What are Debt Reports?
Hello! If you’re new to my blog, I write a detailed report each month of how much debt I’ve been able to pay off. I show you exactly how much each loan balance has gone down and where my total debt stands. I do this to give you a real life example of how you can go about paying off your debts, and show you that it is possible and you’re not alone.
This is all here to help you see my progress, good and bad. Here are all of the previous debt reports if you’re interested in seeing them,
After all of the research I’ve done, I can tell you that I am definitely one of the people who learns by seeing examples. So I wanted to give people the option of seeing a genuine example of how a regular 27 year old is getting their act together.
You can download my free template to create your own Debt Report.
Thanks for showing up here to check out my wins – and losses. Here goes!
The Numbers, plain and simple.
Student Loan @ 3.0% interest – $36,157.15 (-$132.78)
Car Loan @ 2.99% interest – $0 (-$1,877.85)
Sears Loan @ 0% interest – $818.75 (-$53.00)
Furniture Loan @ 0% interest – $4,082.63 (-$132.31)
That means that this month I paid off $2,195.94 & my total debt is now $41,190.84! And now I only have 3 payments to make as opposed to 4.
Maybe you noticed I paid off my car loan….but according to my payoff plan that was one of the ones I wasn’t going to put any extra money towards. So what happened??
If you’ve been following these reports, you’ll know I’ve had quite a lot of car trouble lately. If you missed those, you can find them here and here and here.
Well, it happened again earlier this month. I was driving home from the beach and my car started violently shaking while I was driving down the highway.
I’ve put thousands of dollars of repairs into this car, I’m so over it.
So I took it to the mechanic and he told me that the repairs were very serious and it was going to cost me $1,000-$1,200. And that was the BEST case scenario. Worst case, I needed a new engine block and it would be $1,800-$2,000.
I was so angry. I actually thought about taking my car back and driving it into a brick wall to total it and get the insurance money…..and then my morals came back to me. 🙂
So what am I doing? I’m selling it. Goodbye piece of garbage, lemon car.
I’m not getting much for it, but at this point I just want to be done with the thing. I weighed the options a lot and realized my happiness/sanity was worth more than a few extra bucks.
In order for me to sell it, I needed to pay it off to get the title for the car. So I took my emergency fund and paid off the balance on the car. :O
I know, I know it’s a risk. But I should have those funds back into my account in a few weeks.
The main reason I felt this was necessary – I have such bad feelings towards the car at this point, I just want to get rid of it.
Progress Since the Beginning
I’ve crossed the $20,000 mark! 🙂 $21,795 paid off in 15 months!
ICYMI – In Case You Missed It
In case you’ve missed them, here are the stories that went live on Bright Cents this month:
How I Survived Wedding Season
3 Reasons We Don’t Talk About Money
The Road to Financial Wellness: When I Knew Nothing About Money
If you have any questions about creating your own debt report, please feel free to contact me. Otherwise, I’ve set up a system to make it easy for you to create your own, so you can stop looking in the rearview mirror and start moving forward.