Author: Penelope (Penny) Winters

I study people. I empathize with their experiences, and I seek to describe their joys – and tears – in such a way as to help the reader understand the multi-faceted diamond that is life. My coming of age paralleled the birth of the Women’s Liberation Movement in the 1960’s and I am fiercely independent. My walk with God has taken me down some unusual paths. Some may even call me eccentric! I am interested not only in mental health issues; I am fascinated by the whole spectrum of human behaviour. I live in a small hamlet in Wellington County, Ontario, Canada. While I have successfully staved off many male suitors, some of my best friends are men :)
Debt, Personal Finance

IQ or EQ?

Penelope (Penny) Winters

I took the Myers-Briggs Type Indicator personality test on Truity.com. I think I know myself quite well, but I’m always curious to see what these types of tests reveal. This test indicates that I am an INTJ personality type, known as the “Architect” or the “Strategist”. Introverted, Intuitive, Thinking, Judging. People with this personality are highly analytical, creative, and logical. We’re rare. We make up about 2% of the population.

So, I should be wealthy, right? I wish…

There’s another way of measuring personality types:

1. Intelligence Quotient (IQ) – measures reasoning and logical ability

2. Emotional Quotient (EQ) – emotional intelligence. A measure of how a person handles his/her emotions in daily life.

3. Spiritual Quotient (SQ) – Related to how well we are able to understand the meaning of life, to self-awareness and peace of mind.

4. Adversity Quotient (AQ) – Ability to handle adverse situations in life. I first came across this concept in an article about trauma survivors.

5. Creativity Quotient (CQ) – How able are you to think outside the box? Creativity is putting innovative thoughts into action.

What I have discovered is that I have been largely governed by my EQ – my Emotional intelligence – rather than by my IQ. My father came through the Great Depression and he was a saver. I’ve inherited some of his habits; I record every cent that comes in and goes out of my bank account. Unlike him, I was a spender. For whatever reason, having extra money on hand just didn’t feel right. That’s a subject for another post.

I say I was a spender. I have a vacation trip coming up in September, and I am saving towards that. Planning for this trip has been enough to make me do a 180 degree turn in my financial habits. I have very carefully laid out how much I will save each month to reach my goal. However, I am realistic. I allow for some “wriggle” room.

At long last I am on the road to financial health. It’s never too late for progress.

Until next time,

Affectionately,

Penny

Debt, Personal Finance

A New Life

Penelope (Penny) Winters

So much has happened since my last post.

I tried to manage debt as best I could on a very limited income. I made my credit card payments faithfully. I was never behind on a payment. But all of my extra income was going towards interest, and the payments ballooned beyond what I could manage.

I took a course to become a proofreader. I fully believed that the extra income generated would amply cover my debt, and then some. What I didn’t anticipate were the debilitating anxiety attacks that accompanied this change of profession. I was unable to proceed. And so I was left with $35,000 of debt and not enough to service it. I am a senior, on a fixed income, with very little wiggle room.

This may seem like small potatoes to those of you who manage hundreds of thousands of dollars day in and day out. It’s all relative.

I investigated bankruptcy, and found a licensed insolvency trustee that handled bankruptcies. The people in this firm were wonderful – respectful, helpful, non-judgmental. I filed for bankruptcy in January of 2022 and was discharged in October of the same year.

Needless to say, my credit rating has taken a severe hit. I function with prepaid MasterCharge cards. The ones I use are provided by KOHO and EQ Bank. EQ Bank is interesting. They offer a 2.5% interest rate on all deposits, whether the money is in the savings account or on the card. I am enjoying earning interest instead of paying interest. KOHO has its perks as well. I am earning 1% cash back on all grocery purchases.

I have become a bit of a fanatic about earning points, interest, and cash back. At some point, I will apply for a secured credit card but in the meantime, the prepaid cards are serving me well.

This is my story. This is where I’ve been. Now I am moving forward with a clean slate.

What has been your experience? I trust you have not had to go this route, but if you have, know that there is life on the other side.

Affectionately,

Penny

Debt, Personal Finance

Money woes, or where have I been?

Penelope (Penny) Winters

I am so embarrassed. I started off with the best of intentions, to take you on my journey of dealing with debt.  I started off with a bang, but unfortunately that quickly turned into a whimper. What did I do? I joined a health club and enlisted the help of a Personal Trainer. Mind you, it’s speed training –  half an hour, twice a month – but that is still an expense. Gone was the extra money I was going to use to pay down debt.

I had two competing objectives: one, to pay down debt; two, to get physically fit. On my limited income, it’s not possible to do both.  I should mention that I have had a hip replacement as well as breast cancer, so being fit is a priority.

I haven’t taken on any more debt. I just have the additional payment to the health club. On the positive side, I’ve made some lifestyle changes. I don’t eat out nearly as often. I am finding ways to cut back my grocery bill. And so I am starting to save each month. Soon, with the approach of spring, the hydro expense will be significantly lower.

I work with a spreadsheet, and categorize my expenses into; Fixed, Flexible, Food, Fun, Fitness. I document expenses month by month, and subtotal each category weekly, with a total at the end.  That may seem like considerable detail, but breaking it down by week has given me valuable insight on how I am spending my money. When I budget, I know how much – or how little – I need.

That’s my update for now.

Until next time,

Penny

Personal Finance

Reality Check

Penelope (Penny) Winters

I believe the first step, when we are being completely honest with ourselves, is to take a reality check. Where am I exactly? Is it as bad as I think? Is it better – or worse? I won’t know until I crunch some numbers.

Let’s take the plunge:

                                                     Balance               Interest Rate       Minimum Payment

Credit Card A                           $ 8,522.59                     19.99%                        $ 224.00

Credit Card B                           $ 1,435.15                      19.99%                        $   36.00

Credit Card C                           $ 1,968.65                        8.99%                        $   66.50

Overdraft A                              $ 2,519.81                       21.99%                       $   54.75

Overdraft B                              $    481.38                       19.99%                       $   12.51

Loan                                          $ 2,945.00                          0.00%                      $    86.60

TOTALS:                                  $17,872.58                                                          $  480.36

So, that’s the truth of the matter. Needless to say amounts will vary as deposits and purchases are made. On the plus side, I have $51.11 in savings. Now you know the nuts and bolts of my financial situation, as do I.

This income period, which occurs in two days, I will pay off the loan with the exorbitant interest rate. I am always able to meet my minimum payments and often pay more. Credit cards and overdrafts are like lines of credit. I can make a substantial payment, but before you know it I have used my available cash and I am dipping in once more to my overdraft or credit card room to keep me going. Does this sound familiar?

My objective, now that I know exactly where I stand, is to whittle away at this debt. I know how much I can comfortably use each month to draw it down. Next post I’ll explore an excellent tool for figuring out where to go next!

Until next time,

Affectionately,

Penny