War on Debt: Spoiler Alert

In January 2011, I declared war on our credit cards.  With over $11,000 dollars in credit card debt, I mapped out a basic plan to accomplish the goal of being free of credit cards by 2012.  And in the spirit of complete honesty, I’m going to share the nitty gritty details with all of you.  (*Names of creditors have been changed to protect the not-so innocent.)

I feel like I should have posted this month’s report a couple of days earlier so that I didn’t ruin the dramatic build up.  But I always wait until I receive my credit card statements to do the write up, so I am at the mercy of my creditors.

Or am I???

That’s right, I made my last credit card payment yesterday!!

Matt and I had discussed using some of our savings to speed up the debt snowball last month so all we were waiting for was our tax refund to make the final payment.  So when we received that yesterday, I figured what was the point of waiting til the end of the month?  So after our monthly payment of $750 in January, I made a final payment of $3602.55 yesterday and paid. that. sucker. off!

But before you freak out, we do still have an emergency fund.  It’s just smaller because we figured that money would be more wisely spent paying off our interest bearing debt than sitting in a savings account collecting 4%.

So after 14 months and $12,888.10 of monthly payments, we are officially credit card debt free!

I am reeling from all the opportunities that are before us now that we aren’t obligated to this debt.  We still have loans to pay off, but not having to make that monthly credit card payment is such a relief and now we can focus those resources towards becoming completely debt free!

I’d also like to thank all of you for your continued support over the last year+.  You have motivated, inspired, and cheered me on to stay focused on what sometimes felt like a unachieveable goal.  I couldn’t have done it without you.  MUAH!

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19 Responses to War on Debt: Spoiler Alert

  1. […] final post in the War on Debt: Spoiler Alert Digg this post Recommend on Facebook Share with Stumblers Share on technorati Tumblr it Tweet […]

  2. Julie says:

    What an accomplishment! Congrads.

  3. susan says:

    GOOD JOB! Now you can put airline tickets on your credit card! haha :) j/k :)

    • Jen says:

      Yeah, Matt just texted me saying we should buy a big ass tv. We still have a long way to go before we are completely debt free, but this is a big step in the right direction so hopefully we’ll get up there soon!

  4. WOW!! that’s amazing good for you!!

  5. Holly says:

    Congratulations! :)

  6. Bama Girl says:

    Congratulations! I know how this feels cause we paid off one last year. Like you, we still have a ways to go before becoming debt free. But keep chipping away, before you know it, those big ole chunks of debt will come down! Blessings from Bama!

    • Jen says:

      Thanks! And you are right, it’s easy to lose focus. But even a small amount, paid consistently will get you to the goal of being debt free!

  7. CONGRATS!!!!!!! It’s nice to see hard work pay off!

  8. Amanda says:

    amazing!! i’m trying to work towards paying off mine.

    • Jen says:

      Thanks! We still have a ways to go, but I am glad to be past this first hurdle. It was really tough at times, but just like savings, you kinda have to pay yourself (or your creditors) first.

  9. Yeah you! We’re working on paying off our home equity loan balance (almost there!) and my husband’s car loan by June. I can’t wait to read about how you accomplished such a great goal.

    • Jen says:

      Thanks! I wish I could say there was a secret trick that got us through all that credit card debt, but there wasn’t. It was simply living below our means (even after our income increased) and putting everything else towards the debt. I will say that paying our creditors first was also a huge help. Because if I have money laying around, I’ll spend it on other things.

      Thanks for stopping by and good luck on your debt repayment!

  10. […] War on Debt | Introducing ‘Operation: Save’ March 8, 2012 • 0 CommentsWelcome to Dear Mommy Brain! If you're new here, please subscribe to my RSS feed or have posts delivered straight to your inbox. Thanks for visiting!Did you think the War on Debt was over since we paid off the last credit card in February? […]