Your friend is right about the fact that you should be using your money for necessaries first. Save for taxes (figure out your actual tax rate) and other necessities (rent, utilities, food, etc after minimizing them a much a possible), part the minimums, save a small emergency fund as quick s possible, and then once you have it throw all extra funds at your debt.

If you can't pay the minimum payments and your necessities at the same time it may be time to consider a second job or bankruptcy.