Lori and Len each received $35,000 after their divorce. Len decided to start his new life by buying a sports car he had always wanted. Lori, on the other hand, decided to invest her money for the future. She took her time to get expert advice. She chose a good mix of solid companies to invest in. After two years, how did it all work out?
Len found out his dream car cost more to maintain than he could afford. He had to sell it for a lot less than he paid and buy a second-hand car. He ended up losing a lot of his savings. Lori made $5,000 on her investments. She now has $40,000 to save and invest for the future. Or, she can use some of the money for other goals, such as paying down the mortgage or taking a vacation.
Lesson learned: Be careful about spending your money too quickly after you divorce. Look at all your financial goals and how you can grow your savings to achieve them.
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