Friday, November 28, 2008

I just don't know.

I was at Thanksgiving last night talking to my cousin and listening to him tell me about how he and his wife decided one night that they had enough of debt and made a plan. In less than a year they have managed to pay everything off. They managed to pay off both student loans in less a year....less.than.a.year. How is that possible? I have been hearing more and more stories about people paying down their debt so fast, all I know is that it takes discipline.

I'm really curious how this all works. I look everyday at the tower that is my bills and wonder how I can pay these down. I don't make minimum payments except when it comes to the mortgage and commercial loan I have, and there are monthly bills that don't get paid down just paid off every month like utilities, but how do I pay down my student loans? I couldn't even afford the minimum payments and have had to take out a deferment again for another 10 months. Other than that I have a credit card for the business that has a low balance and a line of credit for the business that's kind of high, but not too crazy.

My cousin doesn't make a fortune, his wife is not well to do, they rent a house and have a nice car. How is it that they have managed to do this? How does anyone do it? I hardly ever spend money on anything, I have clothes filled with holes, I have a crappy car that has been paid off for several years now, and yet I can't seem to manage to get ahead. How is this? I don't eat out, I don't travel all that much, and when I do I travel cheap. I just wonder how I can get ahead. I've seen it done, I know it's possible, but how?

Just something that I've been pondering today....too much time on my hands right now.


  1. It takes a little figuring, but a LOT of discipline. Cody and I figured out a way to get me out of debt when we met. Other than my house and car, I had about $15k in credit cards and such, and paid them off completely in about three years.

    Turns out it was good practice, cause my paycheck keeps dropping, so I'll be going back on budget again!!!

  2. Honey, you make how much money per year? That's what I thought. I'm pretty sure as far as income is concerned you're so far below the poverty line you can't see it anymore. When you make the changes you're working on making, you will be able, with all of that crazy discipline pay down a lot very fast and not just because of the cash flow issue. (HOLY RUN ON SENTENCE BATMAN!)
    For the time being, do what you can because that's all you can really do dear. If you do nothing for yourself (even small things like cheap trips out of town or splurging on renting a movie) then it begins to become a judgment of what you "deserve" and what you deserve is the world love.

  3. The first step is to actually have an income. A steady, sure, reliable income.

    I did it too. I was over $20,000 in debt and paid it off in just over 2 years. It takes discipline, yes, but it also takes the ability to eat the crappy cheap foods -ramen noodles, mac and cheese, PB&J, hot dogs, etc. I was lucky to have the job that I had because I could get fresh fruits and veggies there and not have to actually pay for them. :-) ... of course now I'm BACK in debt with student loans, but the credit cards are gone!

    After you make your changes, it WILL be possible. And once those changes are in place, I can give you tips on SOME debt -ie. credit cards, small bank loans, car payments -smaller things like that. I don't have a clue how you survive with the store. o.0