That was today’s topic on the PostADay challenge.
I am currently taking a 13-week class, Financial Peace University, by Dave Ramsey. It is being offered at my church. This class is focused on teaching you how to eliminate your debt and live debt-free so that you can enjoy your life and have some peace and security regarding your finances. I have learned so much from this class, not just about eliminating debt, but also on how to plan for the future, with retirement plans, investments, learning about credit card scams, and getting useful information about insurances. There are several steps involved in Dave’s debt elimination plan. Step #2 is the Debt Snowball. It is where you list all of your debts from smallest to largest, and then you attack them with intensity. Once you pay off the first one, you move on to the next one, adding to it the payment you would have paid from the first one, and so on, so that you are piling money onto your debt, knocking them out. I have been able to pay off several small debts now, and only have my car loan and my student loan left. Both of these will take a lot more time to pay off, but I am confident that someday in the near future, I will be debt free.
With today’s postaday topic, I don’t really have any debt that I haven’t started to repay. I would say I’m the most frustrated with my student load debt. I was just telling my friend at lunch today that it has been almost 11 years that I have been paying on that debt, and the overall total has only gone down about $7000. How is that possible??? I still have a long way to go on this one, and sometimes I get discouraged that it will never be paid off, since the daily compound interest makes it seem like the balance never goes down. But now that I have eliminated my smaller debts, I am going to be attacking my student loan more aggressively, and hope to see more of a change with the balance.
What debt do you have yet to repay, or seems like it will never get repaid?