Law School
Personal Finance

Young and in Debt: Week 2

This week’s USA Today Young and In Debt profile is about Heather Schopp. She’s 29 years old and has over $165,000 in student loans. She’s working two jobs to pay them off, but she’s still having a hard time making ends meet.

Part of her problem is she’s living in Long Beach, CA where rent for her “not even a full one bedroom” apartment is $800. She needs to get the heck out of California and move to someplace where the cost of living is way lower. She works as a chiropractor, so I’m sure she can find that kind of work somewhere else. If she’s not going to leave California, at least should get a roommate.

Phillip Cook gives planer’s advice for individuals in similar circumstances as Miss Schopp.

  1. Set a budget
  2. Cut interest rate expenses (Schopp has $9,000 in credit card debt. Her interest rate is 16%. When it comes to credit card debt, Frugal Law Student has little sympathy.)
  3. Reduce living expenses
  4. Increase Income

Nothing new or exciting. Just common sense stuff. Let’s hope Miss Schopp puts this advice to practice.