowhere. I drive like on. average 700 miles a week.

Why did you get a Jaguar for a daily. commute like that? That's stupid as. [ __ ]. Well, after I get my insurance money for. my old Jaguar, I want to get a work car. A work car? You mean a daily commuter? Yeah. Sure. What is this? My car. And why can't this be a work. car? Because I don't want to put too. many miles on it. Why? What is this? Uh a Jaguar. You got another Jaguar? Yes. Who the [ __ ] are you? You know why. you feel behind at your age? Cuz you're. being a dumb piece of. I. With your money! I know, but. Two Jaguars at 19 and 20? Mhm. That's.

stupid. I need you to recognize. I understand it's stupid, but Okay, it's. stupid, then get rid of it! No, never. Why? I will have a Jaguar until the day. I die. It's a. Jaguar. Who gives a [ __ ] piece of metal. that has an engine that breaks down and. hits deers? Who cares what it is? I care. I don't give a [ __ ] what you. care. I care about your future. Huh? I'm in my car so much. Oh, yeah, but guess what? You're buying. a new car to drive the 700 miles a week. So, you won't be in this car that much.

Okay, so logic crushed immediately. So, what's the [ __ ] point? them. Congratulations. I love your future more. than a piece of metal. I can still have a good future and have. a Jaguar. not if you're not willing to give up a. single [ __ ] thing. I will not give it. up. But the other one, the insurance. money should be here this month. How much? Not I'm only probably going to get a. thousand from it. It's like 23,000. I want to die. Me, too. Then sell the. [ __ ] car. Why?

I couldn't even get what it's worth. Like what I. I wouldn't even get what it's worth. stupid decision. But guess what? It. would get you closer. closer getting out of debt, trying to. get rid of THIS 26,000. YOU GOT IT AT. 9%, WHICH IS A. WHICH is right anyway. I know, interest. rates suck right now. Yeah, so maybe we. don't get Jaguars at 20. What can I What. can I get that would that would be. cheaper than that? What? What would be. cheaper than that? My Kia was more. expensive than that. What would be cheaper than it? Mhm. What would be cheaper than it? A. $10,000 car. A $10,000.

A 10,000 car that guess what would not. be luxurious in any way. Might have some. issues with the AC, but it would get you. Stop. I'm answering your question. Okay. It would be a car that would get you. from point A to point B safely for a. couple years where you got your mess out. of the way, started contributing and. catching up on retirement, paid for. school, paid off your collections, and. then you get your car because you like. make a lot of money at your age, but. you're not doing it right. Since.

You're but you're. around with your age. That's the car. that you would have gotten. That's the. car that you should have. You should. have nothing else. You're 20. You don't. need a Jaguar. You don't need a second. Jaguar. We don't need a work car. It's. not even a work car cuz you're not a. contractor so you can't even write it. off. It's as a daily commuter. So, since I've been in so many wrecks, I've. seen how difficult it is to not have a. car when I wreck a car. So, I feel like. it's important. an emergency fund car? No, you have an. emergency fund to get another car. But.

it takes a while to find the car you. want. I know, but that No, you're being. you're being. Okay. I don't know the per capita numbers, but. if I were a betting man, I'd bet you're. well above the per capita. uh crashes per capita. You have. something going on, dude. You got. something going on. Now, I'm not sitting. there in your chair and in your. passenger seat, but you got something. going on for getting like five different. car crashes. It's really scary. Oh, so spooky. I know, but come on.

Have you ever been in a wreck? I've been. hit. It's scary. I know, but you've done. it like 50 times. I've almost hit elk. I've almost like. wild hog. you've just been in a lot personally. Yes. Which. But I drive a lot. I know, but a lot of people drive a lot. and you've been in more. of nowhere? I'm from a small town in Michigan and I. know people that lived in the rural. areas where there's deer everywhere. No one I know has gotten in as many car. crashes as you by the age of 20. Yeah,

it's ridiculous. Yeah, so something's. just telling me maybe you're just not. the best driver. Maybe you're a little. irresponsible. I am a good driver. Numbers are not. agreeing with you. Okay. We're not talking about this. Huh? We're. here to talk about finances. We don't. have to say if I'm a good driver or not. Well, it is just kind of boiling down to. you buying a bunch of cars. You trying to justify it. I just make. sense. What? Having two cars makes. sense. No, it does not. It does not make sense. Okay.

I won't do it. Mathematically it doesn't. make sense. I won't do it. What do you. mean you won't do it? You're going to. drive your Jaguar on it? Is this the. only car you own at this point? Yeah. Well, I'm just waiting on my. insurance money. My other one. It'll be a thousand dollars. Yeah. Which won't pay off the other. loan. No, that's how much I'm going to. have extra. Oh. Yeah, it's like 23,000. Oh, thank god. Yeah. Do you have a picture of this car? What car? This car. My one that I drive now? The car that we're. on, the one we're talking about. It's.

outside right here? It's not very It's. okay. Let's go take a look at the car. Oh, no. to see what. That's her. It looks pretty nice. This. is ridiculous for a 20-year-old though. This is ridiculous. It's a nicer car than I've ever had. Well, I'm sure you make enough now you. can get a nicer car. I know, but you're. just being stupid. You're I agree. You're turning in a bad day. You have. What was that? A 600% interest rate? What did we see at the beginning? Was it. 60 or 600? I don't remember. 60.

60. Okay, still the one of the dumbest. things I've ever seen, especially a. 20-year-old. For sure. I agree. We don't get a second Jaguar and then a. work car. Okay. I won't. What is the Jaguar worth. right now? When they blue booked it it was like. 26,000. When who blue booked it and. when? Uh my credit union. When? Um. whatever the date is on there. Does it say it was like. a couple weeks ago. $537? Mhm. I'm going. to figure out what the current balance. is. It's probably the 26,000. Yeah.

I am sorry if I'm coming across as rude, but man, it just feel I just feel like. you're just not like. just knew that you were going to want me. to get rid of it and I will not get rid. of it. Then you don't give a. It's as simple as that. I do, but I can. If you're not willing to make a. sacrifice. If you're not willing to make a. sacrifice of biggest debt you have the. biggest debt burden you have But I'm. going to have a car debt regardless. Yes. Yes. But we can manipulate the.

numbers in a way where this cuts your. debt by such a substantial amount. You. can get that car in a couple years when. you're the ripe old AGE OF 22. WHOA, BORDERLINE DEAD. That was my goal. to probably sell this next year and then. get a newer one. Sell this next year? You're going to. wait till the Get a newer one? Mhm. I. seriously. I seriously I I want to stop this. interview right now. The. You You have no care. You don't give a I. care. NO, YOU DON'T. IF YOU WOULD CARE,

YOU WOULD DO SOMETHING about your. biggest debt. I like my car. You like your car more. than you care about the future of your. life. It's as simple as that right now. It's as simple as that right now. It's. as simple as that right now. Okay. It's. as. Discover. Discover it. Discover how to piss me the [ __ ]. Yeah. For sure. Is there anything you. haven't done that's not stupid? Mhm. I'm being a dick. I'm being a dick. I but I honestly I don't. This doesn't mean I don't like you cuz I.

don't know you enough. Mhm. But. as the raw concept. of understanding a person in the little. bit that I know about you, I do not like. people who are not willing to sacrifice. things in order to better their life. And you're not willing to sacrifice. things like you like. other things. Other things. You're being. picky and choosy. You're not willing to. sacrifice everything to better your. life. Okay. To better your life, and I do not. like people who are not willing to do. that. It's just a sign of immaturity in. my brain. Okay. Oh, good. We can't fully. pay off the card. Interest is accruing. What do we expect to happen next?

Oh, purchases. Why not? Makes perfect sense. Mhm. $80 minimum monthly payment. Oh, what is it all? Oh, it's all going out. to eat. Who would have thought? I don't MAKE ENOUGH MONEY. I DON'T MAKE. enough money. Oh, is it that or is it. that we're going to Sonic and Imperial. Hut, which by the way is your favorite. thing in the world. You go there every. second of your life. Okay. A vending machine. You are. obsessed with this vending machine. Yeah, you may as well propose to this. vending machine and spend the rest of. your life with it. You and a three-way.

with a Jaguar. I work night shifts. Oh, I work night. shifts. Cool. Again, have you heard of. this grand concept called the sandwich? It's an amazing new invention 2024, invented by Tim Cook himself. No, Steve. Jobs himself. Thrown on the assembly. line out in China, shipped over. It's. this beautiful little thing. It's great, and it costs like 50 cents in total. It's awesome. Perry Hut, Sephora, and. Cheetos, Bath & Body Works, Imperial, Imperial, Imperial, Taco Bell, Sonic.

That Imperial though, it's only like $3. It's only $3 every second of your life. it adds up. $9 of interest accrued. Credit score in the. 597. Yeah, let's get a mortgage this. year. That makes sense. Gosh, I'm going to come across as such a. episode and people are going to hate me. for this. one. I did not mean for that to happen last. month. And haven't we not heard a variation of. that basically that statement for every. of the 1 2 3 4 5 6 7 8 now nine debts.

that we've had of different variations. of what you just said? Okay. It's going to get better. What does that mean? I just I got to be. more. in no way, and you're not willing to. sacrifice the biggest thing. So, I want. to keep this card because I can pay it. off. I pay it off all the time. But, I just. not have interest accrue, that is. correct. But, you're still spending you. spent $815 there. Mhm. So, you don't. have to add this is the debt cuz you pay. it off. But, what is it? Oh, what is it? We're getting some taquitos. We're. getting some taquitos. Some soggy llama. coffee. Panera.

Uh I think some taquitos in Soho. Steakhouse. McDonald's. Sonny's Country Mart. Taquitos. Uh taquitos. And oh, good. Taquitos. Yeah. Oh, taquitos. You stop at stores. every second of your life and buy just. more. Cool. Cool. Well, stop. I I have to. Taquitos, yes. It's not an. option. I don't I don't It's like yeah. Uh. there's the vending machine. Taquitos.

Taquitos. Taquitos. Taquitos. Or sorry, vending vending vending. And all the. express. Sonny's. Our new editor is. going to hate going through and doing. all the animations of our expenses. Sorry, Mika. I love you. I know you're suffering right now. Probably not suffering as much as me. though. Tell me what this is. This is. So, this is um. a loan I got. to get laser hair removal. Oh my gosh.

Yeah. Everyone's getting laser hair. removal. Yeah. You're in the middle of Oklahoma. No. one's going to see the hair. It doesn't. matter. There's there's no one even. lives there. Just the deer that you hit. That's all who's like you're in That's. who you're interacting with on a daily. basis. The the elk that you've ran into. that day. It's. I need to. I really just got to pay all these off. Help me. Or we accept having a bush for a whole. year. I think it's worth it. Get your life. back. for it. I'm not against it. I'm just.

against spending unnecessary spending. when we're drowning in debt. No, no, I. don't make enough money. No, you're just. out of control in every way whatsoever. What's the minimum monthly payment on. this? So, it's $64 every 2 weeks. Oh my gosh, it literally does not end. Is this the other card that. Yes. It's We're wiping this clean, right? Cuz your insurance will go to. this, correct? Yes, hopefully by the end of this month. But it will go to this. Yes. Yeah, it. has to, cuz there's a lien on the car. Oh,

there's more of the Walmart statements. That's I didn't realize there was. interest on that. I had more and I paid them off before I. sent it to you, so you're welcome. This. isn't about me. I know. I'm just scared of you. Why? You should be scared of your debt. I'm only spooky scary when the debt is. bad and people are being stupid. Mhm. You don't have to be scared of me. Be a reasonable, responsible adult and. take care of your own You have a lot of.

actually reasonable and responsible and. starting to tackle it. I'm not scary. because you're already on the right. track. You won't sell the Jaguar that. just looks like any other SUV out there. She's pretty. It looks like a black SUV. Mhm. CareCredit? Oh, I. I sent that. Is there a minimum monthly. payment on it? I'm not sure. I just pay. off like every time I get paid, I'll. just put like 200 or. I'm just trying to get that down. It's.

usually zero because I pay off so much. $51,000 debt at 20 years old. Yeah. What a way to begin adulthood. How fun. It's not fun. I don't recommend. Well, that's why at least, no matter how much. I'm suffering right now, that someone out there, 18, 19's. watching this and they're like, "Okay, I have the options to sign up for. all this debt. Oh, but I watched this. video and hopefully they're not. destroying their. be me. Do not be you. Do not do it. You stop being you. I'm trying. Well, I.

don't know about that cuz there's $137. in checking account. Mhm. Where did it all go? What's the. whole. Okay. What? I hate that this is the one that I. sent you because I never go to the. casino ever. But then you did. So, you never go to. the casino but then. to three casinos in one month. So. Chick-fil-A, Taco Bell, Taco Bueno. Yoba. For sure. Thank you Yoba and forever. So good. Apple, Scooter's Coffee. Mhm. Laser hair. removal. Affirm.

That's the main thing that comes out is. those Quad payments. Starbucks, Tax For Less, Ulta, Quad Pay, Kill Tony. I saw them in the New Year's Eve show. I had to buy it. It was so so good. You. went? Yeah, it was really good. It's really good. But I can afford to. go. Cuz I don't have bad debt. Well. You have bad debt. You can afford to go. with your income when you don't have bad. debt. And if you put it in an emergency. fund, you don't have anything to. go. I paid the $30 and watched it. online. Yeah, but you couldn't afford it. though. Mhm. Patreon, can't afford that.

either. Better be mine at least. I. didn't know you had Patreon. Please. Um. PlayStation, Quad Pay, Hoppin' Sack, Happy Hollow. That was the bet. Coocher? No. Coach hire. Mhm. My mind's on the laser hair. removal, apparently. What? Wildcat Express. Mhm. Seafood Party. Mhm. Quad Pay, Netflix, Imperial, uh yeah, that's vending.

machine. Oh, you're wild. You know what? What? This is insanity for someone your age. starting adulthood and you think you're. going to buy a house as your total. overdraft this year so far? $1,743. That Do you That's. That's. Why? but. year none. WE JUST STARTED the year. You haven't had the chance. That was uh.

probably the first of THE YEAR WHEN. OH! I WASN'T MAKING AS MUCH MONEY. OH. GOSH. AND LIKE I SAID, I NEVER check my. bank account. Stop. Stop. I don't want to hear. anything. You overdrafted that much making as much. as you do? This is one of the most. irresponsible financial situations I've. ever seen in my life. And that is not a statement I wanted to. say today on a Monday. And your rent's only $800? Your rent's.

only $800 and you're overdrafting? Oh, you're paying her home insurance. I. was going to say that's ridiculously. expensive. for. renter's insurance. Electric 98 is not. bad. Gas. Yeah. And that's because it is the. nippier months. Water's probably 120. You said 100. Yeah. So, 120? Mhm. It varies, but.

I swear they don't even check my meter. Car insurance 122? I think it went up to like 100 No, it's. 122. I was so happy cuz the Lions won. yesterday. My phone bill is like. conference championship, might go to the. Super Bowl, and then you come in here I. don't even know who that $340 phone. bill? Yes. What the. I know. T-Mobile. Explain. No, I have T-Mobile. What? I. just feel like they just lied to me.

What are you talking about? Dude, I. signed up for unlimited for 70 bucks. Well, they say like all the Yeah, all. this stuff is going to be free, blah. blah blah blah, and then I look and it's. $340. No. You're No. That's not People don't. just walk in and get No. That's not a. thing. My. This is not a top priority. This is. You own your phone. Did you finance your. phone through them? Yes. How much to pay that off? I don't know. But I would like to Well, I pay for my. boyfriend's phone, too. Oh, why? He's.

your boyfriend. Yeah. Why? I don't know. You already lasered your hair for him. Why do you have to pay for your phone? Pay it for his phone. Uh. I want to pay both of our phones off and. then just. WHY BOTH OF HIS? WHY? So we can just do. like MINT MOBILE. NO, WHY WE? WHY WE? He's your boyfriend. Mhm. Does he give you money for this? No. Is he an elk on the side of the road? Is. that who you're dating? Then he can pay. Mhm.

Mhm? What is mhm? What is mhm? I I don't He doesn't Go on. I don't know. He just He doesn't make. that much. He just recently got a job. Boohoo. He shouldn't have financed the. phone. I agree. Okay, then why are you. taking care of it? I don't I feel like I have to. And. they're in my name. Are you a sugar. mama? At the age of 20, yeah. If if that's. what you want to be. I don't want to be. Then stop. I don't know what to do. You tell him, "Hey, I'm trying to get out of debt that.

I'm dying in.". him this month he has to pay me $400 for. the house. Oh, he doesn't even You guys. live together and he doesn't even split. rent? Usually? Mhm. My gosh, you really He's a man baby. What's his job? So he was jobless like. half the year last year. And he just. recently got a job at Goodyear. Insurance? Is it Goodyear? No, tires. Mhm. Yeah. But his checks are like not very much.

and. so far all I've seen is like $300 a. week. And he's only had a few paychecks. You got to stop subsidizing. that man baby. And your debts are insane, of course. Surprise, surprise. But that's why I I like I spend so much. at Walmart cuz I'm always making sure he. has like groceries and stuff. Food, you're contributing 300, no more. He's a big boy. $300 a month? you're contributing to groceries.

To cover one person. I have my dogs, too. Okay. 75, right? Mhm, they're big dogs. I have. two big dogs. Mhm. Uh I know what I spend a decent. amount on. dogs. 100? Sure. Okay, dogs. Wish they were here, I'd pet them. They'd make my mood so much happier. I really wanted to bring her. You said there's three. Mhm, but I have. one that's just like my baby. Well, I. wish I met her. Uh.

toilet paper fun, $100. Anything extra. you need, makeup, you know, supplies, Mhm. things, you know. The necessities. Health insurance, through your parents? Mhm. Oh, and then we have Wi-Fi. Yes, what's your internet? It's $80 a month. My boyfriend, I told. him that was the only thing he just had. to log into the account and pay it cuz. that's the only thing that's still in. his name. So, that's all he had to do, log into the account, pay it, use my. credit card, pay it. I guess he hadn't. been paying it the past few months, so I. had to pay like.

$360. Listen, I know this is very personal, but. when have I ever cared about that? Why are you dating this child? know, we've been together too long. That's not a good excuse to be dating. someone. I love him. Well, that's a good excuse to be dating. someone. Well, he's a baby. Mhm. At. least financially speaking. For sure. He. owes lots of money lots of different. places, too. Oh, you guys are perfect for each other, then. Mhm. $3,337.

All right, $3,307 on a monthly basis. That's what you need to live. You say you're bringing in net double. In net, you brought in triple. I know, and that's how when I add it up, that's. kind of how it is, too, but I. follow this budget, go through our. budgeting program, go through our. budgeting program and actually do it. Okay. Do the program, teaches you how to. budget in your situation, and keeps you. on track. Do it, and then you should never be spending a. penny over this. You really shouldn't. In this case, you just go through the. debts. What about gas for my car? Okay, how much is gas? It's going to be. expensive if you drive a lot. Yeah, I.

would say I fill it up at least two or. three times a week, and that's $75 to. fill it up. We'll do three. Let's just. Let's just be. It's a lot. Yeah, sure. 229. Honestly, it doesn't make a massive dent. because you make a lot of money. 3,599. Cool. Fantastic. According to you, net, you should have. an extra $2,901 on a monthly basis. Again, there's no reason why student. loan should exist.

You have an extra $1,000 on top of. killing that. You kill it and you have. an extra $1,000. There's no reason for it to exist. If. that exists another month, it's because. you're being a child. Okay. Because. you're being irresponsible and not. giving a [ __ ] about your future. I'm. fully ready to get this taken care of. So, I'd take care of that and the Uni. the first university collections. And if. you do that, that's two months. Boom. Two months. Okay. The reason I'm not. doing a one-month emergency fund first. is cuz your living situation's very,

very generous, and I'm sure your cousin. would allow you to. chill for a month if you needed to. So, the risk is quite minimal. And then you're on your parents for some. things as well, and there is boyfriend. Kind of. Okay, and then the other education. taken care of in month three with some. of it going to the Southwestern, month. four we're finishing Southwestern, and. finishing the Walmart. The Walmart. Month five. Yeah, the two Walmarts, the the little.

pay stupid. You don't think I should just go ahead. and pay those off now? I'm going through this. Number five, discover it's gone. and care at that point honestly. Six, laser hair. and dad. Okay, so that's six months and you take. care of every debt cuz your income's. incredible if you actually budget. If. you don't and you continue acting like. you've been acting forever and just. spending all this insanity, this. these percentages are whack. Yes.

Then you'll never get out of this and. you'll die in poverty. And this is basic math. Just takes it. takes 10 months and the Jaguar is paid. off. No. Yes. So you don't think I should just. continue financing that? It's at 9%. Just pay off extra? Pay it off. Okay. It's your last debt on this on this. ride. We did a mixture of snowball and. avalanche kind of. So this is a hybrid.

That's what I've been trying to just do. the snowball and pay the daycare credit. off first, but. What you said you wanted to pay off. student loan first. See again, this is. why I said your top priority thing you. just have no idea what you're doing. That's not even budgeting. That's not. even budgeting. Yeah, so you don't have any top. priority. Your top priority is going to. the vending machine. Mhm. So 14 months, 14 months and every bad debt is gone. You have no bad debt. No bad debt in. your entire life. It's incredible.

We'll see how many elk you'll hit. between then, but. no bad debt. 14 months. Call it another probably six. Yeah, shouldn't be more than it should. be five months. You should have a. six-month emergency fund because your. needs between income is such a wide gap. Then you should be able to cash flow the. rest of school as well at that point. So. this is incredible. This is incredible. It's So what should I save? For a. six-month emergency fund? Well, I want. to put money down on the house. Well, okay, we get a six-month emergency. fund and we cash flow school. You might.

have to put the house off for 2 more. years. No, because then I want to get I want to. flip a house. I want to renovate a. house, too. give a want. I want you to be in a financial. financially less risky position. In a healthy position before you go into. it. Guys, it's a new year and you need to. make your money work for you. You can do. exactly what I literally do right now. and put my money in the best high-yield. savings account, SoFi. I get a 4.6%. yield on my money and I also took.

advantage of the bonus of up to $250. when I signed up. You can start 2024 off. amazing by doing the same by going to. the link in the description below. If you're buying your first property at. 22, you're beyond ahead of the curve. It's not even close. Your impatience, stop being impatient. Your impatience has gotten you into a. place of financial ruin. Yeah. Follow. what I'm saying. Follow the budgeting program. Stop screwing around with your. You'll actually I'm going to cry.

So, okay. Okay. Okay, what was it? So, a. year and 9 months. A year and 9 months. all bad debt is gone and you have a. 9-month emergency fund. How much more. school? How many more semesters? Mhm. In a year and 9 months? Okay. Hopefully. I'll be about done. Yeah. Yeah. No, no, no. You will be. You will be. You. probably won't be able to cash flow that. entire time. You'll probably be. borrowing cuz you've paid off your those. collections. Then I can just take out a. loan. You'll you'll be probably. borrowing a little bit during that. And. what you're going to do at that point,

if the rates are above 4%, 5%, kill. them. Knock them out right after that. year and 9 months. Let's call it 2 years. and you're completely debt free. If it's. not your minimum monthly payment, it's. still paid off and I can tell you about. that when we get there. But, either way, let's call it 2 years, you're completely. debt free, and school's paid for. You. have a degree. Wonderful. At this point, what I want you to be doing, because. we're compounding, you have so many. years on your life, we're throwing 20%. on a monthly basis into investments. Whether that's through your workplace, or that's through a Roth IRA, or.

individual stocks in a program. I use Moomoo for my individual stocks. You can use whatever you want to use and. there's a lot of different things you. can do whether we're playing with. individuals, not playing, but individual. stocks or Roth IRA or in work. retirements and I would take it if. I would do the tax advantage accounts. first like 401ks and Roth IRAs. Then. because your needs and. income coming in is such a wide gap at. that point, your needs are going to be.

like 40%. So 20% is going to investing, needs are 40%. I would do another 20%. you're saving up for a down payment on. the house on a monthly basis and then. the other 20% can go to fun and that's. still a lot of money towards fun. Yeah. That's for example. $1,300 a month on fun. That's a lot of. vending machine trips. So Well, hopefully in a year and a half from now. I'll be making like double. I mean with. the with the amount of hours you put in, that's very possible. So either way. 20% to investing, 20% saving for the.

house, 40% on your needs. Just based on. this as long as your needs don't go. drastically up and hopefully the man. baby will start chipping in anyway, which will bring your needs down to. maybe even 30%. So. at that point. and the reason it dropped dramatically. by the way is because you don't have. debts and your debts are your largest. single monthly thing. At that point you're doing that and once. you have a down payment for a house, do. it. The flip thing I don't know, that's a. conversation we can talk about when it. comes to real estate. I don't know what. your plans are there and I'm honestly. scared just based on how you do things,

but either way. We're not doing that for probably two. and a half years from right now, but. that's okay. 22 and a half. Oh my goodness. It's incredible. far. It's not. I promise you my. goodness. I remember thinking that at 20. Mhm. and I'm. basically dying in a retirement home at. this point in my life and uh. it went by very quick. I promise it. will. And no one likes when you say that. I. remember when people said that. It. doesn't feel like it. But just promise.

me. Just just trust me. Trust me. Trust the system. This has. worked for so many people. This can work. for you and you can have the greatest. life ever or you can continue doing what. you you're doing and you can just be. [ __ ] around and you can never be. financially sound for the rest of your. life. I would personally choose the proven. path to success. Hey, that's a good name for a system. If. I had a system. I don't have a system. cuz I don't like one size fits all, but. that's a good name for a system. A. proven path of success for success. I don't know. What do you think about. all that? That's a lot to take in.

Um I think I can do it. I'm going to do. it. Like this? Yeah. Okay. Now, a lot of people they. walk under here with a fire lit under. the Yeah. We're talking. 2 years to be completely debt free and. school completely paid for. 2 and 1/2 2. and 1/2 years to put a down payment on a. house. You think you can do all this for. 2 and 1/2 years? What's going to. No, I want to do that sooner. All right, I would love you to do it. What's going. to keep you motivated all throughout the. cuz you'll feel a fire under a couple. months. What's going to continue your. motivation? know. I just think having that goal in.

mind, I think I can do it. I feel like. once I get something in my head, I just. have to have it. So, what's been in your. head that's prevented you from doing. this? So, we've had obviously incorrect. objectives. food. and quad pay and things. So, that those. have been your objectives? What No, no, no. What have your. objectives been? that. What have your objectives been? I. don't know. Make it through. day by day. Okay, well, that's not a good objective. So, okay. That's fine. Now, this is your.

top priority and we've leveled we've. laid out what is required to get there, the steps along the way. So, if you're. aiming for those steps and you attack. them and we actually get to our top. priority item, which is getting bad. which is getting all debt free, honestly, paid for degree, fully 6-month. emergency fund and a down payment on a. house. Yeah. That's incredible. That's. incredible. So, do this and you'll get. there. I'm very scared based on your history. I'll be completely honest. I'm very.

scared based on your responses to this. Jaguar is not needed to be sold to get. out of this debt, but the fact that you. weren't even willing to consider it. before we got to the end picture. It's. terrifying. Pissed me off. off either if I just want to get a new. car. I don't really see why I need to. pay it off either if I just want to get. a new car. I don't really see why I need. Your new car. But my interest would Your new car. Why. would it be better? Rates haven't gotten. better. It maybe when my credit score. will be a little better, but it's not. going to get that much better. Now, you're just talking ABOUT TAKING OUT. MORE DEBT AGAIN. SO, you haven't even. learned the lesson. So, what's even the. point? What's even the point? I'm going to do. it. Oh, I thought we I thought we ended.

on a happy. Watch me. Yeah, watch you get a new Jaguar? Mhm. How much is the new Jaguar? I'm I'm. saying in a year from now. Yeah, how. much is it? I don't probably in a year. from now the one I want will be like. maybe 35,000. Why? Why? That thing looks. perfectly fine. That thing's perfectly. fine. That thing's perfectly fine. They. upgraded it in like the 2021. What's better about it? Everything. What's better about it? The screen, the. the whole interior.

Kill me. I I have no hope for you. I'm sorry. I. have no hope for you and I'm done. Watch. me. Good. Prove me wrong, please. Cuz it's. your future. It's not mine. It's yours. So, actually prove me wrong, but that. stupid to be completely honest. And it's. just it's continuing your immaturity. But you are 20, so. Well, the categories for her hammer. financial score is spending within a. budget, the debt, emergency fund, retirement, and real estate. There was. nothing good when it came to emergency. fund, retirement, debt, and spending a. budget was absolutely insanity, and the. debt was the crazy some of the craziest.

I've ever seen, especially for her age. So, it is beyond obvious that her hammer. financial score is zero out of 10. Make. sure to check out all the resources. linked in the description below. They. are what I use or what I use in specific. situations, including the best budgeting. program in the history of the internet. Thanks to all of our Patreon producers. for making this episode possible. If you. want to participate in an episode of. financial audit and you're able to make. it to Austin, Texas, please fill out an. application in the survey linked in the. description below. You can also send a. link to your friends or family who you. think might be good to be on the show. If you have any questions, you can email.

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