A Factory Working, College Grad Getting Out of Debt

January 2013 Bills Breakdown

Happy New Year!  Hopefully this one holds a lot of promise, as it’s now time to see what bills I need to pay this month.  It will obviously not be as horrendous as last month’s near $1000 output with very little input… but we’re getting there.  These totals are as of December 31st. The budget this month is simple: spend as little money as possible.  This is because I’m unemployed (like I haven’t said it enough???), and that obviously changes things a LOT.  Also, all of your comments and encouragement have been really helpful!  I’ll be taking some of your suggestions to heart these next coming months.  So… Let’s work this shall we?

Car loan: $3,749.68. This one does not need to be broken down.  The loan is through a credit union, and has slowly been paid off by adding an extra $50 onto the principle every month.   As discussed before, I will be doing this every month until it’s gone (or until I need to fund that extra $50 to say… my student loans). This month’s payment will be $301.00.

Credit Cards: Last month I revealed that I pay more than the minimum payment.  Some of you suggested actually using Ramsey’s snowball effect however and picking a card to eliminate right off the bat, working with the smallest balances first.  Well, that’s a great idea, but I still like to have a little more than the minimum.  So this month, we’re going to try something new.  This month, because I’m unemployed, I will only be paying minimum balance (except Amazon & Solidarity) and the oddball change and then putting a major chunk on one of the card balances to take a massive bite out of it.

  • Solidarity Visa: $2579.00  Minimum payment: $30.00. This month’s payment will be $30.00.
  • Chase: $1340.75  Minimum payment: $28.00.  This month’s payment will be $28.75.
  • Pay Pal Bill Me Later: $1884.67 Minimum payment: $53.00. This month’s payment will be $53.00.
  • Best Buy Store Card: $22.85  Minimum payment: $22.85. This month’s payment will be $22.85 = $0 Balance!!  Bye, bye BB Store Card!
  • Amazon Store Card: $811.91  Minimum payment: $25.00. This month’s payment will be $41.91.
  • DressBarn Store Card: $413.03  Minimum payment: $25.00.This month’s payment will be $25.03.
  • Capital One:  $63.20  Minimum payment: $25.  This month’s payment will be $63.20 = $0 Balance!!  Bye, bye Capital One Card!
  • Best Buy Mastercard: $208.08  Minimum payment: $15.00.This is still the card that I have been working on eliminating, so this month’s payment will be $35.26.

Total Credit Debt: $7,323.49   Total Payments: $300.00.

This is compared to last month’s credit debt of $7,373.96  and total payments of:  $240.38, which means my debt went down $50.47!  Hrm..  Last month, my Capital One card was in the negative balance, however, before I cancelled this card I needed to make sure that I used that negative balance.  I certainly did not want the credit card company to end up keeping this money just because I forgot to put in my payment into account when I transferred the balance to the Solidarity card… With that in mind, I bought Christmas gifts on this card and arranged to have it fully paid off this month.

Now that the big bills are paid off for another six months, I can once again up my payment budget.  I increased it this month to insure that not one, but two credit card balances are completely zero.  Huzzah!

Student Loans:

ECSI: $650.00  Still in grace period.  

Direct Loan:  $18,862.74  Still in grace period.  

I’m still unemployed.. So these are in the works of trying to be deferred at this time.  I’ll let you know if I succeed on that plan.

Other anticipated bills this month:

Thankfully, there are no other anticipated bills this month.  The hopeful job search will continue and I have a meeting coming up with the unemployment office.  So we shall see for what exactly I’m qualified.

Complete Total Debt: $30,585.91   Total Payments: $601.00.

This is compared to last month’s $30,918.16 debt total and the just pennies short of $1,000 in payments.  I’m still attempting to keep the budget in the most positive means possible.  After all, if it takes a few more months to find a job, I want to be sure I make enough money possible that I’m really not hurting my savings account as much.  However, I am pleased to see that I am $332.25 less in total debt than I was last month!  Huzzah!

Please let it rain!



One response

  1. Can I just say what a relief to find someone who actually knows what theyre talking about on the internet. You definitely know how to bring an issue to light and make it important. More people need to read this and understand this side of the story. I cant believe youre not more popular because you definitely have the gift.

    January 29, 2013 at 9:50 pm

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