Debt Reducers

[NeverlandClub23]

Can I join? Let's just say I had a good time for about 4-5 years courtesy of credit cards. I owe about $18k in credit card debt. It's all on low or no interest cards, I pay more than the minimum, I still have a 720 credit score, I've never missed a payment, but it still very overwhelming and embarrassing. Luckily, I have learned from all of this and will never use credit cards again. Ever. I'm so sick of being in debt and having nothing to show for it. It will take me about 3 years to get out from under it (according to the financial plan thing I did on bankrate.com-that really put it into perspective; I put in everything I owe and interest rates and then it tells you how much to pay on each one and when you should be out of debt-FOR FREE). Anyways, I have a question. I've been dating a guy for about a year and he doesn't know how much debt I have. I feel embarrassed to tell him (but I, of course, want to tell him before we start talking marriage) but really when should I tell him? I don't want to tell him later and then he thinks I was hiding it from him or that I still have a problem. Thanks for letting me talk and for any advice!

Here's to a debt reduced 2009!!!

So at the end of 2009, I have told my bf about my debt (and he was completely understanding), I got a better paying job, I've saved $1,000 towards an emergency fund, and paid $6,000 on my cc debt (and not accumulated anymore) I have found the best thing for me is setting up bill payments (for free online through my credit union) that automatically come out with every paycheck so I can't even spend the money and I plan that money coming out as part of my budget. I'm also paying the minimums on the lowest interest cards and paying the most on the higher interest rate cards. It makes me feel better to know I'm paying less money in the long run than it would to see the smaller ones paid off faster.

Here's to an even more debt reduced 2010 and eventually a debt free life for everyone!

 

[maggieusa]

I had to buy a new fridge the day after Christmas and throw all my leftovers out the fridge stoped working at least I have 12 months on interest to pay it off.

 

[DawnM]

I haven't joined this thread. We started our journey to be debt free about 4 years ago. It took us 3 years to pay off student loans, cars, and any consumer debt.

We have now been "debt free" for over a year. I can't tell you what a difference it has made for us.

Now we are fixing up the house and hope to sell it next year. This is far more house than we need and far more of a payment than we want. We bought this pre-Dave and would NOT have purchased it had we started with Dave first.

Blessings.

Dawn

 

[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 off 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

My plan is to wipe out the 4500 cc and DW's SL plus lower that big cc a bit. By Dec. Things are tight because my SL's are 450 per month, so that does not leave much left over.

updated progress for 2009

Paid off the CC w/ 4500 on it
Paid off the DW's student loan
Final cc down to under 4000

still use one CC every month for expenses but it still gets paid off, sometimes it is a bit hard to do, but if you pay interest on it then the rewards are not justified(IMHO)

Plus we redid the living room (new electric, flooring, ripped out a wall and expanded the room, sheetrocking, painting)
Plus we forked out over 3000 for new windows for the house

Also, ended up with another new car but it is at 0% so free financing mine needed about 2000 in repairs, so we figured it was better to use that 2000 as a down payment on a new car(I got a toyota yaris, mostly to go to and from work, plus we got a good deal on it. I should be driving this car for the next 10 years at least.)

So 2009 was not that bad of a year, financial wise for us (now if we did not have to buy those darn windows and a new car)

Does anybody else have an update that they want to share?

I can't wait to start again on Jan 1st

 

[Krischaser]

Hi I want to join in. We are looking at a layoff probably in six months and both of us work for the same company. I want to pay off as much debt as possible. Any suggestions??? We have about 15000.00 in c.c debt and 40000.00 in Home equity. Thanks for letting me join the debt free soon board

 

[KibbyCat]

I need to join because I need the support and encouragement. We took the FPU course earlier this year and started out good. Used our tax returns to start an emergency fund, but we've had trouble with two credit cards, and had to use it to start the snowball. Now we're back to ground zero. About $15,000 in consumer debt, in need of a second car (or repairs to old junker), and looking at getting second jobs to make it work. Seems like the only time of year that we're ahead of the game is when we get our IRS refund. Maybe I should start having extra $$ taken out of each paycheck so that we can't spend it.

 

[comicguy]

I need to join because I need the support and encouragement. We took the FPU course earlier this year and started out good. Used our tax returns to start an emergency fund, but we've had trouble with two credit cards, and had to use it to start the snowball. Now we're back to ground zero. About $15,000 in consumer debt, in need of a second car (or repairs to old junker), and looking at getting second jobs to make it work. Seems like the only time of year that we're ahead of the game is when we get our IRS refund. Maybe I should start having extra $$ taken out of each paycheck so that we can't spend it.

Welcome to the thread. Stick around here long enough and you will gain some helpful "hints" and also the encouragement to keep plugging away, even if it is only a few dollar above the minimum payments. Every little bit helps.

 

[comicguy]

Hi I want to join in. We are looking at a layoff probably in six months and both of us work for the same company. I want to pay off as much debt as possible. Any suggestions??? We have about 15000.00 in c.c debt and 40000.00 in Home equity. Thanks for letting me join the debt free soon board

welcome to the debt reducers. It is hard to have encouragement when times ahead look rough. make sure you build up a emergency fund first and then concentrate on paying down that debt, that way you don't rack up more debt.

I would probably concetrate on the CC, as I am guessing that has the higher intrest rate between your debts.

 

[Robert 31320]

Glad to see this picking up steam again. My wife and I sat down yesterday and listed all of our bills vs. income and decided we WASTE a lot of money! We will start this week making a huge dent in our next debt in the snowball with now $800 per month going against a $183 monthly payment. That $4,000 balance is TOAST!!!

 

[4 Ears]

I just paid off DS's leg! He broke it back in Sept. of 07. Even with insurance our part was $5,000.00! He is the one that fell out of a tree...well anyway all those medical bills are now paid off.

Now other than monthly bills we only owe on our camper

Hmm, wonder what we will do with income tax this year?? Hey! how about a trip to Disney

Have you been able to pay off any debt recently??

 

[barbnbrian]

Bumping this up for a new year!

 

[DISNEY*lover]

I'm in for the new year. New years resolution? Pay off most of my debt (excluding car & student loans). I have about $5,000 in CC and medical bills.

After DH and I pay off our debts we'll be saving for a new place and starting to try for a family...that's enough motivation in itself!

 

[minnie1928]

2009 was the year of building the massive emergency fund. At this point, we have a little more than half of what I would like. We really want to continue on this path...we've been canceling things like Sirius and some other splurges. I know that since we started paying off debt and saving cash, I sleep much better at night. At this point, we have only a mortgage. Our cars are a 2005 & a 2007 that are paid for, so we're hoping to keep them for several years. DVC is paid off, so that provides us with cheap vacations. Just hoping to keep the momentum going in 2010...

 

[acename]

I'd like to join.

Our goals this year are to pay off 2 small student loans (should be gone by April at the latest), small credit card and one of our cars. All of this is about $4000. We plan on doing this while paying for medical bills for our 2nd child (due in Feb) and paying cash for a Disney trip in Sept. As a one income family, this is pretty ambitious, but with the 2nd baby on the way we've really gotten serious about getting debt free (while still allowing some fun with the Disney trip. It'll be a budget one I swear )

 

[amyy]

I recently paid off a $5,000 credit card-no more credit card debt and it feels wonderful. I bought a house and used the tax credit towards my card. New furniture etc would have been nice but I knew paying off the credit card was the way to go.

I am getting a lot of pressure to buy a new car. My is a Subaru with 150,000 miles and it is paid off. Hoping to get at least 2 more years out of it. When I do buy a new vehicle I am looking at something like a Toyota Corolla becuase I think they are one of the least expensive vehicles out there.

A few things that have helped me: buy magazine subscriptions instead of picking them up at the grocery store, paperbackswap.com, no house phone-just cell, staying out of Walmart and other stores, returning items I buy that don't quite fit etc (I use to keep them thinking I would lose the 5 lbs that would make them fit, eating left overs, shopping every few days for groceries., Netflix instead of the movies.

Good luck to everyone.

 

[Trixie15]

We are in. We've been working the Dave Ramsey plan for way too long and have really slacked off. With the new year comes a new resolution to really batten down and get this done.

First goal - $1000 emergency fund. I am only $936.42 away.

 

[KibbyCat]

Should I contact my creditors and ask for lower interest rates, or try to get one of them to increase my limit so that I can consolidate? I haven't been great about sticking to my budget in the past but my resolution is to be better about spending less than we earn/clip and use coupons/etc. so that I can get rid of the debt we have hanging over our heads. Any suggestions?

 

[minnie1928]

Should I contact my creditors and ask for lower interest rates, or try to get one of them to increase my limit so that I can consolidate? I haven't been great about sticking to my budget in the past but my resolution is to be better about spending less than we earn/clip and use coupons/etc. so that I can get rid of the debt we have hanging over our heads. Any suggestions?

Why not ask for both? It never hurts to ask, good luck!

 

[Robert 31320]

1st ever coupon grocery trip last Saturday. That helped a LOT!

 

[bonrea]

We need to be part of this great group.

We paid off one of our cars in November, killed two CCs last spring and are on track for paying off one other CC this spring. With the extra cash from the car payment we will snowball the rest. WOO HOO!

Keep it going folks. Glad to be part of the encourgement!