Monday, November 13, 2006

Huge Debts Article

I read an AWESOME articlke today on MSN Money titled "Huge Debts Paid Off Fast" - It motivated me to kick some debt FAST!!

Check out the article here...
http://articles.moneycentral.msn.com/SavingandDebt/ManageDebt/HugeDebtsPaidOffFast.aspx?page=1

Wednesday, November 08, 2006

Reading & Learning

I have been reading blog after blog on finances, debt, credit, penny pinching, etc. I feel like I have learned so much and have taken pages of notes and tips. One thing I have learned the most is that my blog and the blogs I have read will help me understand why I am in the situation I am in and will help me to not get buried again with unfrugal spending habits.

I have spent too much, bought useless crap, overextended myself on our mortgage!

Friday, November 03, 2006

Here it is - The Grand Total - $22144.88

So, I have pretty much figured out where I stand in credit card debt. I have put plans on two of them and am working very hard on the Chase card with hopeful resolution by Monday.

Grand Total of Credit Card Debt is $22144.88

I never knew it was that high. I had a feeling, but I guess I never wanted to confront it... Until now.

I will update this blog as my numbers go down. I will track my budget daily and pout any extra to payments of this debt. I would love to be out of debt in 3 years or less. Tax returns, bonuses, raises, etc - has to go to credit card debt if at all possible.

I am 100% committed!! Wish me luck as we start the journey to debt free.

"Chase"ing Away Debt

OK, last big one is Chase.

Total Debt as of Today - $6748.37 - Interest Rate = 24.99%

Unreal.

I have a call scheduled for Monday to talk with them. I am going to make every attempt to lower that rate a bit and set up automatic payments.

I have been thinking a lot lately on how to pay some of this stuff off. I already have a part time job, little bonus will already be going there, ebaying some things and now I am getting back into Mystery Shopping. Guess where that money is going to go? LOL - Debt...

I got myself into this and will get myself out!

Thursday, November 02, 2006

Bank Of America - Effort Made and Succeeded

So, I tackled another debt today. I proactively called MBNA/Bank of America and asked if they could help me. I spoke to another one of the most friendly credit card reps again!! (My luck is changing...) She was compassionate and expressed sympathy for my situation we got ourselves into.

After only a few minutes, "Cassandra" and I came up with a plan...

Current Total Debt - $7933.75 - Interest rate = 24.99%

The Deal:

I offered to close my card totally. She put me on a 5 year fixed pay plan to get me out of this debt. She took my interest rate down to 2.25% and brought my minimum monthly payment down from $287.00 per month to $140.00 per month!!!!! She also took away all over the limit charges and late payments!!! She also promised nothing at all would go on my credit report (as long as I made the ontime minimum payments). No charges for paying off early either. After the debt is paid off - I can certainly open the card back up again... (I doubt I will have more than 1-2 credit cards at that point... I have learned!!)

Total Monthly Savings is $147 per month and thousands of dollars in interest over the life of this card.

I think I made the right choice. What do you all think? I am open to any advice!!

Thanks for reading!

Tuesday, October 31, 2006

Discover Card - Yikes!

I got our Discover Card under grips now. At least I know where we stand with things...

As of today - we owe $7462.76 with an interest rate of.... are you sitting down - 28.99%

YIKES!

We have caught up on all of our payments and they credited us over the limit and late fees totalling $78.00 and some finance charges totalling $122.00. The representative I spoke to was so nice. She said if I paid $285 today, and set up payments of $220 for the next 4 months, she would make all these credits for us. After that, we can lower our interest rate. We are now officially under our credit limit and will stay that way until this card is paid off.

I took her up on the offer instantly.

I get some money in a few weeks for some "flex time" I didn't use at work this year. I am applying all of it to debt. Total of this check will be almost $850.00.

I am bringing Peanut Butter and Jelly sandwiches to work every day, drinking tons of water, not buying any extras, etc. I have to do this to get some sort of a life back. Every extra dime needs to be out towards getting out of debt. This is my commitment. It must be done!!

Moral of today's posting - Don't get yourself into debt over your head, EVER. If you do, it will be very hard to get back to a level surface.

Friday, October 13, 2006

$25K in Credit Card Debt - I am getting a handle on it all

Hello Everyone,

Today I realized that my credit card debt is absolutely AWFUL! I have to do something about it ASAP or I will be in trouble very soon.

History: I have never been great with credit card debt. I was always able to pay the monthly minimums and it just kept getting worse and worse. My Wife and I got married, had our first child and we decided she should stay at home. (Great thing for our child - Not great thing for our spending habits) Long story short and two beautiful children later - we have approximately $25,000 in Debt* My Wife and I are also planning on going thru a divorce within the next year (yeah - more problems to add to my plate - she is "not happy anymore")

*Not even sure if that is close to the number anymore. I assume it is nearby that number and this blog will help me figure it all out. I am committing myself to update this blog weekly if not more often. You'll see my numbers, my plan, and how I deal with things.

I am open to all advice, good or bad in terms of debt, divorce, and finances and anything else you want to share with me.

Thanks again for listening!
Debtisawful

I need to do something quick....


DISCLAIMER: I am not a financial advisor. This blog is a way for me to hold myself accountable. While I share some of the methods I have used, I do not guarantee that it will work for anyone else and if you try them - it is at your own risk.