Wednesday, June 23

my plan to pay off $7,500 of debt

My creativity has been pumping over the last couple days. I think I have come up with more ideas for blog posts then I even know what to do with. More importantly though I think I have come up with away to tackle my credit card debt once and for all and within one year. dun dun dunnn.
That's right. I am planning on paying off $7573.43 in less then 12 months!

I'm excited just thinking about it. I've never actually had a solid plan in the past. Which is probably part of the reason I've been shouldering this debt as long as I have. I've never felt so motivated  to get rid of it all.

Here is the game plan. I've broken my single goal into two smaller (easily surmountable?) ones. My first goal is to have $3786.72 (half) paid off by Jan 1 2011. Leaving the remainder to be paid off by June 1 2011.

According to the Credit Card Payoff calculator at it will take about $677/month to clear half of the balnce. I don't have an extra $677 a month so I'm taking a different route. My current monthly payment is $300/month. Starting in July I am upping it to $400 so over the next 6 months I will pay $2400 toward my goal. In Spetember I will receive another student loan refund. I am going to use that to make up for my shortfall and pay about $1600 more.

Now, for the second half of the year I will continue to pay $400/ month and am planning on using either my tax refund or bonus (if we get one) from work to get rid of the rest.

Done and Done. Credit Card debt free!

Now it's your job to keep me on track. Good luck with that :)



  1. This is great! Best of luck towards sticking with your plan! I know you'll feel so great once you're debt free! :)

  2. Great tool! You've inspired me to tackle some calculations. :)

  3. Wow!!! I admire your commitment here. I am moving at the end of the month and I'll have the opportunity to live rent free for a year. My fiancee and I really want to buy a house so for the first time in my life I have got to get serious about saving. I will definitely be following you for inspiration. If a fellow shopaholic can do can I!

    Eboni Ife'
    The Fashionista Next Door


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