MAY’S SNOWBALL PROGRESS
- Debt #1 Previous Balance: $2260.17
- *Paid Off* (wOOt!)
- Current Balance: $00.00
- Debt #2 Previous Balance: $6493.00
- Paid minimum balance of $200.00…
- …and an additional $1490.44
- Current Balance: $4,802.56
- Debt #3 Previous Balance: $10,622.55
- Paid minimum balance of $106.00
- Current Balance: $10,516.55
Previous Grand Total: $19,375.72
Current Grand Total: $15,319.11
***
As you can see, we’ve started off our debt snowball with a bang. Debt #1 is completely eradicated and we’re ready to get down and dirty with Debt #2.
Debt #2 stems from two home improvements that we put on a credit card over a year ago, about six months after we moved into our current home.
The first home improvement was new granite counter tops in our kitchen and our two full baths. The total cost was $5,415.00. We paid $540.00 in cash and put the remaining $4,875.00 on a credit card offering 0% APR for 12 months.
The second home improvement was for new windows. The total cost for all nineteen of them was $6,100.00. We paid $2,965.60 in cash and put the remaining $3,134.40 on the same credit card with the counter tops and the 0% APR.
When the original 12-month offer at 0% ran out, I transferred the balance to another card offering 0% APR for 12 months. We’re about four months into that offer.
Obviously we are very fortunate to be able to put this debt on a credit card where we pay no interest.
“New windows! New counter tops! Buy now same as cash!”
Sounds like a great deal, doesn’t it? Thing is, if I had to do it all over again, I’m not sure if I could. Since we are only living here in Ohio for four years at the most, the reasoning was that, if we needed to get new windows (which we did need) and new counter tops to help sell the house when the time came, then by golly I want to get them now when I can enjoy them.
The market has only worsened since we bought this house back in September 2007. I haven’t gotten so obsessive as to sweat over the comparatives, but I reckon we haven’t made near the equity to justify what we’ve put into it; I daresay we’re in the hole when all is said and done. For us, with our transient lifestyle, we’ll be happy if we simply break even.
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{ 3 comments… read them below or add one }
You are doing an awesome job! I finally got Dave Ramsey's book from the library!
I really want us to save some money for some needed home repairs!
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Fabulous! Any minus from the debt is a big plus.
Keep a going!
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You go, girl! Good for you. Such a big dent in it so fast.
I absolutely agree with your philosophy (in the posts below) about keeping some money for enrichment activities for the kids. They don't need six different extracurriculars (like the kids where I live) but they do need to explore what they love and are good at. We used to grow veggies, buy everything possible from thrift shop and loss leaders, keep the heat down, line dry, etc. but would still give each kid at least one way cool activity they wanted to try each semester.
We are currently not in debt (mainly because my parents left me a small inheritance when they died), but are facing the HUGE future prospect of it paying for college (two in now, about to finish the savings we made for it, after only a year apiece). And the kid with autism to graduate high school in a coupla years and figuring out what he will do….Pray a lot, that's for sure!
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