Raised by accountants, Alejandra Rojas possessed a strong financial background. Yet, she found herself ensnared in $10,000 of credit card debt in her early twenties.
Puzzled by her overspending habits, Rojas delved into the world of money and psychology. This quest led her to pursue certification in Trauma of Money. She credits Morgan Housel’s “The Psychology of Money” as one of her most impactful discoveries.
The book, Rojas explains, encourages readers to view money through a different lens, considering the crucial role of human behavior. She contrasts this approach with traditional financial advice, which often simplifies complex financial decisions.
“Many people tell you, ‘This is very simple: Don’t spend and increase your revenues’,” Rojas observes.
Housel, however, illuminates how emotions influence financial choices – from stock market decisions to everyday spending. “He explains that money is not just plain and simple; it’s complicated because there is a psychology behind it,” Rojas states.
Rojas, now debt-free and a certified Trauma of Money specialist, cautions against overly simplistic or polarizing financial advice. She emphasizes the importance of finding personalized strategies that align with individual circumstances and beliefs.
“It’s not black and white. It never is with money,” she asserts.
She highlights the danger of assuming that what works for one person will automatically work for another, emphasizing the importance of context and individual financial journeys.
Beyond mastering financial tools and strategies, Rojas stresses the critical role of understanding our relationship with money. “There is a psychology of money that you also need to understand… so that you can master the tools that they are giving you,” she says.
Time.news Interview: Overcoming Financial Struggles with Alejandra Rojas
Editor: Welcome, Alejandra. It’s great to have you with us today. Your journey from being in significant credit card debt to mastering personal finance is truly inspiring. Let’s start from the beginning. Can you tell us more about your financial background and how you ended up in debt despite being raised by accountants?
Rojas: Thank you for having me! Growing up in a household where both my parents were accountants, I was surrounded by discussions about budgeting and saving. I thought I had a solid grasp of financial principles. However, like many others, I fell into the trap of lifestyle inflation and consumerism in my early twenties.
Editor: That’s fascinating, Alejandra. Many people might assume that a strong financial education at home would prevent such a situation. What do you think contributed to your overspending habits?
Rojas: I believe a big part of the issue was the disconnect between knowledge and behavior. Just because I understood the importance of financial responsibility didn’t mean I practiced it. I was influenced by societal pressures to maintain a certain lifestyle, which led to impulsive purchases that quickly added up.
Editor: It’s interesting how external factors can play such a significant role in our financial decisions. Once you realized you were in debt, what steps did you take to address the issue?
Rojas: I took a deep dive into understanding my spending behaviors. I began tracking my expenses meticulously and analyzing where my money was going. This helped me identify patterns and triggers for my overspending. I also sought out financial education resources—books, online courses, and podcasts—to learn more about budgeting and debt repayment strategies.
Editor: That sounds like a solid plan! Were there any specific strategies or tools that you found particularly helpful during this time?
Rojas: Absolutely! I started using budgeting apps, which made it easier to monitor my spending in real-time. Additionally, I adopted the snowball method for debt repayment, focusing on paying off the smallest debts first to build momentum. This method kept me motivated as I celebrated each small victory.
Editor: Celebrating small victories is so important in keeping motivation high! After gaining control over your finances, what motivated you to help others who may be in similar situations?
Rojas: I realized how isolating financial struggles can feel, and I wanted to create a supportive community that could empower individuals to take control of their finances. I started sharing my story and tips on social media, and it resonated with so many people. It became clear to me that by sharing my experiences, I could help others avoid the same pitfalls.
Editor: It’s incredible to see how you turned your challenges into a platform for empowerment. What advice would you offer to someone who is currently facing a similar financial crisis?
Rojas: First and foremost, it’s important to acknowledge that it’s okay to ask for help. Start tracking your spending to gain clarity on your financial habits. Don’t be afraid to seek out resources—there are so many free options available. And most importantly, be patient with yourself. Changing financial habits takes time, but every small step counts.
Editor: Wise words, Alejandra. As we wrap up, what future projects or goals do you have in mind for your journey in financial education?
Rojas: I’m currently working on a series of workshops aimed at young adults to cover the basics of personal finance, budgeting, and debt management. My goal is to create a more informed generation that is confident in managing their finances. Ultimately, I want to help reshape attitudes around money management so that fewer people find themselves in overwhelming debt.
Editor: That sounds like a fantastic initiative! We’re excited to see what you accomplish in the future. Thank you for sharing your journey and insights with us today, Alejandra. It’s been a pleasure.
Rojas: Thank you for having me! I hope my story can inspire others to take charge of their financial futures.