by Hope
Starting to see and feel the progress. But I didn’t hit my goals exactly. Here are the current numbers.
| Debt Description | October, 2023 Total | Interest Rate | Minimum Payment | Current Total | Payoff Date (Est) |
|---|---|---|---|---|---|
| CC - Amazon | $1,497 | 29.99% | $48 | $743 | June, 2024 |
| Personal Loan #1 | $2,500 | 0% | $500 (beg April) | $1,000 | July, 2024 |
| Personal Loan #2 | $2,500 | 0% | $500 (beg April) | $1,500 | August, 2024 |
| CC - Wander | $1,630 | 29.24% | $75 | $1,605 | September, 2024 |
| Dad - New Furnace | $2,600 | 0% | $500 (beg July) | $2,600 | December, 2024 |
| CC - Frontier | $3,857 | 29.99% | $131 | $3,530 | |
| CC - USAA | $5,000 | 19.15% | $135 | $2,742 | |
| Car Loan | $19,581 | 12.69% | Gymnast Pays | $16,038 | |
| Student Loans | $22,121 | 2.875% | In Deferrment | $22,541 | |
| CC - Apple** | $500 | Paid off every month | $0 | ||
| CC - AMEX | $894 | 29.24% | $0 | $0 | Mar, 2024 |
| CC - Sams | $1,106 | 29.99% | $0 | $0 | April, 2024 |
| Total | $61,186 | $1,389 | $52,299 |
The Details
I realize it doesn’t look like I did too much this month. However, there are somethings that these numbers don’t tell you.
My USAA CC was paid off in it’s entirety, so no interest charged. But then turned around and used it, thus the balance is lower but still significant. But it didn’t cost me anything this month. Woot, woot! Details: My auto insurance is set to auto-draft from this account which is how it’s been for a long time, and takes care of the monthly payment too.
I had a list of car maintenance I needed to do which I have been slowly chipping away at. It has new filters (did it myself so no labor,) had the coolant service, the transmission service, the serpentine belt replace, and just have a couple more things to do. Hopefully by June, all the 100K maintenance things will be ticked off. Just a sidenote: always check your mechanics bill. I am supposed to get free tire rotations since I purchased the tires from them (a couple years back.) They charged me for it this time and I didn’t catch it. It’s a pain to try to get a refund especially since an hour’s drive there so dealing with it over the phone.
Focus on Savings
Beauty and I had some money talks this week. She’s itching to get a car again, get out on her own again. Thankfully she’s slowing down and trying to make better decisions this time around. She’s more willing to listen. And she’s savings, albeit forced by me. But I believe she’s seeing how easy it is and how much confidence it gives her. And how it doesn’t hurt to save. You’ve just got to do it. I’m so proud of her.
On the other hand, I need to take my own advice, and slow down too. I’ve got to save better!
Princess and Gymnast (and the twins even) were forced to save 10% of all their income growing up. And as of right now, I would say that lesson has stuck a bit, especially with the younger two. They are doing so well on their own with their money. I can honestly say, they both know more about money at 18 and 19, then I did at 30-40. Giving myself a pat on the back for that. Their eyes are wide open. And this case knowledge truly is power.
But, back to me…
For the last couple of months, my focus has been digging out of my hole from the last year. And I’ve failed miserably to save.
But that stops now. With my next income…June, I plan to implement the same rule on myself. 10% of all income will go right into savings, not to be touched. This means, my debt pay off will slow down just a little bit. But I will build that cushion/safety net back up.
That’s where we are at now.
Work
Work is holding steady. I absolutely LOVE both of my jobs. And I’m feeling pretty confident that my 6 month contract will get extended. The owner asked me last week what I was wanting to go full time. So we shall see!? Keeping my fingers crossed.
Hope is a creative, solutions-focused business manager helping clients grow their business and work more efficiently by leveraging expertise in project management, digital marketing, & tech solutions. She’s recently become an empty nester as her 5 foster/adoptive kids have spread their wings. She lives with her 3 dogs in a small town in NE Georgia and prefers the mountains to the beaches any day. She struggles with the travel bug and is doing her best to help each of her kids as their finish schooling and become independent (but it’s hard!) She has run her own consulting company for almost twenty years! Hope began sharing her journey with the BAD community in the Spring of 2015 and feels like she has finally in a place to really focus on making wise financial decisions.
I can’t help but notice that cashing out the total of your investment account just about pays off your Amazon credit card and frees up $48/month in minimum payment.
Just sayin’.
I am wondering if there is a reason some cards don’t seem to be going down at all (ex. Frontier and Wander). I know you are focusing on one at a time, but those two cards have much higher interest than the USAA card, yet that one is lower.
Why did you not make your goal? Are you reviewing your spending and figuring out where your projected budget is not in line with what you’re spending—and thus making you unable to hit your debt repayment goals?
Wishing you great success!
Hope has paid off two credit cards so far and has made progress on family debt. I think she’s doing well. It hasn’t been long that she’s had money coming in.
Curious why you are not living “cash only” outside of Amazon, etc. Using a check, debit card, or real cash will help you break your habit of buying things you can’t afford until the money is available. The use of credits cards (even those you pay off each month) is still supporting the bad habit of counting on credit cards. And I agree on the investment account. It is gimmicky and your money would be better spend getting rid of your high interest debt. Still rooting for you, but still frustrated with some decisions! 😉
I feel this comment so hard!!! I am trying to do the same – more cash, less credit unless it’s a big purchase.
It would be a good exercise for you to sit down with the USAA bill and figure out what the $2742 that you spent on it this month entails, then cut those expenses down. I think it might be eye opening to see how that compares to your proposed budget from a little while back.
Are you considering closing any of these cards once done paying them off? I hope you go full time too. Keep up the good work. Are you still saving your extra cash?
There are definitely some cards I plan to close out, and others I’m on the fence about. For now, just trying to get to $0 balances and then will start making those calls.
And yes, still saving all $5 bills.
You’re making some great progress. But don’t let the progress give you an excuse to splurge because you aren’t out of the woods yet! Keep chugging at high intensity so you can get as much paid off as possible with your guaranteed contract. Don’t let the promise of potentially converting to FT increase your spending. It’s too early for that.
Back to the favorite topic of car insurance. After the debt is paid off it would be great to create the habit of paying the 6 month policy in full instead of monthly to get the discount. I know my discount for paying in full is pretty significant, 10-20%. On that same topic, have you ever contacted a car insurance broker or done online quotes for other major companies? USAA isn’t the only game in town. I’ve always found way better rates with progressive, even when we had at fault accidents and some major tickets on our records.