McDonald's Is More Important Than Her Child | Financial Audit

0:00To watch episodes of Financial Audit a week earlier, check us out on YouTube. I was not making ends meet. Why? These guys spend money. Oh, this is interesting. We don't have a rent payment. We have a kid. We care for their future, but going out to eat is more important. You can't just sit and laugh. I am going to go get McFries over my child's future. Are you going to feel worse when he is putting his life on hold to support you because you have nothing for retirement?

0:27Hi, my name is Elena. I'm 34. I'm from Edinburgh, Texas, and this is Financial Audit. Thanks for coming up. I know it's a long drive. What do you do for a living there? I work at a bank as a quality control representative. Okay, awesome. And making sure people not losing that money. Pretty much. What do you make in this job? I believe$33 ,000. You believe? What does I believe? Well, that's what they told me when they gave me my raise. When did you get your raise? Probably in May, I think. so that's what they told you a race to 34 is because now i know that's uh you know it's kind of on the border it is cheaper cost of living there uh well what's the nearest major town mccallon okay main city okay so i know it is cheaper but 34 race to 34 how do you feel living on 34 000 there i feel like i need more you need more bigger raise yeah so what do you think hits your account on a monthly basis then so you should be up to date then because your raise has been a while ago now yes um okay so every i get paid every two weeks and i get i take something's weird here a thousand fifty a thousand one hundred when i'm check yes because i only have one of those hitting 1077 are you hourly yes or salary oh so they're expecting you with 40 hours a week to hit that 34 yes so did you take non-paid time off because 1077 that's what we had come in payroll right there if you have two of them it makes sense yeah like it but we had one we had one no it's every two weeks okay is it bi-weekly or is it semi-monthly it's on the first on the 50th oh so semi-monthly so we wouldn't have missed it it's just one okay yep but that's okay you know maybe this is something a little weird with the statement maybe it was a timing thing but two thousand bucks a month yeah it's not enough okay how How are you stretching that?

2:41What's like, what is even your rent? I'll just ask that off the gate. You should be waiting for that one. Well, my parents, I live with my parents. Oh, I was going to say, you kind of have to. Yeah, they help me out a lot. Do you have kids? One. He's going to be nine next month. Oh, wow. Okay. Because that's also expensive. Yeah. Living with your parents. Is there a significant other in the picture? He's my boyfriend. He lives in Houston. that's a that's a commute well he drives to me sure that's a commute does see the father of the child no is the father of the child providing child support uh sometimes late he does provide it but it's like what about legal obligation well that's his legal obligation how much what's his legal obligation i get 292 that's what we had hit 292 but you're saying sometimes he doesn't okay so right now it's september he's late on the august um how often is he late and what does late look like does he double this month because of last month no no no no no that's what you told him to do i expected him will he no probably not so he won't pay september he's just in debt yeah like in sept if he pays september it's probably gonna be the one for august so i guess he's like a month well yeah but okay yeah but is his august really august or is it a month of late push back from something else as well well is an april late and then you know so like is the one that's being paid for august actually august or how often is he late yeah because back in april he well that was just an example i don't need april specifically okay yeah So he got behind like three months.

4:23So April, May, June, July. And then he tried to catch up. So now the one that he's going to pay, if he pays in September, it would be the one for August. So you make$2 ,000 a month. How much did you spend? Yes. A lot. Teehee. Yes. And what is that number? I don't know. But I was in the... Nope, nope, nope. Nope, nope. What is the number? How much did you spend? What do you think you've spent? I'll clarify 1 ,200 1 ,200 Maybe You bring in 2 ,000 You spend 1 ,200 Well I bring in 1 ,000 every paycheck Not a month Yeah so 2 ,000 a month Okay But you spend 1 ,200 Oh no in the month Yes Probably 2 ,400 2 ,400 Well yeah Why are you spending$400 more than you make Because I don't know I have payments Payments for what Why How Where My daycare my son's daycare wait but you live with your parents so they don't watch the kiddo no i have to pay daycare because they both work they're working how old are they uh 63 and 61 okay um are they continue gonna continue to work for a while i hope not daycare nine-year-old i mean he's getting pretty close to where he can stay at home yeah yeah he's already asking me to stay by himself but i'm like no you can't do that i know i know especially first kid i i know everyone's a little more you know nervous yeah as someone who has had so many kids i'm an authority figure on the subject okay yeah you spent three thousand dollars in a month yeah wow are you sure yeah math is kind of math you know you add numbers together and you uh get three thousand oh wow oh wow indeed okay okay i don't know why i try to budget and but what is trying to budget i feel like i've i hear people say try to budget i make a list right of all the payments that i have to make sure santa sure just like the payments that i make that just goes my whole check goes to that uh-huh i don't even have spending money left

6:34girl you know what show you're on yeah

6:41I don't even have any spending money left I don't I have like$7 in my account Uh huh I don't have any money Spending money left $267 going out to eat Is that funny? No Huh interesting Missile in his bull You know Well it could be a video game It could just be things that don't matter $158 But I don't have any money left this far well what I don't know it's because I make my list and I add it congratulations and your list is wrong you must not be writing things down I write everything oh I guess not interesting if you write everything down you'd be able to tell me how much you spent last month yeah you're off by like 30 % yeah yeah well I need help Caleb that's why well no That's why everyone's here.

7:37That's not a cop-out. That doesn't get your feet out of the fire. No, it doesn't. You'll get the help. We'll get the help. But this is the we uncover your shit and your bullshit part of the conversation. Okay. I'm sorry. No, it's okay. Maybe. Maybe it's okay. We'll see. Obviously, so your method of budgeting is obviously not correct, to be clear. So we need to get you on a proper path. well by the end of this we're going to create a makeshift budget kind of see where we stand and what you can do but go through the budgeting program that you're going to get for free okay go through the investing program that you're going to get for free go through all that take the classes take the quizzes um these people out there have to spend money to get it so you better take advantage of it okay i will some of the best education you can take advantage of change your life all right self-assess where do you think you are financial score zero to ten zero being the worst ten being the best where do you think you are i took the test i got a zero yeah i'm not surprised especially where i'm looking down at the statement i see red everywhere go out your hammer financial score it's free link in the description below also feel free to come on the show if you have an interesting situation interesting finances calebhammer.com apply lie we would love to have you in austin texas capital one so what is going on with this card why is this card i okay so back in 2023 i was making my payments um 2023 is a while ago now yeah i know um but um starting probably february march uh for some reason i could not No.

9:26No, for some reason. No. How about you give me the reason? I spend money on miscellaneous. But I make a list. Okay. So, I was not able to... Like, I was, like, struggling, right? I was not making ends meet. And then... Why? These guys spend money on miscellaneous stuff. Oh, this is interesting. We don't have a rent payment. We have a kid. we care for their future but going out to eat's more important no it's not well it was well it was you did it you chose that that was the action you chose whether it was a conscious full it was a conscious effort whether it was a full frontal conscious effort of i am gonna go get mcfries over my child's future no but in there you still made the choice to do it knowing that you were going to stop paying on a debt in order to get a mcfry yeah i know um okay so i i know i made that wrong choice but you didn't just make that wrong choice this isn't you just made a wrong choice this has been six months of daily wrong choices this isn't we cannot excuse this as i made a wrong choice this is behavior of a half a year yeah showing that you prefer a mcfry over paying your damn bills it's okay that you live with your parents especially as we're trying to figure things out but clearly again we prefer a fry over any semblance of independence i know it's because my son asked for mcdonald's no no no you know what a parent does he says no no at home huh cooks at home we got mcdonald's at home and it's a little frozen nugs that's what we do you i mean you can't do it does does the little disappointment of saying i'll tell him no i know he's out there i'll go there no i'll do that um yeah you can see i'm great with kids yeah you'll probably scare him well good no more nugs for you no nugs on the way back down to edinburgh he already asked what he was gonna eat he asked me right now what the f*** as a f*** as a fat f*** i don't go around asking people how much i eat what what is happening is that the only thing he thinks about no well yeah most of the time that actually might be something we need though because that's not going to lead to healthy life choices i know um especially if you're having like this constant like spoiled throughout expectation of always getting these little sweet treats if that is the expectation in life yeah no he's gonna beg for it and it's actually gonna be hard to break that because this is the expectation it's it's the what's looking forward to i feel yeah i feel since he was little he would always want something and then i would give it to him And then now I'm seeing it.

12:35It's like he's like, I want this. And then I'll get it. He's like, no, you can't do that. But you don't say no. You can't get that. Oh, throw a tantrum. Okay, call me in. I have fists. He has a face. They will meet in battle. No, I'm kidding. Obviously, that's not how you deal with it. You hit him with a belt. No one wears belts anymore. We're all too fat. We hold up our pants with our own weight. What is happening? What am I saying? just

13:04uh oh sliver

13:10no it's just you know especially nine he's in middle school right uh no he's in third grade well yeah middle school that's not middle school third grade is not middle school fifth grade no fifth grade elementary well hold on five is first second sixth grade is i guess i know what middle school is i'm trying to figure out what age sixth grade is elementary no i'm trying to figure out what age sixth grade is sixth grade hold on 10 should be fifth right 10 and 11 should be fifth yes the fifth grade is or first grade is one oh my five first grade is five oh it doesn't matter should be 12 okay so he's probably not old enough for um i'm just trying to think maybe we sit down we have a little more mature conversation might not be able to fully grasp it at that age still sit down and have conversations but the full consequences uh and like we're doing this for the family future conversation is a little harder when it's uh younger but um the conversation something does need to happen we need to start talking and to them, yo, mom can't afford this essentially.

14:25Yeah, I tried. Now, legitimately, guys, I believe that you, everyone in your life, everyone around us can actually take control of their financial future and make their lives better. And we've spent over a year here creating tools to help make those goals a reality. Right now, our budgeting program and investing program are bundled together at a 15 % discount and you get$100 in cash gifted to you right into your muumuu account there's honestly no time like the present to actually take control of your future don't wait don't let this opportunity pass you so what do you mean you try no like i tell him but okay but he's too small to understand but i don't give a shit it's like at a certain point what do you do when a tantrum is thrown you just give in no not yes you do not all the time that's kind of what you were saying though okay yeah not all the time though why do you sometimes then because we legitimately can't afford it.

15:20I guess I feel bad, I guess. Yeah, and I would too. I would too. I get it. But are you going to feel worse when the kid in high school has girls over and he's at his grandma's house with his mom? Yes. Are you going to feel worse when you can't provide a single cent to college? Are you going to feel worse when he is putting his life on hold to support you because you have nothing for retirement at that point yeah i'd feel worse at that point than just saying no on a mcfry yeah really it just comes down to that the child conversation is a little harder for me to navigate i'll be honest and candid but that is a conversation and responsibility that just needs to happen on your behalf as a mother because mathematically this is not working out and there are longer term real consequences actually coming down in the future of his life if you do not get your taken care of now yes i agree with you on that well good maybe put some action behind it then i will why haven't you well i started kind of well these statements what this month okay yeah that's nothing that's nothing that's like me going on biggest loser and starting our diet two days before that's not funny i know yeah well i I try to stop.

16:44I started paying this month, this credit card down. But it's hard because they take$80. They start taking the$80 this month. Yeah. You have a balance of$635, which, I mean, in the grand scheme of, you know, median salary, median household income, it's like we should be able to take care of this relatively quickly. but with an$185 minimum monthly payment because of how you've been managing this card, mix that with you earning really just, you know, on the lower end of the salary scale. It's not even salary, it's hourly, but, you know, it's essentially that guaranteed 40. But that makes that hard, especially the$185.

17:30So just this, just this, when we're talking net, 185 divided by the 2 ,000 that comes in, This is already almost 10%. Almost 10%. Of my paycheck. Of your two paychecks. Yeah. Of your two paychecks. Almost 20 % of one paycheck. Now there's fees. $39 fees. In interest of$15.46. Again, we have a$635 balance. Yeah, what's the limit? $500. Well, it's all the fees that they charge. Well, you know how you get the fees? You don't pay or you're above. And I don't see a payment happening here Not even an attempt of a payment Not even a call to the credit card company saying I can't make this payment Can we lower the minimum of the payment and the interest so I can pay it off?

18:12I did not know that I will call them I didn't know they could lower it Well I don't even know if that's the full solution but no attempt from your end Why start like I said No you didn't I paid$80 in on the first Listen Listen I say this to every guest and I'll say it to you I don't care what you did two days before the show two days before the show is nothing that's a scramble to look decent before you sit at this table that's nothing it's the actions that we've been doing for months for a year for a decade those are what we break you doing something for a couple days is nothing because you leave here and you go into the habits you've been doing since forever not in a habit that you did for two days it's not a habit it's an action that you did a quick little try to look good action that's what always happens and so no i'm not gonna sit here give you a high five for that i'm not i'm sorry it's just that's not helpful to you it's really not it's not that's why i'm and it's a pass-through fee it's a pass-through fee the thing is you're right it is all the fees that have gotten up there but the minimum payment was probably 20 to 40 dollars before 25 so why weren't you paying a$25 fee because now you've gotten yourself in a position.

19:30The$20 fee, the$20 fee, the$20 fee.

19:38$20 fee was 1 % of your paycheck. 1 % of your paycheck. 1 % and now we're up to 10 because we decided we didn't want to pay$20 but we wanted to spend$250 getting McNug. I know. It wasn't on the credit card though. Huh? Not me. It wasn't on the credit card. No, no, no. balance yeah it was just random so it was then so it was yeah random crap well there you go so it was why'd you just try to tell me it wasn't on the card no why'd you just try to tell me that i tried to deflect maybe no why i don't know maybe no no i'm not trying to deflect killer I'm trying to get to a better position in my situation.

20:26What? That's not an answer to my question. What? You can't just sit and laugh. Okay. I know. Just trying to answer a question. So we're not going to get to the bottom of this, is it? It isn't a, why did you not pay your bills? There it is. I didn't, when I was like struggling and I couldn't make it, like some people told me, well don't pay it like they'll like eventually they'll disappear and i know i disappear it'll go to collections and i know i was like well i don't want that like i don't want to go to collections because i i want to move out i want to get my own place i want my son credit yes i exactly and i had good credit um and i want my son to have his own place i like but i still couldn't pay it i still couldn't make the payments so what do i do i listen to these people and stop paying for the credit cards when when did you listen to them uh probably like in the beginning of the year uh how how successful are they so not very so that's who we listen to well they have money but they don't have money from what they tell me ah okay what's having money to you i guess um they have like they don't have to well because i don't know their situation but they i I know they always, when I see them, they always have money.

21:50Oh, gosh. They're like, they got the flex on them. But like that I know of is they don't have credit cards like that. Like I had a good credit score back in 2022. And I kind of messed it up. Well, what is it today? 2024, two years ago. What's your credit score today? Oh, it went down to 530. Oh, that's really not good. 530? Yes, it was like really. We're going to the 400 soon. Yeah. I was able to get my car back in 2022 by myself. No, no, no. Like a new car, which is another dumb decision. Is that in today's statements? It should be. Have you always had debt like this? Well, no. Okay. When I was younger, when I started building my credit, I messed it up back when I was 22.

22:42Paid it off. Billed my credit. How'd you pay it off? I just paid the cards. Okay. but and then build my credit again um i guess my car payment back then would help me help me with my credit score um so then i started getting more credit cards once i paid it off they're like oh here you qualify for this credit card so they gave me more credit cards and then i got them again and then yeah and you paid those off well those are this this situation uh i believe you You cashed out a 401k to pay off debt. Back in, yeah. You were going to not tell me that? I forgot. You forgot? Yes. How do you mean you forgot?

23:22What do you mean? I forgot about the 401k. But yeah, I cashed it out. And I paid it. When?

23:332021. So you didn't pay off debt. You took away from your retirement account. Yes. You're forced savings because you set up a percentage. You took that, took the penalties and the taxes, which, by the way, might have completely negated the interest anyway, depending on what it was. And then you paid it off. But you didn't pay it off through behavioral change. You didn't pay it off through budgeting and then putting extra towards it. You budget by taking away from your retirement account. So you didn't learn anything. You didn't learn anything. Nothing was beneficial there. No, I think it was. How much did you take out of your 401k?

24:15It was like 8 ,000. Buddy, how much do you have? Left? In a 401k? Yes, in your retirement. Today? Yes. 14 ,000. Okay, at least there's something. It's still dramatically behind for your age. Yeah, that was for my old job. Instead of transferring it, I just took it out. What? What, the eight? Yes. But 14 remains. well that's for my new for my new job the one that i'm in right now okay you have 14 in retirement yes oh don't get mad well i just i don't know you're just i'm sorry i'm sorry i i get the cope thing i get the cope thing and i know it doesn't look as good on camera but because no one's just sitting here like i try to take these conversations very seriously i try to take the debt very seriously and when someone's sitting sitting across the table and giggling for me that's very hard it's very hard it's like you just i i know you care about i know you care about your situation i do or else we wouldn't have you on the show we vet for that but still this is it's it's it's hard when it feels like because of the outward that they don't care as much as i would like them to that is hard for me but i know i know you do and i just need to there's more overdue stuff.

25:36Yeah. What even is this? What am I looking at? What is this? It's an affirm. Affirm? You're not even paying your affirm? Well. Not even the worst people on this show have not paid their affirms. Wow. I didn't think I was the bad one. One of the bad ones. You didn't think you were one of the bad ones? Buddy. We're looking at two things. You got a score of zero on this site. and we've only looked at two debts so far and they're all not paid you didn't think you were one of the bad ones no i didn't how in what world i don't know no try to answer i don't um yeah i didn't think it was that bad i why okay yeah i want to know why you actually think this is not that bad if i i want to get some of your psychology here i didn't your perspective bad Because the, I guess the payments, the amounts owed are not that bad.

26:36Isn't that even worse that you're not paying something that is so payable? Yeah, that's worse. I was like, why can't I just pay this? It's$40. Yes. In fact, that is my question. Why are you not just paying that? Because I can't. Like, I cannot. I don't have. Interesting. You spent$250 on going out to eat. Maybe. On the last month. Yeah. maybe that's why well that's why so i don't want to hear i can't you're choosing not to i know okay when did you move in with your parents or have you always lived there no uh last year what happened i moved out i was i was no what happened why did you move back the depth i couldn't do they know yes do you what's your education i graduated high school okay some Some college.

27:25Some college? Yeah. Okay. We're going to send you to Course Career's website. I want you to take their assessment there and see what kind of certification is best for you to boost your resume to get a better job. And then we'll pay for it. So we can, because I want, I really need you to make more than 30 ,000 hours a year. Really need to. That's going to be a part of this. It's going to be an income and behavioral problem. Okay. So on the affirm we. Oh, 168.11. They were actually going to send that to collections. They sent me a text message. Yeah, they're going to send everything to collections, dude.

28:03And then you're really like, good luck. Good luck getting a place. Who's going to rent something to you? Nobody. I wouldn't. I know. Would you? Would you trust yourself? Someone who's not paying things? No. Yeah. Do you at least have savings? Okay. Yes. You have$6 of savings No$6 $6 You started with$1 ,300 And you're checking Oh sorry this is checking Oh we'll get there My Okay Alright Security first credit 74 % left to pay on the loan This must be a car This screams car What is your car It's a 2022 Toyota. Why do you need a 2022 car? I don't. Guys, I want to learn more about what your finances look like in this community here.

28:59So we have a survey in the pinned comment and description below. It's only going to be open for a week and four people will win$250. So sign up now. Okay, so. The balance on this is basically what you make. The purchase price was more than you make. And that's actually after your raise. What were you making before the raise? $15. 15 okay what's your hourly now then 16 49 okay you're gonna be upset um i actually had a corolla before this one i owed four thousand dollars on it that's all i had left and they call me from toyota and they're like hey so we wanted to see if you want if you were interested to come and get a new car now i can just go and see and see what they say i don't think i would trade it in our And they actually convinced me to get a truck.

29:53No, no, no. It's a car. It's a Camry. Oh, this is a Camry. Yeah. Okay. Well, it's worth about$21 ,000. So you're under by about four. Yeah, I know. I saw that when I was printing out my reports. Oh, it says it on there? Yes. So you owe$25 ,769. Minimum monthly payment of$487 ,000, which is aggressive for your - Yes. Aggressive. What is the interest on this? 4.5? 4.5? Yes. I'm surprised. I'm genuinely surprised. So this is when you had a good one. Yes. It's an 84-month term, though. 84. You pat. You pat. The holidays mean more travel, more shopping, more time online, and more personal info in more places that could expose you more to identity theft.

30:39But LifeLock monitors millions of data points per second. If your identity is stolen, our U.S.-based restoration specialists will fix it, guaranteed, or your money back. Don't face drained accounts, fraudulent loans, or financial losses alone. Get more holiday fun and less holiday worry with LifeLock. Save up to 40 % your first year. Visit LifeLock.com slash podcast. Terms apply. Purched it to the extreme. I can't. I just. I am thrilled for the day. I know it's coming. Someday on the show, someone's going to walk in with a 90-something loan. They're going to invent those. I can't believe you have an 84 when I started the show I don't even think 84 existed this is crazy the dealer guy he was like oh they gave me the payment for 500 I was like oh no that's too hot no the other guy what are you talking about the guy that sold me the car the dealership guy oh what so when he was selling me the car he was like oh they gave you about uh payment for 550 50 i like i can't make that i like no oh no it means you gotta afford the car if you put 20 down on a car and it's a three year loan and you can't afford the minimum payment or it's more aggressive than eight percent of your income you can't afford it stretching out the term does not mean you can afford it in fact it makes it worse because all of a sudden your car gets so much more used but we're five years into this thing and we still have a loan on it yes it continues to appreciate the interest stretch longer yes i learned that no at least you've made all your payments on this it's my car i need it well why is this different to you than the other debt because it's physical to work because it's physical maybe yeah well it's yeah it's tangible you need to get to work i i do understand that i don't want you to think that this is just because it is what gets you to work though that other debt is just insignificant this is a dangerous mental precedent to set in your life

32:43oh so this one is collections uh 2355 so that's how macy's yes macy's ask okay so i saw a video if you're on collections oh you saw a video let's see pay it uh-huh and then he said what is that true not to pay it because that collect the people that bought the debt just paid cents for it that's the reason not to pay that's what they said on the video but then i'm like on the radio on the video that i watched okay i want to hear the because because what the only reason they're saying not to pay it is because they spent cents yeah and then there's no and do this instead or no is that it just stops there don't pay it because they bought it for pennies on the dollar that's it well and then your debt will disappear in seven to ten years i don't want that i needed to oh yes that part sucks um because you're probably going to want to live in a place in seven to ten years you know seven years um but not only that technically i mean this balance is small enough that i'm not going to do anything legally you could go to like uh legally there could be they could go through legally okay now yeah i've been there but it's well what happened a while back i target a target credit card and i didn't pay what happened my balance went up to like 900 000 900 dollars 900 again those are imbalances that they're probably not they're not going to spend money on i got a legal paper from the court yeah but did anything happen i had to pay it oh okay because i got scared because you got scared but nothing it never got to the point okay no I got you.

34:23It's usually going to be on something bigger if it's worth them fighting. More than anything, there is something to be said. Okay, maybe don't pay because there's pennies on the dollar. But it doesn't stop there. It's because they bought it for pennies on the dollar, they're willing to negotiate it. And that's sort of like, okay, this$2 ,355 might be able to settle for like$2 ,000 or$1 ,500. Oh, okay. It's a painful process. We can talk about that in a bit. But that's why I'm confused how it just ended there. sure if you want to wait for seven years this likely won't get legally challenged you probably won't have to show up anywhere but no i don't want to i want that it's always possible though and again it affects you from options from debt options people are okay with you having collections on them they usually people that have collections don't really have any savings and usually people who don't have any savings need to take out debt for a vehicle or some kind of loan for an emergency and if you have collections you have a bad credit score and if you're that person taking out those debts for whatever reason you're going to be taking out a predatory debt so you're not a debt person no not a credit card person you need to use a charge card like a fizz card that's what a lot of our guests use and our audience members use where you put the money on and you can only spend what you put on there it still benefits your credit because i i can i'm taking away that you care about that yeah i do i need a house eventually this is so silly this one it's 99 dollars well i'm working on it um i set up a payment plan and they're taking out 47 dollars on the 17 and like in three months in three months it'll get paid off well what do you mean wait no no wait but what wait huh so it says the minimum is 99 but you're paying less yes because i but you're getting hit with 40 fees yeah that's what i'm Meaning that for every$90 you put towards it, you're only putting$50 towards it.

36:22And then it's even less than that because you have interest accruing on that. You're putting more like$47. Yeah, just about. Yeah. So supposedly I set up a payment plan and then said that in three months. You set it up through them? Yes. Like on the Target app. It's not reflected on here yet. So there won't be late payments anymore. No. Because that's a late payment fee. Is that$40? Yeah no because they take it out The date of the payment It's supposed to be due So they take out those$47 And in 3 months it's going to get paid off Okay so they're not going to hit you with fees anymore Because of that Okay so$47 $99 Wait but No there's still something though Because that's not just interest accruing Because it wouldn't take 3 months to pay off$99 No because I paid one last month Oh, so$47 for two more months.

37:16Yeah, it's at 28.15 % interest. Oh, no. Oh, this? Yes. Alta, Alta. What are we doing? Yeah. Trying to look good for those Houston dates, I guess. Not even. There's fees on everything. I know. Dude, literally, the minimum monthly payments that they were before they started adding fees on all these, you could pay with what you spend on food, going out to eat. Not groceries. Going out to eat. Because groceries, you still spent only$47, actually. On groceries? Mm-hmm. That's what we got. Well, there's an unknown category where there's$151. Sometimes that could be groceries. It's hard to tell. Places like Target, Walmart, Amazon are hard to know what you purchased.

38:03But if it's H-E-B, we pretty much know it's groceries. Okay. So available credit,$0. It's not great. Credit line 600. But you owe. Oh, no, it's just closed. That's why. You're not over the credit limit, but this is closed. They closed it? Well, yeah, they don't want you to spend. You don't know how to spend. You don't know how to manage that. How are you surprised? In what world are you surprised that they closed it? I was going to pay it off after that. Well, it still paid off. It hasn't been sent to collections. Okay, yeah. But it's closed. Sounds like it's in their internal collections for now.

38:36Oh, okay. It's a 32.24 % interest, and you better bet that it's still accruing, and you better bet that the$41 fees are still hitting. Dude, it's the fact that you just let this go. Listen, people get to a certain point because of necessities or an emergency that gets on debt, and then the debt becomes a burden that they cannot pay. That being said, with where your debt was and where the minimum payments were, we know you could have 100 % paid your minimum payments in your living situation. you totally could have and now the situation we're in with these balances uh that are closed with above the credit limits with things that are in collections and with the higher minimum payments which for example is 132 on this because you're not paying it you're accruing food freeze food fees are all because of you and your actions and your spending and your lack of discipline and your inability to budget or have any sense of maturity in your life or care for your future or child's future financially yes specifically financially yes can't speak for the rest of your life yeah that was like i could have paid it you said you're right i held like 110 the purchase that i did and it went up to that someone that knows everything well you sure have finances i listen to the people and i don't pay the people are we still we're talking about the Those people.

40:02Those people suck. When did you learn that those people were wrong? Soon. After I stopped paying. Well, no. When did you learn that those people were wrong and that was incorrect and you needed to reverse it? When they told me. I knew I should. I was like, no, I can't. I need to pay those debts. But then you listened and did it. Because I couldn't pay them. No, you could have paid the original minimum payment since you could have. yeah yes you could have yes you could have okay i know i know i should just so what the f*** are you saying so why'd you do it then because my account was like at seven dollars at the end and i know okay just because you wanted to keep spending on your bull okay cool so when did you learn that that is wrong that spending on my bull truck yes instead of making your payments like an adult who was in their 30s now this conversation this conversation When?

40:58A month ago. Then why the f*** haven't you changed anything other than the past couple days? Other than the past couple days. Okay. A month ago is not only a couple days. We're barely any days into this month. So why? Last month, by the way, is what I'm taking a look at. So I would see it would be reflected. That is not an answer. This is a podcast. You give an answer. Okay. I'm sorry. No, no, no. Just why? Why did you recognize? I want to get your psychology. If we can't figure out where you are, where your brain has been, where your lack of discipline is originating from and what your mindset on this stuff is, we will get nowhere.

41:40I need to know why you fully recognize what you needed to do, what was wrong and what was required to get out of this a month ago. And you've done nothing until the couple of days before you knew you were coming on this table. Why? Listen guys, if you haven't been making payments on your credit cards, I've just partnered with a new app called Relief. I always give you guys sh** for falling behind on your cards. But if you're already there, then the amount they say you owe isn't exactly what you have to pay. In fact, as you fall behind on your debt, most credit card companies are willing to accept less money to pay it off.