21 May 2009

not giving up

I woke up yesterday with a new lease on life. After the previous evening's misery, I was shocked at how different I felt the next day. Then I found out why- it was of the hormonal variety. Oops. I need to check my calendar before I make any rash life decisions. It just goes to show you, you should always sleep on it.

Anyway, I'm not giving up just yet. I'm shuffling my priorities, going back to the Dave Ramsey "Pay off the smallest balance first" plan. I figured it out yesterday, and out of my 4 debts (3 credit cards and one car loan), I can have the car and one cc paid off in a year. One caveat- I need to defer my student loans to do this.

I have decided that this is the best option for me right now because my student loans are not going anywhere. They are massive, I'm making NO dent in them right now with the payment I AM making monthly, and even if I did file for bankruptcy, they wouldn't qualify as dissolvable debt (I checked). Plus, student loans don't affect your credit like credit cards, and putting them in deferment won't hurt your credit like missing a credit card payment.

Basically, for the small impact on my balance, I will pay off more in credit card debt, pay off my car, and retain my good credit score. This might be a last ditch effort, but I think it sounds like a smart one.


Mickey said...

I am glad you're feeling better. Good idea about the student loans as well. If you can, defer them and pay off your other debts.

Mrs. M said...

Debt can be so frustrating and stressful.I used to be sick all of the time because of it. I have so much bit I took on 2 additional part time jobs in addition to my full time job in order to make a dent. We made a poster and we are finally starting to slowly cross off who we owe. It takes time.

Amy said...

Go for it. Student loans are typically a lower interest rate when compared to credit cards and loans - usually significantly lower.

I really enjoy following your blog. Your determination is inspiring.