Debt Reducers

[minnie1928]

I'm now officially in.

Welcome to the wagon!

Following DRs advice is certainly a great start. We've been doing it for several years and I am amazed at the difference it has made in our lives.

I would keep the $1000 (as others have said). I think you will feel better knowing that if something happens you won't need to run to a credit card. So much of this stuff is emotional (as you've seen) and you need to keep those emotions in check...the $1000 will help with that. Something that helped us keep the momentum going was to pay towards our debt, even if it was only $10. I got paid every 2 weeks, so whatever was left in my checking account the night before I got paid was sent to pay down a CC. Some weeks it was only a few dollars, other weeks it was much more. Either way it felt good to make that payment because otherwise if would have found a reason to be spent on something that I probably didn't actually need.

Next is the hard part...making your money stretch further than it ever has. Your kids are old enough to help out, for the younger ones you can turn it into a game and a learning experience. My kids have been taught the value of couponing, delaying a purchase (to see if you REALLY want/need something), and turning off the lights to save electricity, etc. Try the thread about painlessly stretching your budget, there are tons of ideas there.

I would also open a high interest savings account for your emergency fund (think ING or HSBC). You might as well earn some interest on that money while it sits! ING has an ad inside the August issue of Smart Money for a $25 bonus to open a new account or you might be able to find a code if you google for it.

Good luck and keep posting!

 

[mrsklamc]

Subbing to remind me to stay motivated....

 

[RetroMom]

Thanks everybody! I have decided to keep the money so I can check off step #1. I do agree that I should put it in an account that it can earn some interest on if possible. My concern is that some accounts penalize you if you withdraw before a certain time or you don't leave a certain amount. So I was thinking about ING, but on some other thread, people were saying it can take several days for the amount to transfer back to your regular checking account. If it's an emergency, that wouldn't work, unless I charged it and then paid it right back I guess. Any thoughts or experiences with this?

 

[akmom]

Good job everyone! It is great motivation to read everyone's updates. We FINALLY got our stimulus check in the mail. I just sat and stared at it trying to find the perfect thing to pay with it. A few years ago I would have just went shopping. lol

 

[DiznEeyore]

So I was thinking about ING, but on some other thread, people were saying it can take several days for the amount to transfer back to your regular checking account. If it's an emergency, that wouldn't work, unless I charged it and then paid it right back I guess. Any thoughts or experiences with this?

That's exactly what we've done ... if it's a planned expense, I do the withdrawal and wait for the money. It's never taken more than 2 business days for me in the 6+ years I've had an account with them. I do have a Citi savings account and it takes waaaay longer to do transfers, for whatever reason.

For unplanned expenses, we just charge it and then transfer the money, paying off the charge as soon as the money hits the bank account.

 

[RetroMom]

Thanks DiznEeyore! I opened up my local newspaper from yesterday and inside it was an insert for ING. minnie1928 had referred to this earlier in the thread. It gives you $25 to open the account. So that's what I will do. Thanks for the advice.

Just wondering how everyone else is doing out there? Some wonderful people started this thread and I would love to here how they are doing. Whether it's a little progress or a lot, I think we have a great support group here.

 

[8 Ears]

RetroMom I agree with you. Great support group but I would also like to know how some of the others are doing?

We went back and forth on what to pay this week. We owe my Mom a small amount but still HAD 3 medical bills we are plugging away at. Love ya Mom, but we chose to pay another medical bill

I just now paid the $422.40 one! Soooooo, if you are keeping track; we have 2 left! One for $451.60 and the biggie $1,952.15 Sure am hoping to be able to pay the small one off next week but it is going to be mighty tight!! So our remaining medical bills are $2,403.75
Not bad, down from over $5,000.00

How are you doing at reducing your debt?

 

[8 Ears]

I do not normally post when I make one of our car payments. Guess it is reducing our debt though..... anyway just made another payment and paid an extra $17.00 on it! I also took note that we only have 8payments left on it!
It is getting SO close to paying it off.

How close are you to paying off a vehicle?

 

[Kathi OD]

I do not normally post when I make one of our car payments. Guess it is reducing our debt though..... anyway just made another payment and paid an extra $17.00 on it! I also took note that we only have 8payments left on it!
It is getting SO close to paying it off.

How close are you to paying off a vehicle?

We have 3 cars. Two are paid for; one we paid cash for, the other was a 4 year note that we paid off in 2 years, but one still has 2 years left on the note.

 

[RetroMom]

bump..let's keep supporting each other!

 

[8 Ears]

Hello Retro Mom! The best I can give you today is that I am working, there for on Friday I will have my weekly debt reducing up date

It is nice for this thread to be active during the week, keeps your spirits up a bit.

C'mon people! Where is everybody?

Wish me luck, I have put more items into Uncle Henry's and have some on CL but not much selling. Maybe closer to the holidays? I want this debt to be gone!

We are using my Mom's camper this weekend, she did mention how this will be the last year we will use it as we are planning on purchasing our own AFTER the vehicles are paid off. Hopefully that will happen before the new year.

 

[pperfectmom]

Is there a code for the $25 for opening an ING account? I didn't see anything in our Sunday paper about it but I'm interested in maybe starting an account with them.

 

[RetroMom]

The application form I received does have a reference code, but it seems to be for one application only. Sorry...

 

[nike]

I LOVE THIS POST AND LOOK FOR IT EVERYDAY - ONE DAY I WILL BE BRAVE AND POST MY DEBT- JUST TO SCARY BUT I DID START AND WELL THAT'S A START RIGHT?

 

[Kathi OD]

I LOVE THIS POST AND LOOK FOR IT EVERYDAY - ONE DAY I WILL BE BRAVE AND POST MY DEBT- JUST TO SCARY BUT I DID START AND WELL THAT'S A START RIGHT?

Can it be scarier than my friend's? She and her DH and over $78,000 in credit card debt alone. Add to that 2 brand new cars and a mortgage for well over $400,000 and you've got SUPER SCARY!! Neither one of them were making big money at the time and didn't realize just how much debt they had until they decided to get a divorce! That's even scarier!

 

[RetroMom]

pperfectmom- minnie1928 posted this earlier: ING has an ad inside the August issue of Smart Money for a $25 bonus to open a new account or you might be able to find a code if you google for it.

nike- Glad to hear you have joined us! It is scary, isn't it? I just finally decided it was either going to be scary and I would work my way through it, or I could let it get to be more and more. The monster was not going away on its' own. It's hard though. My money is so tight that the smallest thing is outside the budget. I don't have a whole lot of leeway with my salary. That's where searching these boards can give you some awesome info. For example... school supplies! There is no room for them in my budget, but they have to be bought, right? But there is a great school supply thread going, and I have started buying supplies for pennies! I can do that and literally have ( the clerk wasn't thrilled, but oh well)! I will add this... my family (other than my kids) has no idea how much debt I am in. Neither do my friends. They all just know that I'm in some debt and have put my family on a strict budget to pay it off. My kids are trying to handle it well, but they don't really understand when I say no, we can't get a soda and a candy bar. Even a few dollars are too precious now. I guess the anonymity of these boards and knowing I was talking to people who have been or are in my shoes helps tremendously! This is my outlet for my fear and worry and my hopes for the future. So hang in there and please feel free to jump in!

Kathi OD- That is really scary. Geez, I can't imagine going through a divorce (been there, done that) and finding out that there was that much debt . I don't know how I would work through all of it. My thoughts and prayers go out to your friend and her family.

 

[comicguy]

Count me in.

I started in Jan 07 with reducing our debts. Last year we paid off the Lowes card 3000(redid DS room complete right down to the studs, new electric, new subfloor and carpeting, doors,windows, the works). Paid another CC(had 7500 on it) Have another cc down to 4500 and one down to 8000. DW's student loan down to 2800, my student loan(Graduated last may only 38,000 left ) then of course there is the mortgage but I am not too worried about that right now.

We still use one cc every month for gas, groceries, ect... and pay it off when the bill comes in so we can get Disney Reward Dollars to use on out trips to WDW QUOTE]

Update:

We have paid off the CC w/ 4500 on it.
DW's SL is now down to 2000
The other CC is down to 7000
My SL's 38000(started back this past June added 400/month to the budget)This is taking a bite out of our debt repayment.

We bought a new car '09 corolla 2.9% (that added another 300 per month to the budget).

Just found out that I have to take one more Grad class to expand by teaching certification to include 5th and 6th grade. Of couse it would have to be a 6 credit class to the tune of about 2000(still trying to find where that money is going to come from. Not to mention that my car also needs a catalitic(sp?) converter ($1300) dealer item only

It seems the more debt you pay off the more expenses that see, to surface. I swear it is a conspiracy from the CC people. They must be talking to my garage and school personel to cost me this extra money.

 

[WDW4TheGirls]

We also got a $1300 truck repair bill this week. I am not happy about this, but both of our vehicles are paid off, so I guess the repair bill is better than a new car payment.

 

[nike]

oh! I am not worried because my daughters's father is $ 43000.00 in child support arrears so when he decides to pay I will be okay ha ha ha-gotta laugh I would rather owe c/c any day than owe child support- not that child support does anything in ny - can't find him- oh well

 

[MinnieVanMom]

I'M DEBT FREE! Ok, it is not on the radio but it is here. I paid my last CC bill last Sunday and I have a savings account too!

I sold a minivan, 3 horses and tons of fishing lures. I had a garage sale and watched every penny. I lived the budget and put everything extra into making CC payments.

Now it almost feels weird to get a paycheck and not know who to send the money off to. I opened a savings account with my young child and we are going to keep money in there until we figure out how to invest it wisely.

I also have a trip coming to Disney that was paid in full before 2 months before we are scheduled to leave. I have $300 in Disney Gift card that I earned on sunshine rewards for extra gifts, drinks and tips.

I am no longer a slave to debt. I am DEBT FREE!