The beginning of the end...

Okay, so I guess this all came about on August 20, 2008 when I decided to face up to my debt issues by using a handy dandy template on the www.gailvazoxlade.com website called "Own up to your debt." If you don't know who Gail is, she is a godsend for anyone with any financial issues. Practical, and super nice (I met her once)

Anyhow, I digress... So I punch in my numbers into the spreadsheet and my jaw almost hit the floor. I always had a good idea of where my debt was, in pieces, but never as a whole pie. In this case my "just desserts" for an obsessive shoe buying fetish.

So are you ready for this my credit card debt totalled a whopping $81,110.01. This is not including my mortage! On top of that one of my cards had changed their interest rate to 2.5% points higher then when I signed up and I never noticed. I felt sick. So I decided it's crackdown time.

As I indicated above they always say, if you are going to commit to something tell someone. I've decided to tell everyone.

So based on the worksheet I indicated above, there are calculations based on principal and interest rate to figure out what the monthly payment would be to pay off each and total debt within 12, 24 and 36 months. I am opting for the 36 month route as the 12 month route is a little steep. This still results in $3062.61 per month. I've slashed bills in my budget to make up this monthly amount, but this is not quite fast enough for me so I have instituting the following plan:


1. MAKE PAYMENTS: Make my monthly payments as per a 36 month payoff period. This will be a challenge as my hubby is a commission based earner so income is not always steady, and the payoff amount is about 2.5 times what I was already paying per month.

2. LEARN TO COOK: Pathetic as it is I know at least a 1/4 (probably more of this amount) is from my obsession with convenience food. After a hard day of work, you just don't want to make anything. Apparently this needs to stop.

3. EARN/FIND $100 MORE PER MONTH: This is the tough one. As I said 36 months is too long for me. Ideally I would like to pass a financial fitness test before my kid is in kindergarten (which only leaves me with about 2.5 years). So what other option is there. Earn more money. Unfortunately, my job is not exactly 9-5 and finding some extra scratch will be a little more difficult when a traditional part time job is out of the question. So I look at it this way, here is my chance to try out a few new things and see what I can make work for me. 36 months of opportunities to see what it takes to make just that little bit extra. I have a few tricks up my sleeve right now, but feel free to provide some insight. $100 may not seem like much, but if you have to do it every month for the next 3 years I am sure I will need some creative assistance. Payments must be in the hot little hands of VISA by the 20th of each month, as statements (and that unforgettable interest will be calculated on the 22nd. Here goes nothing...


Opening Tally:
Debt - $81,100.01
Credit Cards with Balances - 3
"Extra Money" earned this month - $
Days till next statement - 15

Wish me luck!!