Meet the Eggleston’s

Meet the Eggleston’s

Meet Sally and Dan Eggleston, and their three children, Emily, Danny and Sam. Dan is a fifth grade teacher; Sally is a fourth grade teacher. Together, they make $92,000 a year. When Dan quit his job and went back to school to get his teaching degree, the Eggleston’s went from being a dual income household to a single income household. During this time, they didn't alter their spending habits. Instead, the couple purchased a brand new home they knew they couldn't afford.

Now the Eggleston’s are in $115,000 dollars in debt!

Here is a quick summary of some of the out of control and over the top spending that goes on in the Eggleston’s house hold, to give you some insight on what the debt diet is all about.

          They have 12 credit cards that are all maxed out.

They cashed in Dan's 401k, quickly spending all $40,000 in savings.

      And when that was gone, they began living off their credit cards.

       Treat themselves to expensive items such as season tickets to the Chicago Bears: $1,000

The couple took a trip to Las Vegas with friends: $3,000 for a long weekend.

On top of that their biggest mistake was not adjusting the monthly budget when they went from a    two income family to a one income family

*Keep in mind these are only a FEW of the expenses which have caused the Eggleston’s to go into debt 

The Eggleston’s were assigned a expert for dealing with debt, Financial expert David Bach, who lived with the Eggleston’s to insure that this plan would work and make sure the stuck to it! Here is a quick peek at the plan David Bach proposed to the Eggleston’s to kick start the Action plan to break the cycle of their Debt.

• First, David says the Egglestons need to pinpoint their Latte Factor so they can instantly save $10 to $20 a day.
• Next, he says the Egglestons need to tackle their credit card debt by renegotiating their interest rates and working on their annual fees.
• Finally, David says the Egglestons need to reestablish their savings by paying themselves first.

By the end of the Debt Diet the Egglestons paid off $26,000 in debt. Egglestons got reduced interest rates for 11 out of 12 cards, which saved them $15,000 in interest payments. They grew their income by $19,000.
Smart financial decisions also helped them raise their credit score by 100 points. Thanks to a good score, they qualified for a standard 30-year mortgage, which will save them $400 a month.

Learn More About the Egglestons