Debt Dumpers - 2016

[bcwife76]

@gracie1 except for our mortgage and car loan, yep. But don't think you guys are getting rid of me that easily lol While the big inheritance I'll eventually receive will either knock out our mortgage completely or at least take a huge chunk of it, we will not pay out the car loan (it's at 0% and factors well into our budget so really no reason to pay it off). And I'll still need to budget so that we don't go into debt (credit card or otherwise) again so I'll be following all the lovely advice I learn here and will continue to learn here!

 

[gracie1]

@gracie1 except for our mortgage and car loan, yep. But don't think you guys are getting rid of me that easily lol While the big inheritance I'll eventually receive will either knock out our mortgage completely or at least take a huge chunk of it, we will not pay out the car loan (it's at 0% and factors well into our budget so really no reason to pay it off). And I'll still need to budget so that we don't go into debt (credit card or otherwise) again so I'll be following all the lovely advice I learn here and will continue to learn here!

That is so exciting!!!! And you better not desert this thread!!! I only have a mortgage as well. My goal is to pay it off early but I do have 20 years on it so it's not like I will have it paid off soon but I'm happy that's the only debt that I have!

 

[ariel1025]

Paid off our appliance loan (stove, washer and dryer) from March 2014. Wasn't our smallest balance ($1,442.06) and wasn't our highest interest, so it kinda goes against all the "rules." But it was the biggest monthly payment we could afford to open up with our tax refund. Perfect timing since we'll be picking up a car payment at the end of the month from my husband's new car.

Was also able to get a jump start on my kid's spring/summer wardrobe with a little of the extra tax refund left. Old Navy was having some pretty good deals (really good ones on my daughters size) plus a coupon code for an extra 30% off (today only) and Gap had $35 off if you spent $100 with some fairly decent prices in my son's sizes. Spent a little under $250, but they should both be set on shorts and flip flops. My son is good to go on t-shirts, sunglasses and swimming trunks. My daughter will be all set on sundresses. So, I just need a few school appropriate shirts for my son and some shirts and swimsuits for my daughter.

 

[bcwife76]

That is so exciting!!!! And you better not desert this thread!!! I only have a mortgage as well. My goal is to pay it off early but I do have 20 years on it so it's not like I will have it paid off soon but I'm happy that's the only debt that I have!

You guys are all awesome!! Even if I won the lottery I wouldn't abandon this thread!!

 

[DnA2010]

@gracie1 except for our mortgage and car loan, yep. But don't think you guys are getting rid of me that easily lol While the big inheritance I'll eventually receive will either knock out our mortgage completely or at least take a huge chunk of it, we will not pay out the car loan (it's at 0% and factors well into our budget so really no reason to pay it off). And I'll still need to budget so that we don't go into debt (credit card or otherwise) again so I'll be following all the lovely advice I learn here and will continue to learn here!

Knock out your mortgage...wow that's amazing! That would be just glorious...can't even imagine... So glad to hear it's all happening- nothing like that can ever happen to us, so will just have to dream on the lotto win...I sure it continues to be relatively smooth and not too painful sailing xx

 

[ruadisneyfan2]

Trust me, if I could get my money out of this retirement account I would do it tomorrow, but short of leaving my job after 38 1/2 years there, I can't do anything except stop making contributions to it and starting my own IRA somewhere else, in which case I can have more control over it!
Oh well, the damage is done - I won't open my 401K site then I won't be sick from seeing it IF I hear others at work talk about the plan recovering, I will look again then. In the meantime I have plans to talk with someone Friday to look at my options for a regular IRA or Roth account and think about my options then. I can change my percentage of income placed in the 401K at any time but since its pay week, the money for this pay period has already been accounted for, I can change it to 0% contribution before the next pay period ends though!

On a positive note, I did a little fun "retail therapy" yesterday and spent far less than I planned to and I didn't charge a thing! Sometimes I just have to get out and do some fun shopping instead of routine grocery shopping, I didn't spend any money for the past 2 weeks, I didn't eat out etc so I used the money that would have been spent on meals and unneeded groceries by indulging in myself just a little! Well, plus some things at a consignment shop for my little great nephew that is due in mid-June

FWIW, you only "lose" money if you do indeed withdraw it now while it's low. The values may go up and down over the years but to take out now would be like buying high and selling low. Let it ride.
People's gut sometimes tells them to quick take it out to help save it from dropping further but in reality you still own the same number of shares. When it goes back up, which it always does eventually, then move it to something less volatile as you near retirement age.

 

[mrsabbott]

That stinks about your retirement fund! How scary!! I certainly hope that you are able to recover the money once the stock market does better. I find the concept of investing a little intimidating.. I don't know how people can do that for a living!!

Hubs and I are both about to turn 40 and we've just recently started thinking about investing in our retirement. Doesn't seem quite so far off anymore now.. Hubs has a retirement account at his job. They take out a certain percentage and match it, I think. He had an option to invest it in something more aggressive/risky, something moderate, or something more safe. I think we chose moderate.. so there are some safer investments and some more risky ones. We don't have much in there just yet, but we haven't lost anything either. I just started a retirement account via my job. It was a mandatory thing but I didn't get any info on how it is invested. On both the accounts, we just get statements every so often.

Once we get our debt paid off, I want to start a much larger savings than our emergency fund. By the time we retire, I would like to be debt free, mortgage free, and have a large cushion to supplement what retirement we may end up with. Sigh.. I sometimes I wish I could go back to my old self 20 years ago and knock some sense into her!! LOL!

 

[mrsabbott]

So today I received a call from the insurance advisor who works for the company my dad had his life insurance policies with. The cheques have been cut and are being mailed out tomorrow, I should receive mine early next week. And it's a bit bigger than the lawyer told me it would be. Pretty amazing to think that before the end of this month our Home Equity line of credit will have a ZERO balance! And all cards can definitely be paid in full without having to use the line of credit. Now, we just need to stay in the BLACK!!

Wow! How wonderful that you will be completely debt free!! Congrats! However, I am sorry for the loss of your dad.

Just saw your other post that you won't quite be completely debt free.. but close! Still, that is pretty awesome! Yay!

 

[gracie1]

Paid off our appliance loan (stove, washer and dryer) from March 2014. Wasn't our smallest balance ($1,442.06) and wasn't our highest interest, so it kinda goes against all the "rules." But it was the biggest monthly payment we could afford to open up with our tax refund. Perfect timing since we'll be picking up a car payment at the end of the month from my husband's new car.

Was also able to get a jump start on my kid's spring/summer wardrobe with a little of the extra tax refund left. Old Navy was having some pretty good deals (really good ones on my daughters size) plus a coupon code for an extra 30% off (today only) and Gap had $35 off if you spent $100 with some fairly decent prices in my son's sizes. Spent a little under $250, but they should both be set on shorts and flip flops. My son is good to go on t-shirts, sunglasses and swimming trunks. My daughter will be all set on sundresses. So, I just need a few school appropriate shirts for my son and some shirts and swimsuits for my daughter.

That is great that you were able to pay off one of your debts!! It doesn't matter that it was lower interest than the rest - your now $1442 less of debt dumping!! You should be very proud of that accomplishment!!!!

 

[Ava]

This isn't exactly debt dumping, but I just got my electric bill for this month and I have $0 due! I'm on a level billing plan and had enough in credit to completely cover this month's bill, and they are also sending me a check for $22.49 for the remainder of my credit. And my monthly payment amount is going down by $12 for the next 12-month period. Not a lot, but it's something! LOL.

Speaking of retirement accounts, I also have not looked at mine in quite a while. And based on the conversations on this thread I am not going to! I'm only 35 so I still have a good 30+ years until retirement. (Wow, it's depressing when you think about it like that, lol.) My 401k also does what they call "targeted investments." Basically you choose your target retirement year and they invest in a mixed portfolio based on how many years you have until retirement. The longer you have, the more aggressive the investment options. As you approach retirement, they automatically shift your investments into a moderate, then a conservative, portfolio. I know nothing about the stock market or investing in general so I chose this option when I signed up. My employer also matches up to 5% so I contribute 5% to get the full match.

 

[Shmily1]

Just paid off 3 doctor bills from my surgery last year! Not a big deal but it's a start.

 

[AmyAnne]

I have some questions for those who are good at budgeting. We don't have a lot of debt but also need to do better about saving. I think I recall reading here that some of you use different accounts for budgeting, and I think Capital 360 accounts in particular might have been mentioned . . . Can someone fill me in on this? We don't use cash hardly at all so envelopes are out, but having different accounts for different needs might work, especially if money can be moved in and out on line.

 

[stayhomemom77]

@gracie1 except for our mortgage and car loan, yep. But don't think you guys are getting rid of me that easily lol While the big inheritance I'll eventually receive will either knock out our mortgage completely or at least take a huge chunk of it, we will not pay out the car loan (it's at 0% and factors well into our budget so really no reason to pay it off). And I'll still need to budget so that we don't go into debt (credit card or otherwise) again so I'll be following all the lovely advice I learn here and will continue to learn here!

Nice! Very exciting news.

 

[stayhomemom77]

I have some questions for those who are good at budgeting. We don't have a lot of debt but also need to do better about saving. I think I recall reading here that some of you use different accounts for budgeting, and I think Capital 360 accounts in particular might have been mentioned . . . Can someone fill me in on this? We don't use cash hardly at all so envelopes are out, but having different accounts for different needs might work, especially if money can be moved in and out on line.

I dunno if this will be helpful but we have three savings account and one checking account.

For the savings accounts...

One is for curveball money (car repairs, appliance repairs/replacements, house stuff)...you know, stuff you don't necessarily spend monthly but do come around at least annually. It's like an emergency fund, I guess...but I differentiate mine.

One is for vacation savings.

One is for a house downpayment. We are presently saving up to buy a house. Once we do that...this account will become an Emergency fund account.

If we maintain a $4000 balance in our checking account, we do not have to pay any bank fees. So our emergency fund is presently in the checking account. It is for TRUE emergencies...basically if DH were to lose his job and we'd have to subsist off of our savings exclusively for a time. $4000 would cover us for a least a month. After we buy the house, we'll begin working on building this up to three months and then six months. We'd leave the $4000 in the checking account but go forward with the new savings in the savings account that currently houses our down payment savings.

The checking account also houses the money we set aside each month for gifts, house insurance (that we pay annually), the water bill (which we also pay annually), clothing money, etc.

To keep track of all this, I designed a personalized spreadsheet. I refer to it and update it almost daily. I have a listing of the stuff that comes out from each pay and then underneath I track the current balance in the checking account and the various categories and corresponding dollar amounts allocated to each line in the budget.

This works great for me as I can see how much money we have in any given category with the click of a few buttons!

I hope you can find something that works for you!

 

[gracie1]

Just paid off 3 doctor bills from my surgery last year! Not a big deal but it's a start.

That is awesome! Three bills is a great accomplishment! Even if they were only $1 a piece that's three bills gone!!

 

[gracie1]

I only have one savings account - I tried having two but it is just easier for me to use one. It's my everything - emergency fund or vacation or whatever I need out of it. I did take half out last year and opened a cd because it was 1.30% interest for a 14 month cd so I jumped on that. It's sad that 1.30% is considered a great interest rate now! Once it runs out if I can't get a decent rate I will put it back in my regular savings.

 

[gracie1]

For everyone posting their accomplishments - it doesn't matter how little the bill or that there may be no interest that your saving money by paying them off - you are paying off debt and that is a big deal and huge accomplishment!!! Be proud of yourselves for doing this! There's nothing to minor to celebrate!!!

*stepping down off the soap box now*

 

[ruadisneyfan2]

I have some questions for those who are good at budgeting. We don't have a lot of debt but also need to do better about saving. I think I recall reading here that some of you use different accounts for budgeting, and I think Capital 360 accounts in particular might have been mentioned . . . Can someone fill me in on this? We don't use cash hardly at all so envelopes are out, but having different accounts for different needs might work, especially if money can be moved in and out on line.

Once you open your first account, you link it to an external account (usually a local brick n mortar bank) so you can transfer funds between accounts.
Then you can add more accounts. You can also assign nicknames to each one.
It's easy to transfer between accounts to occur immediately (between Cap One accts) or advance schedule single or recurring transfers. External transfers take a day or 2.
You can nickname them whatever you like. I have Emergency Fund, Car Ins., Sewer, Christmas, Vacation, Mortgage Escrow, College Expenses and probabaly others I can't think of at the moment.
You can make it a joint account any time and then that person will see/have access to the accounts that he/she is listed on with his/her own log in.
The rest is just deciding how much you want to put where.

 

[Ava]

I have some questions for those who are good at budgeting. We don't have a lot of debt but also need to do better about saving. I think I recall reading here that some of you use different accounts for budgeting, and I think Capital 360 accounts in particular might have been mentioned . . . Can someone fill me in on this? We don't use cash hardly at all so envelopes are out, but having different accounts for different needs might work, especially if money can be moved in and out on line.

I also use CapitalOne 360 and find it very easy to use. I have a checking account (which earns interest) and 5 different savings accounts - Emergency Fund, Vacation, Stuff We Want (right now we're saving for bunk beds for the kids), and 2 Kids accounts for my 2 DDs. Moving money between your CapitalOne 360 accounts is instant; transfers between Cap360 and your external linked account (which you have to have, so find a basic no-fee checking account at a local bank) take a few days.

 

[dayvewc]

Ok, so I have basically finished my taxes. I'm still waiting to see if a couple of last documents will show up, but they are 1099-INT forms for interest, and none of the accounts will have more than $10 in interest, so I am not even sure I will get a form. So, should I go ahead and file now, or wait another week just in case?