Customer Reviews

How to Get Out of Debt, Stay Out of Debt, and Live Prosperously*: *(Based on the Proven Principles and Techniques of Debtors Anonymous)

5 star:		(64)
4 star:		(11)
3 star:		(8)
2 star:		(1)
1 star:		(3)

 

 

I first read this book almost by accident in September of 1997. I was browsing through a bookstore out of town, and there it was. I thought $7 couldn't hurt. I've tried everything else. Why not this book?

Well, 2 1/2 years later, I've been able to pay off more debt than I care to mention. ($20,000+ comes to mind as a fairly accurate figure). I have often wondered what makes a self-help book really helpful. There are several things about this book that I really liked.

The first is that it is not a book about investments and how to get rich quick. It's not about depriving yourself either. It really doesn't give any specific financial advice which is why I liked it so much. There are other books for stuff like that.

Probably the single most important lesson in this book, and one which has changed my life immensely, is stop borrowing money. Just stop. Do it one day at a time. When I started on my debt repayment plan, I didn't worry so much about paying off my debt as much as not taking on any new debt. If that sounds simplistic, well it is. That's the whole point of this book. It's simple. It's not easy. If you want to heal, stop the bleeding. People who are in the rat race of juggling credit cards are bleeding cash every month. Stop the bleeding first, and then you start to heal.

Another lesson I learned is the monthly spending record. My friends howl when I suggest this. Keep track of every penny, yes every penny, that comes into your life and out of your life. I can say with conviction that that suggestion alone, coupled with not taking on new debt, will make your life so much different, you'll wonder in amazement. The author suggests keeping a weekly spending record and transferring it to a monthly record. I keep just a monthly record. It takes up very little time. It's also very eye opening how much money flows right out the expense column every month. The benefit of this is it allows you to make adjustments and find out where you are bleeding. It's not enough to guess. Until you write down everything, you will never fully understand where your money problems are. You can use a computer spreadsheet or you can do what I do which is write it down on old fashioned paper.

Another lesson this book taught me is that you don't need a credit card. Now there's a revolutionary concept. If you really think about it, how many people in your life including yourself say, "I need a credit card for emergencies." Hogwash! I've had two genuine emergencies in my life where I needed money and needed it fast. Well guess what? I had two choices, I could pay with a credit card or I could pay with cash. I paid with cash. Funny how many people accept cash as a payment these days. If you want to get out of debt, get out of the credit card habit. Use a debit card. I use my Visa debit card for all my amazon.com purchases, and it works beautifully. Same as cash.

One more thing, if you use credit cards and you pay interest every month, do you realize you're making the bank rich? Do you realize you're working for the bank? Whether you like it or not, that's true. Here's another lesson. Look over your credit card balances right now and ask yourself out of all the money you owe, how much stuff do you have to show for it?

Why do I give this book 5 stars? Well, I can divide my life into two time periods. The first time period was everything that happened up until september 14, 1997 which is the day I bought the book, and everything that has happened since then. I have no credit card debt at all since reading that book. I do have a credit card (okay, I cheat) with a $350 limit only to rebuild my credit. I pay it off every month. One word of caution, reading this book can be frustrating at times because you will come to the full realization that your attitude about money is completely wrong and that you are overwhelmed with debt that will take a long time to pay off. Relax. Once you start paying off your debt, it's all downhill. It picks up speed as you go along. I know, I've done it. Thanks Jerrold Mundis for writing this book. I've saved thousands of dollars in interest because of it.

At age 35, I felt like I never learned how to have a healthy relationship with money. This book helped me understand how to develop a healthy relationship with money, spending, saving, and earning it. My salary is 20% less than two years ago (chosen life style change), and yet I have more money now than then!

This book is geared toward those with very large debt who have creditors knocking down the doors. However, even those of us who can still manage to juggle the debt around (you know who you are), without having a late payment (yet) will greatly benefit from this book.

My financial advisor gave me this book when we began working together. After only 30 minutes with her, she told me that my net worth was badly in the red (yikes!) Gently, she recommended debt reduction BEFORE investing. This book opened my eyes to my relationship with money and spending. Only 4 months later, I have not incured new debt (credit card is in a jug of ice in the freezer - there for emergencies, but takes time to get to it - great for taking time to change your mind), I pay more than the minimum on my credit card, I'm paying off my student loans, putting money aside monthy to create a next egg, and able to invest in my 403b plan at work for the first time in 4 years! This on less money than two years ago!

This book is based on the principles of Debtor Anonymous, don't let that scare or intimidate you!, The premis is simple; Today, I will not incure new debt. It goes from there to include keeping close track of all spending, creating payment plans you can afford (not what the loan/bank is asking for), spending money well for yourself, and most of all, about impulse control skill development. That was essential for me!

If you are ready to change your relationship with money, spending, saving, etc. Then try this book. What's $7 when your debt is as big as yours?

BTW, this book also helped save my relationship with my fiance. I would get into panic attacks over my finacial situation and freak him out. Now, I'm calm about my money and he sees me with new respect and admiration for my desire to change and improve that aspect of my life. He has begun to review his relationship with money as well and we have become so much more secure with each other as a result!

Good Luck!

Jerrold Mundis' practical book "How To Get Out Of Debt, Stay Out of Debt, And Live Prosperously" not only describes handling money properly, but what power money can and must not provide to those having or needing it. Mundis' precepts are easy to understand if not swift to accomplish. He acknowledges this in writing, "Anyone who has taken grade-school arithmatic or who can push the buttons on a simple calculator has all the technical mastery he needs to understand his personal money."

His steps: write each and every incoming and outgoing transaction into a weekly, then monthly account. Use those figures to create a budget to fit your lifestyle and repay your creditors, without hard-core sacrifice that only proves self-defeating. Know to the penny what you have, spend and owe. Do not debt, at all, just for today. Or, to quote Teddy Roosevelt, "Do what you can, with what you have, where you are."

The most interesting sections concern psychological and social implications associated with and leading to problem debting, and how to overcome and prevent them. Mundis encourages figuring out creative ways to handle money emergencies other than with a credit card. He encourages meditation, visualization, planning future successes beyond momentary highs or relief credit seems to provide. He explains how to handle the collection agency, lawyer, courtroom.

To achieve this, he encourages creative list making, re-evaluation of supposedly nevessary material things (his section, "Keel The Bool" most notably here) or ideas that seemed zany. Most of all, he encourages dismissal of any emotions associated with money: it's no mood changer, nor love declaration when spent, nor sell-out to materialism and selfishness when saved.

His opening chapters, describing the types and warning signs of problem debting, were chillingly accurate and uncompromising. ("And everybody bounces a check now and then, don't they? No. Most people without a debt problem hardly ever do.") Mundis writes with the compassion and reassurance of someone knowing the issues of problem debting. His three things to remember when debt worry becomes overwhelming are among the most useful worry defusers I have heard. Yet Mundis also speaks with the zeal of the recovered addict, knowing the road to and from disaster and letting no one cross or return. His personal stories and case studies from Debtors Anonymous (including that of the young woman who tearfully gave up her American Express card), are sweepingly sad.

Like all self-help books, "How To Get Out Of Debt" can only be judged successful if those reading it apply its precepts and achieve its promised conclusion. (Obviously, those for whom debting is not an issue probably do not read or review, these books.) Suffice it to say that Mundis has provided possible emotional and practical tools to achieve financial freedom, and has done so in re-readable, instructional style. Debtors Anonymous, quoted liberally as inspiration and support source, would do well to endorse this guide in its program.

This book made a huge difference in my life. I had problems with debt for 20 years and was heading into serious trouble when I found a copy of this book. I remember finding the book in a bookstore (before Amazon.com existed) and I was embarrassed to buy it- that was the shame of being in debt. I was very scared because I was getting deeper into debt and not able to make even the minimum payments on my credit cards. I was borrowing (getting cash advances at ridiculous rates) from one card to pay the other. I sat down and read this book and it was tremendously comforting. I also found a local Debtor's Anonymous meeting and attended the meeting the same week. This book and DA changed my life and after 5 years I have nearly tripled my annual salary and have eliminated my unsecured debt. Jerrold Mundis teaches you that those who work this program obtain a great deal of "abundance" in their lives. Mundis writes about the "miracles" that occur when you work this program and I have experienced them first hand. It is not a Debtor's Anonymous sanctioned book, but everyone in DA has heard of it. I would have to say though that this book is not for everyone. The principles you learn in this book regarding the concept of not carrying any unsecured debt are excellent and everyone with a credit card should learn them. But this book was written for those who are in a crisis due to their debting. It will benefit problem debtors the most or anyone who is going down the road to deeper debt. Mundis is adamant about not giving up on yourself and not declaring bankruptcy. He guides you through all the consequences you may face due to your debting, such as judgments and court appearances. It is very comforting to learn about all these issues and how to deal with them, rather than live in fear of having collection agencies phoning day and night.
I've read some other reviews here that were critical of this book. As I stated before, this book is for those who are in a crisis due to their debt. This book was written in the 1980's and has not been revised so the writing style may seem dated, but the principles are rock solid. There are excellent books available on subjects relating to investing and personal finance, but this book is a special book for debtors in crisis.
I am still using the principles that Mundis lays out in his book such as the spending record. I know exactly where every cent of my money is going and where I have a tendency to over spend. Even though I no longer debt I still have a tendency to be a spendthrift and the techniques I learned from this book help to keep me in check. I also have a spending plan- not a budget- that I update every six months and follow consistently. As Mundis points out, it is not about doing without and sacrificing. You will learn that you can take the vacation you want and pay cash for it. You can have everything you truly desire and not go into debt. You will develop an incredible sense of freedom that will enable you to live fully and successfully because you won't be burdened by debt anymore. I'm sure all this sounds too good to be true, or even magical in a way, but it isn't. If being in debt is causing a problem for you, you should get this book and read it and then follow the advice closely. Mundis walks you through all the difficult tasks you must face, such as totaling up how much you owe, contacting creditors to work out a payment plan, and not going one cent further into debt. I felt like I was the only one going through the hell of being seriously in debt, but he made me realize I was not alone and I could one day be debt free, too.
This book will teach you so much and it will also restore your confidence in yourself. It gives you the courage to face up to dealing with the mess you've made of your finances and it gives you hope that you can one day truly be debt free and living prosperously.

This book saved my life. Here is the thank you e-mail I sent to the author:

Dear Mr. Mundis,

I am writing to thank you for essentially saving my life. For the last 10 years, since I was 21, I have been drowning in debt -- student loans, credit cards -- and filled with anixety and depression. Every time I dug myself out, I did it by throwing every single penny I had into my debt, then needed to borrow again right away to pay for expenses that arose. Even though I make a decent salary, I haven't had money to buy simple things like clothes because I am putting all my money toward debts. I have put off graduate school and other things I really want to do in my life for years while I try to deal with this. I am guessing I am not that unusual, but I never really talked to anyone about it until a few weeks ago.

Someone I respect a great deal recommended "How to Get Out of Debt, Stay Out of Debt, and Live Prosperously," and I finished it in a single sitting. I was completely stunned when you said that I came first and my creditors came second -- those words really changed my life. I put needed expenses and expenses that make my life fulfilling back into my spending plan and started from there, as you recommended. And I decided to work with a reputable credit counselor to help negotiate my horrific credit card interest rates down from 31% and 29% to 8% and 9%.

I now actually have a completely reasonable plan to pay off all of my debt in 4.5 years -- and that assumes no increase in my income over that time, and I expect it to increase. I can also afford to take the prerequisites I need for graduate school and put $50 a month toward clothes. I can even put a tiny amount into savings for a contingency fund in case emergency expenses arise. I am again completely stunned.

Your book is so straightforward and blunt while at the same time completely compassionate. I was expecting scolding and shaming, which is basically what I've been doing to myself. Your advice was completely doable, and I really believe I am on my way to being debt-free.

Thank you, thank you, thank you.

After 6 months of really hairy, on-the-edge-of-my-seat finances, I picked up this book based on reviews here. I read it in one sitting, and it absolutely changed everything for me financially right then. One concept grabbed me by the neck: you can't get out of debt by creating more debt. Not rocket science but I'd never looked at it that way.

If you're a chronic debtor, this guy has your number, shoots down all your excuses before you can even make them, and offers hope when you most need it. I've gone back to re-read bits when I'm feeling doubt, and I feel better right away.

The only thing I had trouble with was the idea of putting all your unpaid bills in a box and not looking at them for a month. A week maybe, but a month?

I bought several other books on debt at the same time, but this one far and away was the one that motivated me to take control of my situation. Worth way more than I paid, because I haven't felt this relaxed and sane in a long time, and in no way do I feel deprived either.

March 5 2006-since I wrote this review I've paid off all my unsecured debt, lived on a cash-only basis, and even created a budget (and stuck to it more or less!) I've also managed to build a nice savings account. I credit this book for a complete, and sustainable, financial turnaround. Never thought I'd see the day when I didn't rely on credit cards, but my way of thinking has totally changed on that.

This book has been an amazing experience for me. I have read a lot of "how to" books on Finances and have never put the book down feeling like I had actually gotten somewhere.
With all the talk about investing, IRAs, 401ks and savings, or the other extreme of clipping coupons and reusing saran wrap I wondered was there anyone else out there like me?
This book actually was for me! There ARE others. I am a hard working person with a compiling debt situation, just trying to make it. As my bills have been piling up and I am working full time, I don't have time to go to extremes to save 5 pennies, and I don't have the extra funds to put into 401ks and special savings.
This book has completely opened my eyes to my financial situation and BIG changes have happened in just the several weeks since I got this book. I do see a way out. I have not incurred any new debt. I haven't paid off all my debt, but I see a light at the end of the tunnel. It will take time, and it is not easy, but it CAN be done!
This book is practical, motivating and gives useable solutions for everyday people. It is worth every penny and time spent reading it.
August 26, 2005 Follow up: Just to let you know I have not obtained anymore unsecured debt from the date of the review almost a year ago. A slow process, but getting out of debt!!!

Mundis has been where you are. He's struggled with massive debt, considered bankruptcy, felt despair over low income and climbing credit card balances.

After years of struggle, he found the way out. His method is based on the principles of Debtor's Anonymous, and the keys to the method are these three steps:

1) One day at a time, you don't incur any new debt.
2) You keep an accurate daily spending record.
3) You stick to your spending plan.

Notice I didn't say "three EASY steps." People struggling with debt often find the steps difficult, maybe even impossible, to implement. Why? Lots of reasons, it turns out. The good news is, Mundis helps you understand what those reasons are, and then he shows you ways to find the resolve to stick with the steps.

He offers hope and then some practical help. Truly, I think this is one of the best books I've read on beating debt. I think it will feel like a Godsend to anyone who knows the hopelessness that accompanies crushing debt.

Mundis also has a website. Get the book first, though. If you're a debtor/spender this book is a WORTHWHILE place to spend a bit of cash.

Reviewer: Linda Painchaud

I first read this book in 1993. (I was out jogging one day and overheard two people discussing how it had changed their lives.I immediately bought it.) I especially like how it helps you to develop a healthy disregard for unsecured debt. Too often, we buy things on credit because we believe that we can't wait until we have the money. This book will help you to develop the proper mindset toward debt. With that essential foundation, you then address the problem of your specific debt. I especially appreciated his frequent reminder that you're not a bad person just because you owe money. I've recommended the book many times through the years.

This book is excellently written. It does not condescend or preach because the writer has been there and experienced everything related to having the joy sucked out of you because of money worries. "How to Get Out of Debt" has changed my life, literally, and its methods are simple, as in all truly great answers to life's problems. A shift in perceiving the way I viewed money and I am on the road to recovery (one day at a time) and for the first time allowing myself and my family enough monthly spending money. It really helps if you use a computer for working out your financial plan. I would recommend this book to anyone who is either in debt or starting out on that rocky road. As Charles Dickens said, "If a person has one pound and spends 99 pennies, then bliss. If he spends one pound and one penny, misery." (Or words to that effect). And he should have known, his family ended up in debtors' prison. Today, there are no debtors' prisons just misery and this book leads the way out.