Oprah and Suze Orman

I watched Oprah, as I usually do, while on the treadmill this morning. Oprah, is the only show I can watch that will keep me from constantly looking at my distance and speed on the treadmill. Sometimes it is better to have time fly, while sweating off those extra pounds. If only my heavy breathing didn't overpower the volume. :-)

Anyway, they had this lady on the show that was a major Spendaholic, if you ask me. She is a stay at home mom with 6 kids. She has spent so much cash that they do not have that she is risking their whole financial existence.

Examples:

• Starbucks EVERYDAY. Not just for her, but for her kids too. She estimates that she spends $300 a month. I think her estimation is a bit low, considering 6 drinks come out daily. In a 30 day month that is 180 drinks. With an average cost of $3, which we all know is low for Starbucks (I saw the kids with Frap's in their hands), that would be $540 a month.
• She buys everyone (her and the kids) new clothes every 2 months. Not Wal-mart things either. We are talking - top of the line, designer name items. They each get 7 outfits. Then when the 2 months is over, the items she bought @ $50 are sold for a $1 in a garage sale. And the cycle repeats.
• She hides her major spending by taking cash advance checks from the credit cards to the bank and cashes them. Robbing Peter to pay Paul. She is finding herself behind the 8 ball now, as credit is being maxed out and debts are too high to be covered by her husbands salary of $100k a year.

I can only agree with Oprah, this gal is sick. Her children don't even have health insurance. They have medical conditions that require treatments/checks and she neglects this, in order to live her life style.

Of course, I love Suze's response. She told this chick to get a job. Amen - Suze. Keep her working she can't spend. Suze recommended a job at Starbucks, where after 90 days of 20 hours a week, she could obtain health insurance for her whole family.

Then, she told the gal, that her fantasy of keeping the house which was losing equity every day, was just that a fantasy. They got one of those bad loans, that means they never pay down the loan, and it was increasing by $20k a year. OMGosh. Crazy. So, the cure here is SELL. FAST.

Finally, Suze advised they move from the pricey state of California to Seattle Washington. Both would be able to find work in their trades and the housing market is better. There is no State Taxes and that would be an instant raise.

I hope Oprah does a follow up. I am so curious as to if this couple will step to the plate and perform to secure their family.

Oh, I almost forgot. Her husband sat there with this face....that can only be described as pi.ss.ed. Suze let him have it. She told him that he too has failed. He should have been on top of what was happening for his family. She also told him, that he "is going to work on his off hours now". Meaning, while wifey is working Starbucks on nights and weekends, he will be working at home, with the kids and the house. Go Suze!!!