I’m a firm believer that our perspective shapes who we are, but perspectives can change! Enjoy, be encouraged by, and learn from this guest post from Malisa.
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Growing up, I learned that credit cards were necessary. I needed a credit card to build my credit score. When I met my husband, Anthony, I convinced him that he needed a credit card too. We got married March 2006 and had 7 credit cards and student loans.
We bought a beautiful townhouse October 2006. Neither of us knew what we were doing but “grown-ups” owned houses, so that’s what we did.
We quickly realized we couldn’t afford the house. We’d borrow money to pay our mortgage. Anthony and I were in emotional and financial turmoil. We didn’t know where our money was going or how much we were actually spending.
Over the next 1 1/2 years, we heard about Dave Ramsey and, by recommendation from my father-in-law, we started listening to his podcasts. We found out about Financial Peace University, a program that teaches foundational principles regarding “your life and your money.”
April 2008, we met with a woman from our church who shared her journey and the principles she had learned from Financial Peace. Together we made a draft budget. It wasn’t pretty. We needed over $1500 more per month just to pay our bills! We were so scared that we didn’t actually write budget on our own until August, four months later!
Those first few months were incredibly stressful. Anthony started school in July 2008, with an end date and potential salary in sight, which means we would be without his income for a while. We also decided to list our house for sale and were approved to sell it as a short sale. After many, many offers the house sold June 2009. We moved to a rental that was 1/4 of our monthly take-home pay, the guideline Dave Ramsey recommends.
While Anthony was in school we simplified our lifestyle A LOT. We began living on one income and were able to completely pay all of our bills. We got rid of cable TV, sold everything we could and stopped eating out as much. We also were able to pay off 2 car loans during that time! Anthony graduated in February 2010 and got a job quickly thereafter.
We went on our first big vacation to the Pacific Northwest in January 2011 and our trip did NOT follow us home. Everything was paid for before or during the trip. Once we were home, all we had were photographs and memories of our trip. This was a HUGE deal for us.
We’ve lived on a written budget and haven’t borrowed a penny from anyone, except the student loans for my Master’s degree since mid-2008.
Living a lifestyle within our means has been a challenging exercise in learning to say no, but we’ve learned that saying no is much easier than being in bondage to debt.
The rich rule over the poor and the borrower is servant to the lender Proverbs 22:7, NIV
What used to be a stressful and time-consuming process of monthly budgeting has become much easier, sometimes even fun. We agree to stick to the budget or discuss any changes as they come up. Working together to be debt-free has made our marriage stronger and we are more unified.
September 2011, we saved and bought our first new-to-us car with cash! It was one of the best, and most fun, purchases we’ve ever made.
As we drove away from buying the car, we were both surprised at the peace we felt. The best part is we didn’t have to worry about dragging a monthly payment home with us.
Instead of using a credit card for emergencies, we have money saved for emergencies. The funny thing is, since we have the emergency fund, emergencies have gone away. Sure, there have been brakes to replace or an unexpected bill, but having the buffer between life and our wallet has been a relief.
A little over 3 years later, we have no debt other than my student loans. Waiting to buy something you’ve saved up for feels totally different than buying with credit. I don’t feel guilty about my purchases anymore. No matter how impossible your current situation may be, just remember, there is hope for where you are!
Malisa blogs about cooking, crafting, and opinions about the world around her. She loves sharing the latest recipe she’s modified and easy DIY crafts. Malisa enjoys documenting her experiences as a married woman and a follower of Christ in the 21st Century. Website: malisaprice.com Twitter: @malisaprice
What a GREAT story!
Thanks so much for sharing! My husband and I also live debt free…and it’s our goal in life to teach others to live debt free as well. There’s nothing like the feeling of knowing that you don’t owe anything “except a debt of love to your brother.” 
Hi Stacy, what a great feeling to be debt free! That is something we are looking forward to. I love the verse you shared! A debt of love is the only debt I want in the future.
What did you and your husband do to become debt free?
Love this and very inspirational!
Thank you, Sara! Glad we could be an inspiration to you.
Great inspiration for me! Thanks! My husband and I are starting FPU in 2 weeks!! We have a long road ahead of us, but we know that God is going to help us get through.
How exciting, Tara! Just remember, if you are both in agreement, nothing can stop you. Even though Dave recommends certain things, Anthony & I decide what works best for us and go from there. I’ll be cheering for you.
Way to go! It’s amazing the difference it makes when you are in control of your money! All the fancy gadgets are fun, but I’d much rather know that we’ll have money to pay the bills… and save up for the fun stuff.
I couldn’t agree with you more, Anna! Knowing where our money is going is such a stress reducer. I never thought I would be happier having limits and living from a written budget.
Thank you for sharing your post. My husband and I have decided to finally pay off some crushing credit cards and we are so relieved and happy about it. We sold our truck and are forgoing buying another car (although we could really use it) in order to make it happen. Thanks for the inspiration!
Yeah for you, Sarah! It really helped us when we sold our truck because we had some cash to get the debt “snowball” rolling. Best of luck to you and your husband!
Great job! We are debt free in our home which means a lot of sacrifices as we have three young children and live on a part time income while my husband gets more education. It is so worth it though!
Wow! Excellent work to you an your husband, Johanna! How amazing that you are debt free and paying for your husband to be in school. Good for you. You are an encouragement to me.
This story sounds so similar to mine! My husband and I also bought a townhouse in 2006, and we also sold it through a short sale. Going through that experience, and others, has definitely changed my mindset regarding finances. Congratulations on finding financial peace! That’s so great.
That’s crazy that you bought one in 2006 and short sold it too! I still think that experience was so painful, I wouldn’t want to do it again. But I couldn’t agree with you more, Audrey, that we learned lessons and our mindset was changed. I’m so happy for you and your husband too!
Malisa, this is so so encouraging! I love your honesty and reading this has gotten me more excited about budgeting
Thank you Jodi! I’m so glad you got excited about budgeting from what I said.
Our perspective has definitely changed! DH & I both came from families that used credit cards. We always assumed that everyone used credit cards and at times had some hefty debt. I would get on a kick to get them paid off, but because we didn’t have an actual budget, the balance always crept back up again. Now, we have a budget and a small emergency fund. Our lone credit card will be paid off this month and then we’ll be tackling our home equity and building our savings. I wish I had known all this years ago!!
Mona, we would do the exact same thing. Pay off a little on the credit cards, but then the next thing we knew they were WORSE than when we started paying on them. We finally got some traction when we had our small emergency fund and started completing a written budget at the beginning of the month. And we actually stuck to the budget. I’m so proud of you & your husband! Congratulations for paying off the credit card!!!!! I wish we knew all of this earlier on too.
Love stories like this. We’ve never been in debt except for our mortgage and car payments (which we paid off already). I would be uneasy if we ever owed anyone money. I do feel like we need to make a budget…funny that we don’t have one as that’s what my husband does for his job. =p
Hi Joyce! That is funny that your husband does budgets for his profession and you guys don’t use one.
I don’t think it is uncommon for lots of people to not do a budget. Good for you that you paid off your cars. Have you paid off your house too?
No, not our house, only our car. We’ve actually always had enough to just pay for it our cars, but it would have made a huge dent in our accounts. I only know one couple who is our age that have paid off their house. I’m not sure if they did it on their own or if they had their parents help them though.