I have been consciously working to pay-off my student and other debt since October of 2011. While some say that student debt is the best kind there is, I don’t want to be weighed down by any debt. I don’t want my choices in life to be based on whether I have the job or income to pay the next payment. And unlike a house or a car, the only asset that can be sold to pay off the debt is me. Therefore it is up to me to pay it off. I recently realized that I needed a concrete plan of becoming debt free to help me stay focused on my goal.
Total starting debt of: $51, 273…..yikes.
| Student Loans | $36,273 |
| Car Loan | $9,000 |
| Loan from Family | $6,000 |
| Total Debt | $51,273 |
I have made a dent and my total debt as of June 2012 is: $43,570
| Student Loans | $31,460 |
| Car Loan | $6,610 |
| Loan from Family | $5,500 |
| Total Debt | $43,570 |
My Plan of Attack:
I have set a goal to be debt-free within 3 years aka by June of 2015. I know my ‘fight to freedom’ will not be easy, especially since I don’t want to stop enjoying my life entirely for this goal…..life must go on.
Most of the interest I pay is on my student debt. All of my loans have individual interest rates however I have added on the average interest to just my student loans to bring my total debt to $45,772. Based on this balance my goal is to put at least $1,275 every month toward my loans. I realize this will be more than necessary, but I prefer to set my sights high.
Realistic or not let the ‘Fight to Freedom’ begin.
See the progress of my fight below:
-Fight to Freedom September 2012
-Fight to Freedom October 2012
-Fight to Freedom November 2012
-Fight to Freedom December 2012 and year-end recap
2013:
-Fight to Freedom January 2013
Hi!
Love your blog. I, too, have been working to fight toward freedom. I graduated from Michigan State University in August 2011. Over the past 12 months, I have paid down over $5,000 of my student loans, not including an educational award for $5,500. It has been quite challenging, but I am working hard to make this happen! I am so glad to hear that I am not the only one facing these kinds of challenges. It can feel very isolating, and somewhat embarrassing, as well. I look forward to hearing about you struggles and triumphs!
Bethany
@Bethany Lumbert Thanks for stopping by Bethany! $5,000 is a big dent, good for you! Having others as cheerleaders makes paying down debt so much easier. And it will be worth it to have debt gone for good.
Always having your debts written down right in front of you makes it really hit home how much you can hate them and how much you want them gone. I have the same over on my blog and the first thing I wrote on the page was how much I hated that particular page. Having a plan and a deadline for that debt sets you a part from most people though so I commend you for that and wish the best for getting rid of it as soon as possible! Good luck Blair!
@Jeremy Thanks Jeremy!