Balance in Fall of 2010: $30,600

Current Balance: $0

  1. Credit Card Transfer #1: Paid Off September 2011!
  2. Credit Card Transfer #2: Paid Off April 2011!

Where Did This Debt Come From?

In September and October 2010 we “paid off” our second mortgage by transferring the remaining balance of about $30,600 to two different credit cards offering 0% APR for one year. One card charged a $75 transfer fee; the other charged no fee. (Yea!)

The Fine Print

Once the one year has expired, the rates will naturally go up. The exact number will depend on the current prime rate.

  1. Credit Card Offer 1 will go from 0% to prime + 5.65 (currently 8.9%) — PAID OFF!
  2. Credit Card Offer 2 will go from 0% to prime + 2.75 (currently 6.0%) —  PAID OFF!

Obviously, we want to pay off Credit Card Offer #1 before the year is up. Even if we don’t pay off #2 as quickly, the rate will likely still be better than the 8.9% that we had on the second mortgage. Update: I decided to keep it simple and pay off the smaller balance first.


We are selling our house! Ideally, the sale will allow us to pay off both of the cards and the rate increase will be moot. You can keep up with the current status of our sale and how we’re managing our debt by subscribing to this blog — just choose your preferred method from the buttons on the top right of my sidebar.

*** UPDATE April 2011 ***

We are no longer selling our house! We put it on the market in May 2010. Within two weeks, we had an offer. HOWEVER. That offer fell through: the buyers were also selling a house and their offer fell through, so we released them from our contract.

Fast forward eight months, and we still had no other offers.

In February 2010 we decided to take it off the market for 30 days and possibly change realtors before relisting it. Instead, we had friends approach us who were interested in renting it for up to three years. As of this writing (April 2011) we are planning to rent it to them beginning the first of June. The kids and I will leave Ohio and be off to finally join John in California! Yea!

Of course, this means we will now be snowballing the above debt as quickly as possible. Stay tuned to see how that goes!


We did rent our house in Ohio starting last June and I’m writing this from our government-owned house in Monterey, California, where we are perfectly content to not be homeowners for a while.

Thanks for reading!

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