You know which one I mean. The one that starts with D. The really bad one....... DEBT!
Bobby and I, okay, I took a look at our debt about a year and a half ago, and I was appalled. You know, when you look at your bills individually, as they come in the mail, it doesn't seem so bad. But if you put it on a spreadsheet and total ALL of your debt together, it's enough to give you a heart attack. And this is just consumer debt I'm talking about. I'm not including the mortgage.
Anyway, I was determined to start digging us out from this hole we are in. After all, "The debtor is in servitude to the one who lends to him". So, we came up with a semi plan. We started with a budget and try to stick with it, although we are both bad about dining out. We don't live as frugally as we could, but we haven't added any more debt. I don't think we have used our credit cards in over 6 months. I always pay more than the minimums, even if it's just a little. Then last month, we sold our boat. While we did enjoy taking it out as a family, last month was June and we hadn't used it once this year. It was $16,000 debt for a few months of enjoyment. So, it's gone. Off to Kentucky with a couple that is retiring and can enjoy it more. Next, we paid off a couple credit cards and said bye bye to our outrageous interest. Now, to cut them up. And today, our Suburban met it's new owner. Now, this was really hard for Bobby because he loved that truck. And I have to admit, it was a gorgeous truck. But it really clashed with my closet environmentalist beliefs. Less debt, less gas. Win-win. Plus, he refuses to sell the motorcycle so....... c'est la vie!
Unfortunately, this has made us a one vehicle family for the moment (one paid for vehicle). Well, three vehicle actually but I don't see myself driving the RV to work, or the motorcycle to the grocery store. :op We will be paying cash for our next vehicle. No more financing.
We have little remaining in credit card debt, but add in the two remaining financed vehicles, my student loans, and the darn timeshare...... (if anyone offers you a free 2 night stay just for sitting through a 90 minute info session, just say no!)
The good news is, despite the sacrifices, our heads are sticking up out of the hole. $34,000 worth out of the whole!!!