Debt Dumpers - 2013

[gracie1]

I made $160 on Ebay this month. I just transferred half to my savings and put the rest toward my CC. Since Jan 31 my CC balance has dropped from $1,773.87 to $890.76!

Way to go!! That is great!

 

[gracie1]

So here is my new thought process, and I've decided to throw it on this board just to get some feed back of what you would do.

If you did (or do) have enough money in your savings account, would you use it to pay off your cc - and be completely out of cc debt and then just put the money into savings that you were going to put towards the debt? Or keep the savings account and just keep paying on the cc. The savings account would not be depleted, there would still be some money left in there. The cc has 0% interest, so there would be no savings on the interest.

 

[clintswifeymomof4]

So here is my new thought process, and I've decided to throw it on this board just to get some feed back of what you would do.

If you did (or do) have enough money in your savings account, would you use it to pay off your cc - and be completely out of cc debt and then just put the money into savings that you were going to put towards the debt? Or keep the savings account and just keep paying on the cc. The savings account would not be depleted, there would still be some money left in there. The cc has 0% interest, so there would be no savings on the interest.

Gracie- for me personally I would leave the money in savings since there is no interest on the CC and just keep paying the CC. You can EARN money on the savings (I use Capital One 360 account b/c it pays higher interest than my credit union's savings account).

I am thinking of my savings and debt as two totally different realms... even though my education and training and what I read tell me differently because it's what works for my family.

I have cc's accumulating interest. I also am putting money into 2 different savings accounts- my "emergency fund" and my "Christmas fund." Sure I could send all of that cash to pay towards these cards accruing interest- but if I were to get in a bind and need liquid cash- I wouldn't have it and would end up charging. Same goes for Christmas... without saving the money now, I know I will charge it. So my savings accounts are hedging my future spending. I would "save" money now by paying towards my ccs, but I know I will end up spending it on ccs in the future which in turn would cost me.

This isn't for everyone but it is what I've decided to do.

However- you say that your savings wouldn't be depleted... so hmm... I don't know!

 

[clintswifeymomof4]

I made $160 on Ebay this month. I just transferred half to my savings and put the rest toward my CC. Since Jan 31 my CC balance has dropped from $1,773.87 to $890.76!

That is awesome!!! What do you sell on Ebay? I need to start selling if you're bringing in that type of cash!

 

[gjl]

Removed

 

[danielle79]

I'd pay off the cc to get the psychological benefit of being done with it. I've had 0% balance cards that I put extra payments on just to be rid of them. I had two going last year- one for new counters and one for new carpet- and paid them off as soon as possible. It's just so nice to be rid of that debt and not owe money to those cards! Now I'm working down my truck payment and that's it besides the mortgage!

That's just my humble opinion though! Good luck with your decision. I'm so enjoying this board!

I agree, I think the psychological benefit is best, if you pay it off completely then that bill never needs to come out of your monthly expenses ever again. Then next month just pay yourself back with the extra $ not going to cc payments, so nice to pay yourself rather than a cc company!

 

[jenny105]

That is awesome!!! What do you sell on Ebay? I need to start selling if you're bringing in that type of cash!

I've sold a bunch of stuff mostly books. The most recent thing I've sold is my old Mario Party games for game cube. I got $20 for one and $16.50 for the other! I was shocked! I thought I'd get a couple bucks if that. You never know. Since mid-January I've made a little over $300.

So here is my new thought process, and I've decided to throw it on this board just to get some feed back of what you would do.

If you did (or do) have enough money in your savings account, would you use it to pay off your cc - and be completely out of cc debt and then just put the money into savings that you were going to put towards the debt? Or keep the savings account and just keep paying on the cc. The savings account would not be depleted, there would still be some money left in there. The cc has 0% interest, so there would be no savings on the interest.

I'm tempted to put the money I have in my savings toward my CC debt but I know that if I have some kind of emergency & I need that money and don't have it, I'll end up using my CC Defeats the whole purpose. So my vote is to leave the money where it is and keep paying on the CC.

 

[BernardandMissBianca]

So frustrating -- I subscribed to this thread but I'm not getting updates

I was worried we were going to owe taxes this year - never have but every year we get a little less back. Of course, every year we mess around with our withholding. Found out today we will be getting a good amount back. I already created a spreadsheet & accounted for every dime. I *heart* spreadsheets. And tax refunds

Try unsubscribing and resubscribing.
Also make sure your notifications are turned on.

So here is my new thought process, and I've decided to throw it on this board just to get some feed back of what you would do.

If you did (or do) have enough money in your savings account, would you use it to pay off your cc - and be completely out of cc debt and then just put the money into savings that you were going to put towards the debt? Or keep the savings account and just keep paying on the cc. The savings account would not be depleted, there would still be some money left in there. The cc has 0% interest, so there would be no savings on the interest.

Since it's a 0%, I'd leave the savings alone and just keep hammering on the CC. I guess a lot would depend on how much would be left in savings. If it's 300-400 leave it alone, if you paid off the CC and still have say $1000 I would go ahead and pay it off.

 

[BernardandMissBianca]

We hit a small bump when DH's phone decided to die on him this week. He can't be without a phone so we had to get that taken care of. Paid cash for it but it made the checking account a little light this week so we are getting creative with meals and limiting driving. Surprisingly the kids have been pretty good about not asking for things this week. Usually they all ask for whatever, every single time we are out.

I'm trying to not go out unless I have to so I don't burn gas and spend more money on things. Don't want to dip into savings or use a CC.

 

[Suzanna1973]

used the tax refund to pay off the van!!!
that's $500 a month to put toward other bills. We will be credit card FREE by december of this year!!! So happy!!!!

 

[milwaukeemommy]

Thank you ~ unsubscribing & resubscribing worked. Weird!

Yay for everyone paying off debt! I also sell on Ebay but need to get in gear. I've only made a little over $100 in about 5 weeks. It's just so hard to get the pics taken - by the time I get home from work it's usually dark or close to dark. I have to remember to power-snap on weekends!

 

[milwaukeemommy]

Oh, & here's a small tip for researching what sells on Ebay. I've mostly sold clothing over the years & became involved in the discussion groups. They have a specific board for each category. NOW - I don't know if ALL groups do this, but both clothing boards do (there's a childrens clothing board & a "grown up" clothing board). They have a thread each week for people to post their "woo hoos". "Woo hoos" would be {most EXCELLENT auctions} - they post a link & you can see their ended auction - what they sold & for how much. Lots of surprises & it really helps to know what to look for. Like I said, this idea may be specific to those two boards, I don't think I've ever been on any others. But it's fun to see those ended auctions! Although.... it would be MORE fun if they were MY ended auctions

 

[megsoro]

After many set backs this year, I realized I make enough (or too little?!) to be qualified for free tax preparation. Both state and federal went through, so hopefully that'll be an extra $500 in my pocket to go towards the credit card debt I racked up in the last two months!

 

[mommytoxzande]

Just wanted to share that I was able to make a nice payment to one of our CC today. I was able to pay off a balance transfer before the interest kicked. I am very happy to have been able to do that.

Congrats to all that are doing well and positive thoughts to those that have had some set backs.

 

[gracie1]

Just wanted to share that I was able to make a nice payment to one of our CC today. I was able to pay off a balance transfer before the interest kicked. I am very happy to have been able to do that.

Congrats to all that are doing well and positive thoughts to those that have had some set backs.

Great job!!

 

[gracie1]

After many set backs this year, I realized I make enough (or too little?!) to be qualified for free tax preparation. Both state and federal went through, so hopefully that'll be an extra $500 in my pocket to go towards the credit card debt I racked up in the last two months!

That will make a huge dent!

 

[gracie1]

used the tax refund to pay off the van!!!
that's $500 a month to put toward other bills. We will be credit card FREE by december of this year!!! So happy!!!!

I love not having a car payment!! Every now and then I get the itch for wanting a new car but then I bring myself back to reality of how great it is not to have a car payment! Being debt free by December will be a great Christmas present for you!!

 

[gracie1]

Bumping thread!

 

[Sagginit]

used the tax refund to pay off the van!!!
that's $500 a month to put toward other bills. We will be credit card FREE by december of this year!!! So happy!!!!

amazing. that deserves a dancing banana (or two because we know they travel in bunches).

i took a small loan last winter for my new used car and was thrilled when i paid it off in 5 months. the extra bill as small as it was made a huge difference.

i have a 3 paycheck month in march so i need to balance my account today and figure out how much i will be sending in towards my student loans.

 

[gracie1]

amazing. that deserves a dancing banana (or two because we know they travel in bunches).

i took a small loan last winter for my new used car and was thrilled when i paid it off in 5 months. the extra bill as small as it was made a huge difference.

i have a 3 paycheck month in march so i need to balance my account today and figure out how much i will be sending in towards my student loans.

I have the 3 paycheck this month too. Always look forward to the 3 paycheck months!!

Thanks all for your thoughts regarding paying off the cc out of the savings or not. I am still debating..... haven't yet made a decision. But if I paid it off, I would still have enough money left in savings for an emergency.