Debt Dumpers - 2014

[OhMari]

Hi everyone! I decided to join back up again after lurking for a while, I had joined the old thread (2013) but have just been reading the new one since the first of the year. Congratulations to all of you for making the conscious effort to reduce your debt!

A lot has happened since I last posted on this topic, things changed about 8 months ago -my husband accepted a new job (within the same organization) and we moved, mostly to start fresh & because his income has increased, his retirement will as well. He's got about 6.5 years left, so God willing, we will stay here and finish off his working years. I found a job that pays well, it's very busy, but I like that it makes the time go by fast

Most of our debt is cc, unfortunately, so I'll start there. Last year before we moved here and had sold some vehicles & our RV, I was determined to set a schedule for paying off our debt. We still own one truck (an older one that we have a loan out on) a house that we are still paying a mortgage on, so I won't factor those in until we get our cc's paid off. We considered selling the house since we are renting here, and it's not cheap, but we wanted a place to go to when we fly out of here (very remote-no other way to get out) and our kids are living in our house - we wanted to help them for now (youngest is out of high school and working-daughter is working and in college) until they get more financially stable. They have a friend who will be moving in in June who will be paying rent. Our kids are helping us out by watching the place & doing some repairs, etc. so it's a win win. We want to have a place to go to when we leave here and retire to.

Anyway, I'm happy to announce that since we've been here, I've paid off the Sears Bill (it was $2450 at it's highest) and I'm going to pay off Best Buy (promo deal-18 months interest free) by the end of this month!! The next one that I'm tackling is the Discover card. At it's highest, it was around $7800, after this months payment, it will be down to a little over $5000! My pay off goal date for that card is December 2014. Because it has the highest interest rate, I've considered getting a new card with a 0% interest rate to pay it off even faster, because the monthly int. is about $92, which adds up.

We have 3 others, but I won't mention the balances or other information until I pay off the current one I'm working on, it simplifies things in my mind that way.

Since we do live in a very remote area, over the years we live here, we are going to be going on some trips to more urban areas now and then for mental health. For instance, we have a trip planned & booked for November to Southern California, and of course, Disney. I always try to look for the best deals airfare wise, and use miles when I can. I'm also paying down a Costco pkg every month, so that is helping. I know we could pay down our debt a lot faster without trips, but seeing as we cut back a lot of other expenses and are willing to sacrifice and pay a bit longer to get out of debt, we are ok with that.

My goal pay off date for all our cc's is my birthday month, September 2016. I will continue to read everyone's successes and cheer everybody on, & every now and then I'll do an update with our situation. Thanks for starting this thread and here's to everyone living a happier and stress free life!! We can do this!!

Hey welcome back. No one says that getting out of debt is short and sweet, it is a long journey, that is why we work.

I am too working on a large bill, it was $9,000 last July and I have it down to $5,000. Hopefully it will be paid off too by December. But my job is getting cut in half-which means my salary is too. I am looking for a new job-so I can say see ya! when my contract expires June 30th.

I try to tell my husband everyday, bills will always be here, and we need to step away from our jobs for a mental break We were at WDW in February and it literally took him 3 days to wind down.

 

[princezB]

Well I've been doing pretty good with paying things down...I have not bought any new clothes (though I'm dying a little bit inside ). I just started my own business, I'll be selling jewelry and hosting jewelry bars with Origami Owl. If anyone is interested in ordering, you can PM me, they're living lockets and very beautiful. I'm hoping that I'll be able to pay off things more with this venture. Besides teaching full time, I'm also going to be working at a catering hall as much as I can. That debt will be gone!!!

 

[ruadisneyfan2]

Hi all. Don't even know where to start or begin. Long, long story short, I found out last night that my husband has $150k in credit card debt.
He is a self employed soil scientist who's company took a hit during the recession, and has been doing better since last summer.
I'm a stay at home mom for almost 15 years.
We own two cars outright.
Have 19 years left on a 30 year mortgage.
For lack of anything else - help?

I'm sorry to hear this.
I admit I know nothing about running a business but I would speak with a bankruptcy attorney first. Is there some way to declare any of it as a loss on your taxes?
Are you able to handle paying the minimums on all except one and send extra to that one? If you read up about the DR snowball method, it may help you get a handle on things. I found it gave me direction like I never had before. I kept sending more than the minimum to all of them but never feeling like I was making any progress.
With DR's snowball, you list all debts from smallest to largest. Then start by attacking the smallest with everything you can while paying minimum on all the rest. Once that first one is paid off, you can apply its payment to the next smallest bill. Once that is paid off, move onto the next one. As each bill gets paid off, your minimum monthly payment continues to grow, hence the term snowballing. Before paying down any bills, put aside $1000 as an emergency fund. This is good to have so when things come up, and they always do, you won't have to lean on a credit card to get out of a jam. Vet bills, car problems, etc.
We are a few weeks away from paying off our 7th bill since October. I actually signed up here last April but we already had a big trip paid for and we would have lost a lot of $ to cancel. I needed to set aside some cash for spending money. Then we needed a new roof which finally got done last August. Then I needed to save the emergency fund. Finally in October I could start paying off bills.
It sounds crazy but once you get started and see some progress, it's actually exciting on payday to pay bills & see more progress each week. It's very slow in the beginning Be patient and you will see your snowball grow.

I would think your kids are old enough to handle some explanation of your situation. Even if you don't divulge the nitty gritty, they should know you have some big bills to deal with & can't fund things that you perhaps could have in the past. I have teens too and admit to them some of what's going on. Ds17 especially knows that I'd like to get these bills paid off so I can help pay for college starting fall 2015. He has applied for PT jobs to like 50 places, with little response, so he can have his own spending $. We do pay him $15 to cut the grass.

Good luck in your job search.

 

[rusafee1183]

I'm sorry to hear this.
I admit I know nothing about running a business but I would speak with a bankruptcy attorney first. Is there some way to declare any of it as a loss on your taxes?
Are you able to handle paying the minimums on all except one and send extra to that one? If you read up about the DR snowball method, it may help you get a handle on things. I found it gave me direction like I never had before. I kept sending more than the minimum to all of them but never feeling like I was making any progress.
With DR's snowball, you list all debts from smallest to largest. Then start by attacking the smallest with everything you can while paying minimum on all the rest. Once that first one is paid off, you can apply its payment to the next smallest bill. Once that is paid off, move onto the next one. As each bill gets paid off, your minimum monthly payment continues to grow, hence the term snowballing. Before paying down any bills, put aside $1000 as an emergency fund. This is good to have so when things come up, and they always do, you won't have to lean on a credit card to get out of a jam. Vet bills, car problems, etc.
We are a few weeks away from paying off our 7th bill since October. I actually signed up here last April but we already had a big trip paid for and we would have lost a lot of $ to cancel. I needed to set aside some cash for spending money. Then we needed a new roof which finally got done last August. Then I needed to save the emergency fund. Finally in October I could start paying off bills.
It sounds crazy but once you get started and see some progress, it's actually exciting on payday to pay bills & see more progress each week. It's very slow in the beginning Be patient and you will see your snowball grow.

I would think your kids are old enough to handle some explanation of your situation. Even if you don't divulge the nitty gritty, they should know you have some big bills to deal with & can't fund things that you perhaps could have in the past. I have teens too and admit to them some of what's going on. Ds17 especially knows that I'd like to get these bills paid off so I can help pay for college starting fall 2015. He has applied for PT jobs to like 50 places, with little response, so he can have his own spending $. We do pay him $15 to cut the grass.

Good luck in your job search.

I agree with all of this. I find that I look forward to our weekly budget meetings all week... I get SO excited to see how much we have left over to put towards our debt. Who would have thought paying bills would be fun????

 

[ruadisneyfan2]

I agree with all of this. I find that I look forward to our weekly budget meetings all week... I get SO excited to see how much we have left over to put towards our debt. Who would have thought paying bills would be fun????

I like looking ahead on The Plan to see what my snowball payments will be a few months out, say next fall. Some weeks it's like $500 that at one time went to various bills, all going toward a bill as an extra payment.
It gives me something to look forward to and know that eventually that will all go into a savings/investment accounts.

 

[gracie1]

Hi Everyone Just stopping in to say hi! Things are going really well at my new job. I've definitely learned how to be very tight budgeted, that is for sure! But it is so nice not having that stress.

Welcome to all of you that are new! You will definitely be welcomed with open arms from all of us, and don't be afraid to even just come on here to vent at times.

And for those of you that have been plugging away at your debt, you are all doing such a fantastic job! I still say this is my favorite thread with all of you

I will try to get back on here a little more often. Since this job is seasonal and will be closed for 3-4 months I am working 50-60 hours a week to get the ot to stash away for the unemployment season. But it will all work out in the end, I am sure.

Just in case I don't make it back on here before Sunday - Happy Mother's Day to everyone!!

 

[yupikgal]

Hey welcome back. No one says that getting out of debt is short and sweet, it is a long journey, that is why we work.

I am too working on a large bill, it was $9,000 last July and I have it down to $5,000. Hopefully it will be paid off too by December. But my job is getting cut in half-which means my salary is too. I am looking for a new job-so I can say see ya! when my contract expires June 30th.

I try to tell my husband everyday, bills will always be here, and we need to step away from our jobs for a mental break We were at WDW in February and it literally took him 3 days to wind down.

Thank you! It feels good to be part of this journey with everyone else and be able to post our successes (and maybe not always successes) knowing that we are all on the same page.

Good job on cutting your bill in 1/2! Sorry to hear about your job, and good luck with your search for a new one! I know how that goes, I've had bouts of unemployment, which sure didn't help our finances. I'm just happy that we both have good jobs now and that our Nov. vacation will be paid for instead of putting it on the card. In addition to paying down our Costco pkg, the airfare is already paid for, and I'm saving in two separate account for our spending money. Keep us posted about your job prospects!

 

[ruadisneyfan2]

Hope you're all making some progress. Same ol thing here but I guess that's not a bad thing.

Just keep swimming!

 

[bubba]

I'm finally redoing our budget after quite a while of letting it slip. I'd forgotten how good it feels to have a job for every dollar! It's still not working out quite the way I want it, but it'll get there!

 

[OhMari]

Thank you! It feels good to be part of this journey with everyone else and be able to post our successes (and maybe not always successes) knowing that we are all on the same page.

Good job on cutting your bill in 1/2! Sorry to hear about your job, and good luck with your search for a new one! I know how that goes, I've had bouts of unemployment, which sure didn't help our finances. I'm just happy that we both have good jobs now and that our Nov. vacation will be paid for instead of putting it on the card. In addition to paying down our Costco pkg, the airfare is already paid for, and I'm saving in two separate account for our spending money. Keep us posted about your job prospects!

I am going to be apply for a secretary job at our high school, which is right out my back door. 29 hours a week, that way they do not have to pay benefits. I would get off 2 months in the summer. The applications are due May 26th, so this weekend, I am going to put together my resume' and a cover letter. I haven't had to apply for a job in so long, I forgot how to do one. Thank goodness my dd works in HR and she is going to help me.

I am going to find a way to still do my old job. Since my hours are cut to 15 and answering the door and phone is no longer a priority, I am hoping to just come in and do the work that needs to be done. It is sad though, that I will be loosing my retirement-(not per say loosing it, I cannot contribute to it any longer since I am no longer full time) and I loose vacation pay. But I can live with that as long as I still will be having an income.

 

[desiree71081]

Paid $200 more dollars towards a credit card. This one will be paid off by the middle of June. Only one more month to go!!!!

 

[gracie1]

Paid $200 more dollars towards a credit card. This one will be paid off by the middle of June. Only one more month to go!!!!

Way to go! It's a great feeling when you get one paid off

 

[melissalee]

Student loans done!!! All I have this house loan and credit card! So glad to have one less debt!

 

[AirGoofy]

Paid $200 more dollars towards a credit card. This one will be paid off by the middle of June. Only one more month to go!!!!

Almost there. Keep it going.

Student loans done!!! All I have this house loan and credit card! So glad to have one less debt!

Congratulations on getting rid of the student loan debt.

 

[xCourxCorex]

Student loans done!!! All I have this house loan and credit card! So glad to have one less debt!

Woooo! Congrats!

My student loans are less than $10,000 after my payment cleared today.. Revised goal is to pay them off by the end of September!

 

[Eureka]

$1300 in repairs on the minivan today It went on the credit card we'd just paid off Also having problems with our kitchen sink, need to call a plumber because even after toying with it, we're still only getting a trickle of water out

 

[Eureka]

Student loans done!!! All I have this house loan and credit card! So glad to have one less debt!

Congrats!

 

[gracie1]

$1300 in repairs on the minivan today It went on the credit card we'd just paid off Also having problems with our kitchen sink, need to call a plumber because even after toying with it, we're still only getting a trickle of water out

Hugs!! I know how you feel - washing machine went up on Thursday Sooo.... since the washer and dryer are the same age I just took the plunge and replaced both. Really didn't want too but with all the discounts applied I basically got the dryer 1/2 off. And I figured if not, Murphy would hit and then the dryer would go up.

 

[melissalee]

Thanks everyone! I did a lot of sacrificing to get it paid off in 5.5 years

 

[freckles04]

Hi guys. Joining in & not sure how to start, but here goes! I have about $1,200 in various credit card debt at the moment that I'm looking to pay off. Not a great time for me to get motivated since they have cut our hours at work. But, having my hours cut was a bit of a wake-up call, too. It's definitely temporary, but it's put us in a bit of a crunch at the moment.

I'm trying to cut spending. I'm making a daily log of everything I spend money on this month so I can figure out where my money is going day-to-day. I've cut out some monthly expenses including our satellite; we mostly use Netflix, anyway, and the only new show we watch - the Walking Dead - we can buy individual episodes on Amazon when it comes back on this fall. So that's saving $82 a month. I purchased a $30 antenna at Wal-Mart so we can get our local channels.

I have $1,000 socked away for emergencies so my next step is the snowball method. Once I get everything paid off, I'll start on my car which I owe a little under $5K on. It will be paid off March 2015 if I stay on schedule, but I'd like to pay it off a little early. Then the mortgage, which has a $97K balance.

On the mortgage... I have a question. I have a 30 year mortgage which I've been paying on for about 5 years. Would it be better to refinance to a 15 year mortgage when I get these other debts paid off? I'm really clueless on this subject and thought I might start here finding help.