Thanks to an influx of forgotten cash, I made two important payments today. One of those payment was to one of my student loans. The other was to one of my credit cards. Let’s dive in.
Student Loans
I have two student loans. However, today, I wrote my past payment of $552.92 to pay off this student loan. The interest rate was 5.2%. Now, it doesn’t matter, because my balance is a whopping $0.00. Good bye Sallae Mae. You are not welcomed in my house anymore.
Well, it turns out, I still have one more student loan left. That’s a hefty balance of about $20,000. I meant to start paying that off this month at a rate of $2000. But, I recently hit some setbacks, and I’m having difficulty with that debt snowball. The interest rate on this loan is 2.625%, but I want to get rid of it as soon as possible. To follow my progress on evicting this loan, follow my debt tracker.
Credit Cards
Also today, I made my last remaining payment of $86.80 to bring that credit card balance to $0. I was living off credit cards for the past few weeks, again because of recent setbacks. I’ve since taken my card out of my wallet, but haven’t decided to cut up the card just yet.
Unfortunately, I do have another credit card as well. The balance on that one is about $3000. The interest rate is 6.4%, but I plan on paying that off, hopefully this month. Paying off credit card isn’t exactly what I intended to do with the bonus from work, but it is what it is.
I’m not expecting anymore influxes of unforgotten cash. Everything I should be receiving in August will be expected. But, so far, I have a little bit of breathing room. I’m also hoping that my paycheck will be more sound next pay cycle. As you may recall, I’m still transition at work.
Conclusion
It’s nice to be able to bring my accounts down to zero. The trick is to be able not to increase my debt as I’m trying to get out of debt. As they say, if you find yourself in a hole, stop digging.
Let me know your thoughts on this post by commenting below. Thank you for reading.
I admire you for taking the steps to control and bring down your debt, despite the short-term challenges you are facing with your income. Hopefully, things will turnout well for you, stay the course.
Best wishes,
Mr. ATM
Mr. ATM recently posted…My Half Year Stock Buy Performance Analysis
That’s the plan Mr. ATM. Can’t wait to finally get rid of All the debt though
Congrats on making nice progress in tackling your debt. It’s like two weights that were just lifted off your shoulders; a bit easier to breath and a bit easier to move. Good job! 🙂
My Dividend Dynasty recently posted…July 2017 Dividend Income
Thanks Dynasty. Now if I could jut get rid of the last two it would be awesome. Decent chance I can get rid of the credit card debt in August (definitely by end of September) but the student loan is going to take a while. I’m going to try to put every extra income beyond my current levels of investing (minus any bonus or larger influx of cash) on the student loan.
DP –
VERY happy you are getting rid of the CC debt, highest rate and no benefit come tax time. Say goodbye to it and close the chapter within your book on it sir!
-Lanny
Dividend Diplomats recently posted…Bert’s July Dividend Income Summary
Hopefully within the next couple of months. Here’s to fingers crossed.
Congrats on getting rid of one loan. That is a nice accomplishment. It will also save you a little more money not having to pay interest that you can put into other debt. Get rid of it faster. Keep up the good work!
Dividend Daze recently posted…Dividend Update – July 2017
Thanks – can’t wait to get rid of the other loans though. Looking forward to the feeling of being debt free for everything except the house.
Great stuff! Congratulations on eliminatiung that debt at a 5.2% rate! Onwards and upwards towards you next goal, you can do it.
Mr. Robot recently posted…This is my buy for July 2017
Thanks. Can’t wait to get rid of the other debt.