1 Year Down Debt Update
I can’t believe it has been a complete year since I decided to work on getting out of debt. I can still freshly remember the feeling of drowning in nearly $50,000 worth of debt that I owed to someone, somewhere.
It has been a long and tough ride but one I’m so glad to be taking. I’m not nearly finished but progress of any kind is certainly worth celebrating.
8-5-17 Debt Balances and Minimum Payments
|Debt Type||Balance Due||Minimum Payment|
|Credit Card 1||$0.00||$0|
|Credit Card 2||$0.00||$0|
|Credit Card 3||$0.00||$0|
|Credit Card 4||$0.00||$0|
|Credit Card 5||$0.00||$0|
|Total Debt Owed||$39,237.00|
My total debt is now down by $11,532! It has been so far from easy to get to this point and keep my energy up to keep going. The credit card I eliminated from my debt file has gone up again, which in turn makes me feel like I haven’t accomplished as much as I have wanted.
What Have I Learned So Far?
This journey has brought out all kinds of emotions and feelings in me. I’ve been muddling through the best I can but I know once I reach the end, I will have a result that I can be happy with.
My progress lately has basically stunk with the debt snowball plan. I had to start paying $240 a month again for car & house insurances that I used to be able to pay all at once every year. Essentially, that money sucked up all my available “rollover” money.
Was I happy about that? Of course not. Did it deflate me? A little, certainly!
Am I going to roll over and die and give up?
It’s not about a race to the finish line. Seeing articles like, “I Paid Off $81,000 in 2 Years” is not going to boost my confidence.
I’m doing my best and that’s good enough for me. I want you to know if you’re struggling with debt, you’re not alone and don’t get discouraged by someone else’s huge success story.
Goals Can Change
I started out really getting into Dave Ramsey’s complete money advice. He got me thinking outside the box and I loved the idea of not having to use credit and never owing anyone anything ever again.
Here’s the thing: that really doesn’t work for me! I actually don’t see any problem with financing a vehicle or a home or getting a loan to pay for some big home repair or new refrigerator.
I know if you’ve followed these posts you probably are thinking I’m indecisive and nutty. Well, maybe a little!
I’ve just realized that no solution is one-size-fits-all when it comes to money. My big goal is to not have credit cards that I can’t ever hope to repay. With my budget, that’s nothing over around $3,000. One card with that amount, not ten. I don’t want tons of store credit cards with tiny limits that charge huge interest or one card with over $10,000 (like I had!).
I actually want to try and use credit the right way. Not to have it suffocate me but to be something that I’m in control of and know how to handle responsibly.
Agree to Disagree?
Are you passionate about getting out of debt? Never want to go to a bank for a loan again? Great! I completely support you!
It’s not about who is “right”, who has the best plan or what the “experts” say. I say, do what you feel is right for you. Plans change, go with the flow, it’s all good!
I’ve learned so much about what I needed to change by going through this journey. But the biggest thing I’ve learned is that everyone can do money in their own way that is right for them and that’s completely okay.
I’d love to hear about your debt journey, leave me a comment below!