The attack Plan...

[Preston]

Hello...

I haven't posted in a while as I've been really busy and fighting some personal demons.

The good news is we have held steady as far as our debt goes. The bad news is we haven't made any progress on trimming it for a couple months. I guess it could be worse, we could have gone backwards.

I am trying to figure out my best moves for the next few months.

Here is my current situation:

I have the following balances at the following APR's

$10000 - 6.9% for 6 months , 18% thereafter
$6300 - 11.99 % LOL (Life of Loan)
$9500 - 7.9% LOL
$5000 - 5.9% LOL
$2000 - 9.9% LOL

Now, OBVIOUSLY I am going to be working on the $2000 balance first.

After that, I am thinking I should attack the $6300 balance. Thing is, by the time that is paid off the $10000 would be going back up to 18%.

Now I do have two credit cards at zero balance. I could hope that one of them sends me a decent transfer offer within the next few months to get everything leveled out.

I recently dropped my CCCS because they were charging a $50/month fee. I do not want to have to deal with one of those again because they were VERY slow and VERY expensive for something I can do myself.

We have abour $1500-2000 a month we are able to apply toward debt (depending on how much overtime we are able to get.)

I recently got a raise so that will help. We were also given a used car for free and we sold one of the old ones and that amount was applied toward debt.

Here is our budget. Tell me where we can trim. I think it's about as snug as it's going to get.

Income ~ $3300 (after taxes)

Rent: $775
Utilities : $100-125
Internet $40
Groceries: $150
Fuel: $250
Cell Phones: $85
Medical: $100
Dining: $50
Student Loan Payment: $86
Entertainment $25
To savings: $100

Now I do have a unique credit line -- a $3000 credit line interest free loan for 2 weeks with a local casino. I am a recovering compulsive gambler (have only gambled once in the past 2 months). Some (but not all) of our debt is a result of this and I have faced my demons. But I can use the credit line to my advantage if I need to.

[momofslg]

DO NOT USE THE CASINO $$$$

Can you list the minimum payments on the CC to help out?

I think you are doing fine budget wise, any way possible to use less gas? Can you do your errands on your way home from work? Can you carpool with anyone? I know how you feel about your debt we're in the same boat. Tax return is in bank account (pending still) and as soon as it is finished pending the smallest CC of ours is GONE and the 2nd is cut in half

[sdrjeolsen]

After the 2000 loan, I would attack the 10K loan, because at 18% that's some hefty interest payments. Even though its one of your lower rates now, when it goes up it you will come out ahead by paying on that one first.

Your budget looks pretty trim to me too. Guess I'd cut the dining out till I had more of my debt paid off, but that's just me. That's the only thing that sticks out in my mind.

I wouldn't use the casino money either. May be too tempting and cause thoughts...even though it isn't connected to gambling, it is connected to the casino.

After the 10K loan, I'd go after the 6300 loan.

Whatever route you choose, good luck and congrats on having the guts to conquer the gambling.

[Preston]

DO NOT USE THE CASINO $$$$

Can you list the minimum payments on the CC to help out?

I think you are doing fine budget wise, any way possible to use less gas? Can you do your errands on your way home from work? Can you carpool with anyone? I know how you feel about your debt we're in the same boat. Tax return is in bank account (pending still) and as soon as it is finished pending the smallest CC of ours is GONE and the 2nd is cut in half

The minimum payments are all in the $150-200 range on each account. the first thing I do is pay: Rent, miniumum payments, utilities.. and everything else from there. I do not want to be hit with late fees on top of all the interest I'm already having to pay.

As far as cutting vehicle expenses we are trying hard. My wife and I work together and use the same car to get to work. Our hours are the same and everything. Sometimes we have a change in schedule where we have to drive separately, but I've cut the fuel expense as far as I feel it can go. One day a week we stop at grocery on the way home from work.

[Jenna]

After the 2000 loan, I would attack the 10K loan, because at 18% that's some hefty interest payments. Even though its one of your lower rates now, when it goes up it you will come out ahead by paying on that one first.

I wouldn't use the casino money either..... After the 10K loan, I'd go after the 6300 loan.

That's also what I would do - knock out the $10k c/c ASAP. I'd also keep it open and UNUSED.

Maybe once you kill the $10k, your utilization will be low enough that you can score 0% BT's.