Consumer Debt #1 Balance: $0 –> $2,260.17 Paid Off!
Balance May of 2009: $2,260.17
(with a little help from our tax return!)
***Post Written May 2009***
Debt #1 is our credit card that we use and pay off on a monthly basis. That is, we usually pay it off on a monthly basis…
It got a little out of hand at the end of last year after our tenants bailed on us in a house we own and rent out in Las Vegas (another story). About the same time, the heat pump in the house we live in started going kaput and we incurred several hundred dollars in repair expense. Also, our timeshare maintenance fee became due. All of this happened right up to Christmas; thus, we started out the New Year with new debt from our convenience card. Otherwise known as, “Just put it on the card and we’ll worry about it later” card.
We got it under control about the time we went on our Spring Break trip to San Antonio. Yea. So much for that. We have continued to use it since then on the usual things: gas; auto parts and services; registration for kids’ activities… You get the drift.
The plan is to pay off this remaining balance and not to use the card unless absolutely necessary. Not even for gas — we’re switching to the debit card for that. I know, I know … Dave Ramsey would have you budget a cash envelope for gas. But I’m just not willing to forgo the convenience of using a card at the pump.
I had originally stated that we found $2000 a month to put toward debt — $1500 above and beyond the regular debt payments. Time will tell how this works out: I’m actually hoping to pay even more.
Where we are finding the money:
- The Hubs is stopping his TSP contributions.
- We are limiting our giving to our smaller commitments: Compassion International; as well as monthly contributions to a pastor plant in Moldova.
- The house in Vegas finally has a new tenant. We should get our first full rent check this month.
The Hubs not contributing to his TSP — to our retirement — makes me very nervous, I must admit. But it’s also the greatest motivator right now to see this through and to reach our goal as soon as possible.