McLeod Law Offices

Some espouse the belief that if you’re up to your eyeballs in debt, it’s better to eat beans and rice for weeks, months and years until the debt is paid.  I won’t mention names.  This isn’t about them.  While it’s pretty indefensible to live a lifestyle you cannot afford at the expense of creditors, it’s even worse to lead a lifestyle that can be downright counterproductive and harmful when you’re trying to pay your creditors.  There’s being “super frugal” and then there is being “stupid frugal.” So today, I want to cover a few things I’ve noticed people doing while they are trying to pay down their debt.  I sharing my observations, but I think it’s good if you consider it food for thought.

Food

Let’s start with the easy one.  Many years ago, a bankruptcy trustee told me that my client (a single man) who was spending more than $300 per month on food was excessive and unreasonable.  I produced receipts.  My client ate good produce and stayed away from unhealthy processed foods.  He was athletic and I was quite prepared to bring my argument that my client should not be eating government processed cheese on white bread in front of a judge.  Don’t get me wrong, I’m not suggesting that people shouldn’t be clipping coupons or looking for bargains.  I also don’t think that grass-fed beef should be on everyone’s menu.  But inexpensive foods are, by and large, processed and that isn’t healthy. Make smart healthy food decisions.  Keep and stay healthy for your family, friends and everyone else that counts on you.  Then, think of your creditors.

Prescriptions

I am meeting people who are not getting prescriptions refilled because they cannot afford it.  Why? Because they are paying hundred of dollars a month to some debt settlement company or credit counselor because they are trying to do what they believe is the right thing.  Here’s a wake up call:  If you’re not getting prescriptions filled, or if you’re trying to stretch your dollar by skipping doses, that is not the smartest thing you can do…unless of course, you have had a frank and candid discussion with your doctor and he or she has given you the green light.

Don’t skimp on scripts.

Dental

My dentist is a nice guy, but honestly, I don’t like going to him.  I know I will feel some pain.  I know I will see some blood.  Probably taste it too.  And since my experiences are probably less than unique, it’s easy for people who are struggling to avoid going to the dentist.  But if you avoid going to the dentist, it can lead to ugly nasty things.

I once had a root canal that (and this is term my former dentist used) ‘blew.’  It turned into an abscess.  The pain was indescribable and Shelly (and if you call the office you know her) told me that it happened to her, and even the pain of child birth wasn’t as bad (and if you know her, that’s saying something).  So I learned a lesson…go to the dentist even when you don’t want to and can afford it.  And I’ve also learned that letting your teeth go to hell can also lead to pretty lousy health issues.  Take care of your teeth.  Take care of your creditors later.

Mental Health

People go to counseling for a variety of reasons.  Unless you’re going to counseling for the sole purpose of exchanging recipes, chances are the counseling is helping you through a temporary crisis in your life, some problems you have been trying to address, or some long term issues that require some working through.  Whatever the reason, stopping counseling to pay debt is unwise.  It’s a necessary budget item.  Think of it, think of you.  Think of debt later.

Pets

More and more shelters are reporting that people are abandoning their pets because they cannot afford them.  If someone truly cannot afford a pet, they should do what they can to ensure that the pet ends up with a human with the means and the love to take care of it.  But pets are – by and large – an important part of a person’s life.  They are – at least in my house (and I know countless others) – family.  Betty was a rescue cat who is 3 and is as crazy as the day is long.  Kit is 11 – she was my mom’s and I got custody of her when she died in 2002.  When it comes to abandoning an animal for the sake of paying debt, I’m going to come right out and say that this is just silliness.

I recently met with a client who was in a debt management program (and readers know how much I love those) and had two dogs.  She was older, widowed, and had no children of her own.  Her dogs, but for some relatives within driving distance, were her family.  Should I advise her to forgo taking care of the dogs to satisfy her creditor’s demands?  They are, to use her words, “her boys.”

That said; take care of your animals.  Take them to the vet.  Make sure they eat well.  Make sure their teeth are clean and healthy.  Give them lots of love.  They need you as much as you need them.

And remember, there really are some things in life that money can’t buy, and among them is the love you have and get from your pet.

Take care of yourself.  Then, take care of your debt.

One way or another.

Related posts:

1. Yet Another Reason to Avoid the Rip-Off of Debt Settlement
2. When the Nest is not Empty: Some Food for Thought for Parents Struggling with Debt
3. Families Fighting About Debt
4. The Light at End of the Tunnel
5. Debt: Have a Back Up Plan

Tags: Bankruptcy, Chapter 13, Chapter 7, Credit and Debt, Debt Settlement or Consolidation, Discharge of Debts, Yep. We're in trouble.

This entry was posted on Wednesday, August 4th, 2010 at 5:47 pm and is filed under Bankruptcy, Chapter 13, Chapter 7, Debt Settlement or Consolidation. You can follow any responses to this entry through the RSS 2.0 comment feed.
You can leave a response, or trackback from your own site.