VideoGist - 27-Year-Old With More Debt Than Anyone Should Ever Have

27-Year-Old With More Debt Than Anyone Should Ever Have | Financial Audit

Caleb Hammer

60 min, 9 sec

Rachel Justine undergoes a financial audit revealing significant credit card and car loan debts with insufficient savings and emergency funds.

Summary

Rachel Justine, a spiritual coach from Austin, Texas, is 27 years old and faces a financial audit.
Despite earning an average of $6,500 a month, she struggles with credit card debts, a high car loan, and a tendency to overspend, particularly on dining out.
Several credit cards are nearly maxed out, with high interest rates causing her debt to grow.
Rachel is advised to aggressively pay off her debts by cutting all non-essential spending and selling her investments.
The audit ends with a sobering discussion on the severity of her financial situation and the actions needed to rectify it, leading to a financial score of 2 out of 10.

Chapter 1

0:00 - 1 min, 0 sec

Rachel Justine introduces herself and shares her occupation as a spiritual coach.

Rachel Justine is 27 years old, based in Austin, Texas, and works as a spiritual coach.
Her services include yoga, meditation, life coaching, and online courses aimed at helping people find fulfillment.

Chapter 2

0:59 - 3 min, 46 sec

Rachel discusses her financial habits, challenges with credit cards, and the variability of her income.

Rachel is still learning to manage her finances effectively, with her main financial challenge being credit card debt accumulated in the last two years.
She admits to a lack of experience with credit cards and an inconsistent income due to the seasonal nature of her work.
Rachel's income varies from $2,000 to $6,500 a month, with the higher end being her average monthly income.

Chapter 3

4:46 - 3 min, 12 sec

Detailed analysis of Rachel's spending habits and subscriptions, highlighting areas of excessive spending.

Rachel's spending habits are scrutinized, revealing frequent payments towards credit cards, mobile payments, and various subscriptions.
It is noted that she spends money on fitness classes, website services, and has a high T-Mobile plan which is suggested to be reviewed for potential savings.

Chapter 4

7:58 - 1 min, 56 sec

Rachel reveals her car loan details, and her credit score is examined, uncovering a need to reassess her vehicle expenses.

Rachel has a car loan with Ally Financial for a 2020 Toyota RAV4 with a monthly payment of $534.13.
Her credit score is 593, which is considered fair, and her car loan represents a significant portion of her debt.

Chapter 5

9:53 - 49 min, 17 sec

Rachel's investments in cryptocurrency and stocks are discussed with suggestions to liquidate assets to pay off debts.

Rachel has investments in Robinhood and Bitcoin, totaling around $4,000, which she is hesitant to sell despite advice to do so to pay down debts.
She is encouraged to be aggressive in paying off her debts and to avoid shortcuts like debt consolidation.