Just to clarify, if we could just get rid of this huge debt ($20k) we will be in a position where we are making more than we spend. We can afford to pay the $1,000/month for my youngest’s school if we scrimp. The problem is the $20k that’s hanging over our heads.
However, I am certainly going to look again where we can trim and pay some more attention to the advice on this list. Maybe I can work something out with the school if I can pay little by little?
Thank you for your advice.
You know I was thinking about your situation today and honestly, if it was me I would take $$ out of the retirement. My biggest concern is that you would allow yourself to fall into the same old habits that got you where you are in the first place. Know what I mean?
I could be wrong and I am sure others will let me know if I am…..LOL…but I can certainly understand your wanting to just pay the debt and be rid of it. How much longer would you have to pay the family loan?
As far as your budget is concerned, even cutting corners a little bit more could add up. For example, in my phone bill I realized we were paying for services (such as three way calling etc.) that we never used. So I had them turn those off. I also called up my cell phone company and had them take off other services I never used. Like the text messages. My provider now charges .20 per text. Their package costs $5 a month. I would have to text 25 times and I never come near that. So, I just pay the .20 when and if I text. Not much but if you add it up it will count.
Anyways – since I had re-thought what I had originally written I thought I should write again. 🙂
Innnnnteresting….. I appreciate your writing again. I have the exact same concerns, because we have “resolved” to change old habits but have fallen into debt again….. but at least it was less the second time around! So I would definitely need to figure out a safe game plan that we STICK TO……
Also I realized that between now and June we will be paying about $4000 toward this year’s tuition, leaving $13000 due, not the $17k I was figuring on…… So we’ll have to throw that in the mix…..
Unfortunately we are dealing with two new situations in the next school year: One child in public high school, and one child homeschooling, and we’re not sure how much all that will cost. So we want to estimate high…….
It just drives me nuts to spend all those extra thousands to get out of debt! BUT I guess it would be worth it if it means the END of the debt…..
As for the debt to my family, my wonderful brother loaned us $40k and said it’s his youngest child’s college fund, so we have 15 years to pay it back…… but we’ll pay more into it as we can.
The ONLY way to get out of debt is to:
STOP BORROWING FROM ANYBODY FOR ANYTHING … family, friends, loan companies, credit card companies or anyone.
Cut up the cards, throw away every loan application, and save to pay cash, or do without.. If you still decide to get quick cash loan online – do your best to pay it off as soon as possible!
Then be sure you’re spending less than you’re earning and apply as much as possible to the debts.