Family Slays More Than $100,000 of Debt in 4 Years

By on

Even if you are drowning in a sea of debt, there is still hope that you will find your way out.

Don’t believe it? Kimberly Palmer of U.S. News & World Report shared the story of Amy and Mat Kroezen, a young couple that started out with $116,000 in student loan debt and another $2,000 owed on a car loan. Palmer wrote:

In April 2009, they committed to paying off their debt within four years by dedicating one of their incomes entirely to paying off debt and then living off the other income. At the time, Kroezen and her husband were each earning between $32,000 and $35,000. Now a growing family with a 2½-year-old daughter and another baby on the way, they are very close to achieving their goal – and they say their strategy could work well for other families, too.

What a wonderful story. They’ve paid off more than $100,000 on the student loans and also bought a house with a $20,000 down payment. Mat Kroezen is the sole earner now. They live on $19,000 and save the rest, Palmer wrote.

Want the inside scoop on how they did it? Here are a few tips from the story:

  • They moved to a less expensive apartment, one that was close to work.
  • They used the envelope system to budget.
  • They spent only on necessities.
  • They had a solid support system.

What do you think of their story? Let us know in the comments below or on our Facebook page.

Sign up for our free newsletter

Like this article? Sign up for our newsletter and we'll send you a regular digest of our newest stories, full of money saving tips and advice, free! We'll also email you a PDF of Stacy Johnson's "205 Ways to Save Money" as soon as you've subscribed. It's full of great tips that'll help you save a ton of extra cash. It doesn't cost a dime, so why wait? Click here to sign up now.

Check out our hottest deals!

We're always adding new deals and coupons that'll save you big bucks. See the deals to the right and hundreds more in our Deals section.

Click here to explore 1,294 more deals!

Comments & discussion

We welcome your opinions, but let’s keep it civil. Like many businesses, we reserve the right to refuse service to anyone. In our case, that means those who communicate by name-calling, racism, using words designed to hurt others or generally acting like an uninformed bully. Also, comments that include links to email addresses or commercial websites typically aren't posted. This isn't a place to advertise your business.

  • Jennifer Skower

    So true, certainly not in Connecticut could you live on that!

  • Kimberly Purifoy

    This article was pretty vague. A snapshot of their living expenses and how they budgeted their money would have been nice,