A mother of four appeared on the Ramsey Show on Monday, sharing how her growing family fell into a $300,000 debt crisis and seeking expert guidance to regain financial stability.
Family Faces Mounting Debt Amid Rapid Growth
Caller Valentina told hosts Rachel Cruze and Ken Coleman that she and her husband went from a family of two to seven in under five years, leaving them overwhelmed with debt.
"We are drowning in debt…we are at a negative every month and we don't know how to go about this," she said.
The family's combined pre-tax income is $240,000, yet they owe $98,000 in credit card debt, $28,000 in a personal loan, $132,000 in student loans, and $43,000 in a 401(k) loan.
Their monthly debt payments total about $3,000, and combined mortgage payments are $5,700.
Experts Recommend Budget Overhaul And Lifestyle Adjustments
Coleman emphasized the importance of a strict budget.
"I think you have to have a conversation about the two kids five and three being in private school…you need $1,300 back in this thing called a budget," he said.
Cruze said, "You can't keep doing everything…for the next 2 to 3 years.
She added, “You’re either going to get behind on bills, you’re going to get behind on a mortgage, you’re going to get behind on things…for the next 2 to 3 years, our lifestyle has to change."
The family is also selling the husband's previous property for $380,000, which will help cover a significant portion of their debt.
Couples Overcome Massive Debt Following Ramsey's Advice
A Minnesota couple in their 40s turned to The Ramsey Show after discovering $50,000 in debt while juggling multiple jobs and family counseling.
Hosts Jade Warshaw and Coleman guided them on creating a zero-based budget and making consistent monthly payments.
In a separate case, a Reddit user shared that following Ramsey's advice allowed him and his wife to pay off $422,000 in debt, including their mortgage, in just 14 months.
The 45-year-old explained they had been "normal" with car loans, credit card debt, and a large mortgage before adopting Ramsey's methods.
They cut all non-essential spending, sold investments, a motorcycle, and household items, and funneled every extra dollar into debt repayment.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Shutterstock/ II.studio
