Wednesday, March 07, 2012

Debt Elimination

Credit Cards!

In the past couple of years, I did what I had managed to avoid for most of three decades; I accumulated huge amounts of debt (not even counting the mortgage debt).

I've lost track of how much frivolous spending (out-of-country vacations, clothes, makeup, etc) ended being (upwards of $15,000) but I have the following debt amount remaining after a couple of years of paying off as much as I can:

Current Debt (not including mortgage debt)

1) Citi Thankyou Card: $ 4,475.61

2) Chase Slate Credit Card: $ 58.95

3) Amazon Visa Credit Card: $ 66.91

Today, I am using money from the tax refund and emergency savings to pay off the two smallest cards and most of the largest account.

Remaining Debt as of tomorrow (March 8, 2012) would be:

1) Citi Thankyou Card: $ 475.61
    I am throwing $ 4,000 at this card. 

2) Chase Slate Credit Card: $ 0.00

3) Amazon Visa Credit Card: $ 0.00

How do I feel about this?:

Do I feel happy about this?


Will there be more credit card debt?

I intend to continue using these credit cards but pay off the balance each month as I had done before I went out of control in spending. So, yes, there will be a balance but to be paid off each billing cycle.

Emergency Savings Status (March 8. 2012):

$ 5,200.00

My emergency savings is very meager at this point. Just typing it out makes me feel depressed.

I definitely need to save more. It's been hard since I have had two pay cuts at my current job and currently, taking a nearly 20% paycut. Management keeps saying another year, then, another year comes, and they're right back to saying another year.  Things around the condo have been failing on me that needed repairing that I have been using cash to pay for. I just don't want to use credit cards if I can pay with cash anymore. It's been a tough couple of years.

Here's hoping to a better year in 2012!

1 comment:

  1. Lorrie4:49 AM

    There are lots of consumers who open credit cards to make small purchases and end up with thousands of dollards in a credit card debt. It’s worth to be very cautious with using plastic. When we use our cars we don’t feel like we are spending our on money (because we don’t use cash) and that’s why we overspend so often. Quite often consumers make small unnecessary purchases but all together they create a new and quite big financial problem. It doesn’t matter if you use a credit card and there’s an interest free period or take out a loan with small interest rate or high interest but quick payday loan no fax – it’s still borrowing and it’s necessary to control it to stay financially healthy.