Making a movie
How he used credit cards:
He maxed out multiple credit cards and took out a business loan to
finish a movie that went over budget, for total debt of
How he paid off the debt:
He almost went bankrupt, but spent more than a year negotiating
settlements with creditors instead. He lost his home in the
Advice for others:
"When it comes to your dreams, work hard and be smart. Don't be
frivolous," he says. "The worst thing that happens is it doesn't
The back story:
Producer, director and screenwriter Kenny Golde was in the middle
of shooting the film, "Uncross the Stars," starring Barbara
Hershey, when his main investor had to be hospitalized and then
died. The movie was already over budget, and Golde had to make a
decision: Stop filming or find the money to finish it.
Golde had been wanting to make the film, about a widower
grappling with grief, since he first read the script 10 years
earlier. He decided to use his five credit cards, and he also went
to the bank and opened a business line of credit. "I looked at
myself not just as some guy who wants to make a movie and put it on
credit cards, but like any other business owner," he says.
But just as Golde began trying to sell the movie in 2008, the
recession hit. Credit was drying up and the movie didn't sell. "It
just happened to be really bad timing," he says. "Everybody
He was paying $4,000 a month in interest and couldn't keep up.
He met with a bankruptcy attorney, who told him about
. He decided to try to settle his debts for less than he owed.
After stopping payment on his bills, and more than a year of
stressful negotiations, he got $150,000 written off and paid the
remaining $72,000. "It was an extraordinarily difficult situation,"
he says. He recommends getting everything in writing: one creditor
contacted him to try to get more money after he paid the account
off as agreed.
To help other consumers, Golde wrote "The Do-It-Yourself
Bailout," a guide to debt settlement. He is now free of credit card
Main: 5 who funded dreams on credit
An ode to credit cards for entrepreneur's business