My Plan

When I got serious about paying off my cards at the end of February, I made a plan to pay all the credit card debt plus the $4000 for the wedding by May 2009. Now, six months later, I’m well on my way. In fact, I’ve paid for the wedding and plan to pay off my credit cards by October 2008, six months early!  UPDATE:  I SENT THE LAST PAYMENT IN AUGUST 31!  YAHOO!!!

Three cheers for the power of snowflaking! Paid Twice’s idea that lots of little amounts of money can add up to a serious debt-reduction snowball has really worked for me.  In six months, I’ve found $2,132 worth of snowflakes by saving money in my budget, doing surveys, and selling things.

Total Debt Eliminated: $8,781


March
$570: Budgeted payments
$329: Snowflakes

April
$720: Budgeted payments
$386: Snowflakes (some snowflake money went to the dentist)

May
$ 870: Budgeted payments
$ 480: Snowflakes
$ 600: stimulus payment

June
$ 620: Budgeted payments
$ 345: snowflakes

July
$ 870: Budgetd payments
$ 262: snowflakes

August
$ 670: Budgetd payments
$ 229: snowflakes
$3754: contract and reimbursement from work

September

$870: budgeted payment

$101: snowflakes

(The difference between what I’ve sent to the cards and what I’ve paid down includes wedding expenses and travel charges for work.)

Original Plan to Eliminate $8,770 of Debt Created 2/27/08

Card #1: $2800
$1680: $280 a month April — September
$ 600: tax stimulus
$ 520: travel reimbursement

$2880: TOTAL

Card #2: $2371
$1000: Parents’ wedding contribution
$ 300: Wedding savings
$ 630: September $370 payment + October $280 payment
$ 441: Yard sale earnings

$2371: Total

Card #3: $3600
$ 600: March — October minimum payments
$3000: January 09 — April 09 $750 payments

$3600: TOTAL

November and December 08 payments for Christmas ($1500)
May 2009 payment covers interest ($750)

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