Success Story: When Clearing Debt Benefits More Than Just Your Bank Account

older woman wearing white collared shirt and black glasses, sitting at a desk writing in a notebook, with a laptop and yellow flowers in the foreground and a window in the background

Challenges Ahead

Ingrid first approached MSA to reduce her debt and take control of her finances. Like many employees living with a poor credit score and too much debt, she found that talking about money issues with friends and family was embarrassing and stressful.

After learning about MSA’s services through her employer, Ingrid reached out to one of the expert money coaches for guidance. “I had a spark of hope and the beginnings of a plan,” she explained. With over $20,000 of debt to her name, Ingrid and her MSA Money Coach worked together to create a sustainable plan of attack.

Even with working full-time, Ingrid still found it hard to get ahead of her debt. She is divorced and supporting her adult son and, on top of that, had large medical and dental bills that were straining her finances and her mental health.

Saving for unexpected bills such as medical procedures was part of the strategy she developed with her coach. By focusing on building an emergency savings account, she would be able to cover the costs of any unexpected medical bills without impacting her day-to-day finances.

Realistic Goals

One of the most successful strategies that Ingrid implemented with her Money Coach was “no-spend” days. On these days, she would refrain from spending any money in order to put more towards paying down debt. She also included no-spend weekends when possible. By observing just one no-spend day per week, Ingrid was able to realistically meet her goals and develop healthy financial habits.

Ingrid’s Money Coach also helped her lower her cable bill by $45. She then used that money to apply extra payments towards her credit card. She also updated her insurance policies and cashed in reimbursements. These achievements helped Ingrid steadily build good credit and chip away at her debt.

Services

Partnering with a Money Coach helped Ingrid understand her financial options and learn how best to tackle her debt. Ingrid said, “My Money Coach listens to me and offers services through other coaches if they have a specialty that I can benefit from.” Combining the skills of multiple coaches, MSA gave Ingrid access to experts across the financial spectrum so that she could receive the best guidance for each topic that she wanted to address.

In addition to working with her Money Coach, Ingrid took advantage of other MSA features like website resources, budgeting software, spending tracker software, ID monitoring services, legal forms and calculators.

Value Gained

By working with a Money Coach, Ingrid learned that financial planning doesn’t always mean missing out on exciting purchases. She was able to take vacations and see family by using airline miles and staying mindful of when and where to spend her money. Before long, she was living debt-free with $7,000 in emergency savings.

Taking control of your finances gives you more than just money in the bank. Ingrid is proof that it can lift your spirits, reduce stress and promote self-respect. She explained how her self-esteem improved after eliminating her debt: “I don’t stress about money anymore,” she said, excited about what the future holds for her and her family. “I can actually save money for what I want to spend it on, and I make much wiser choices, and I have a good credit rating now. It was a lot of work, but worth it all.” She’s now using what she learned to help her son build his credit.

Do you want to be free from mounting debt? Speak to a Money Coach today and start planning for your future.