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Philipps was born in Oak Park, Illinois. Her parents gave her the nickname Busy because as an infant she was always moving. The nickname stuck; it even appears on her credit cards, but not her drivers license (as she stated on an episode of Wendy Williams 12-7-10). She attended Chaparral High School in Scottsdale, Arizona. She attended Loyola Marymount University at the same time as Linda Cardellini and former boyfriend Colin Hanks.