Debt Dumpers - 2019

flea1267

DIS Veteran
Joined
Sep 13, 2004
So we have a ton of CC Debit so we have a 10 year plan but this year will be to pay off at least $3000 of it then pay cash for our December 2019 trip to Disney and then increase husband's 401K when he gets his annual cost of living increase in August so that we are maximizing his company match! Thanks for the incentive guys!
 

2China2009

Mouseketeer
Joined
Aug 26, 2007
@Jen and Ashwin, you beat me to it. I saw someone asking and thought I'd start this one when I finished catching up on the posts.

Right about now, my only goals for 2019 are to manage to not lose my car and house. Since last summer, my health issues have drained every gain I thought I had made, and set me back even further than I was wihen I started. I just want to curl up in a ball, cry, and die.
I am very sorry to hear about your health issues. I myself have had many health issues and they have drained me financially too. I hope 2019 will be better for you.
 

2China2009

Mouseketeer
Joined
Aug 26, 2007
Financial Goals 2019: I have been in a solid job for 6 months now that I like. I will pick up health insurance Jan1st. I also carry dental and vision. I do not make a lot so I need to get debt free ASAP. I have a revolving CC that I never seems to get paid off. I have had a lot of financial struggles over the last 3-4 years and seems to never get ahead, but now with a batter job I am hoping I can pay of my CC with $3,000 on it and then cut it up. I use this card Southwest so I get the airline miles as I have a daughter that does some travel tumbling and tramopoline. This sport costs me a lot, but it is the only sport she does and loves it. Otherwise I need get a cash reserve in my checking account. It pains me every 2 weeks when I get paid that there is very little left over. IfI can get my CC paid off that would be an extra $800/mos to put away as cash. My goal for my emergency fund is $12,000 and to leave that untouched!!!!. I will also be incurring medical debt this year as I have put some things off that now need to attended to. It is a vicious cycle that sucks. But all in all I have been very blessed. Good luck to everyone.
 
  • jen7233

    DIS Veteran
    Joined
    May 1, 2005
    My question is, IF I can't find a 0% card to transfer my $8500 to, does it make sense to pay off that debt vs not touch the savings and pay interest on the $8500
    I personally would not choose paying interest. The interest rate on cards is generally more than I’d like to think about. I’d definitely pay it off out of the $20k. There are so many balance transfer cards out there I’d think you could get one beginning of March in time for the BoA you mentioned that drops off in April. Now overall what would I do, that’s a hard question since I don’t know all particulars but if it were me, and if I thought I had my income solid and could swing it, I’d pay it off and call it a day. Now if that number on cc were much higher, I probably would hesitate to pay it all, I like my cash cushion. Option two if I felt like for example my car may be breaking down soon, or house needed someth8ng major, etc., I’d choose going for a balance transfer. My last option would be to pay interest on a credit card.
     

    Jen and Ashwin

    DIS Veteran
    Joined
    May 28, 2015
    My question is, IF I can't find a 0% card to transfer my $8500 to, does it make sense to pay off that debt vs not touch the savings and pay interest on the $8500.
    So if you absolutely can't find another 0% card to transfer the balance, then I would definitely pay it off with the $20k. And even if you could find a 0% card, I would probably still consider paying it off as well. If you are currently paying just $100 per month and you never increase that amount, then it will take you over 7 years to pay off that debt. You would have to transfer to a new 0% card every year or so to keep from incurring interest charges, but you will likely still pay a 3-5% balance transfer fee every time that you do this, so you will continue to incur additional costs. You could then start putting that $100 per month into a high interest savings account emergency fund to build that amount back up.

    As for not incurring new debt, I would highly recommend that you set up a budget using some kind of program or app that helps you track your spending. I use You Need A Budget (YNAB) and really love it. It does have an annual fee, but I find it to be such an amazingly powerful tool for keeping us on track for our financial goals. There are other programs and apps that are free or cost less, so you might find something else that works well for you.
     

    bababear_50

    DIS Veteran
    Joined
    Feb 5, 2007
    Well here I am:
    Time to think about 2019

    1. This year I will be proactive and get a Will written and signed at the lawyers office. (The template my lawyer gave me to fill out last year is still in the big brown envelope).:guilty:

    2. I am going to do my best to end my oldest son's financial dependence upon me by encouraging him to take responsibility for himself and by doing so help him to build his self worth. We recently had a discussion about how I can no longer carry his financial load--Phew --a weight has been lifted just having that discussion. Now I just have to follow through,,not easy being a mom.

    3. Stop putting money into my granddaughters RESP (Registered Educational Savings Plan),,it's time for her parents to take some responsibility,
    I am going to redirect the bi weekly amount into an emergency fund.(I have a feeling the Dishwasher and Dryer having been talking to *Murphy*.

    Personal Goals
    1. Begin to think about my own "wellbeing" ,,my activity level (exercise) needs attention.:magnify:

    I am getting excited about my upcoming trip to Disney World in a few weeks.
    This trip is going to be solo and I am just looking forward to a little alone time.
    I will be staying at AKL Jambo and am really looking forward to the sunshine and warmth.
    I booked a couple of reservations:The Frozen Dessert Party at Epcot and the new Afternoon Tea at the British Pavilion.:santa:

    Best wishes to everyone as we all try to reach our 2019 goals.
    Hugs
    Mel
     

    Jen and Ashwin

    DIS Veteran
    Joined
    May 28, 2015
    Well here I am:
    Time to think about 2019

    1. This year I will be proactive and get a Will written and signed at the lawyers office. (The template my lawyer gave me to fill out last year is still in the big brown envelope).:guilty:

    2. I am going to do my best to end my oldest son's financial dependence upon me by encouraging him to take responsibility for himself and by doing so help him to build his self worth. We recently had a discussion about how I can no longer carry his financial load--Phew --a weight has been lifted just having that discussion. Now I just have to follow through,,not easy being a mom.

    3. Stop putting money into my granddaughters RESP (Registered Educational Savings Plan),,it's time for her parents to take some responsibility,
    I am going to redirect the bi weekly amount into an emergency fund.(I have a feeling the Dishwasher and Dryer having been talking to *Murphy*.

    Personal Goals
    1. Begin to think about my own "wellbeing" ,,my activity level (exercise) needs attention.:magnify:

    I am getting excited about my upcoming trip to Disney World in a few weeks.
    This trip is going to be solo and I am just looking forward to a little alone time.
    I will be staying at AKL Jambo and am really looking forward to the sunshine and warmth.
    I booked a couple of reservations:The Frozen Dessert Party at Epcot and the new Afternoon Tea at the British Pavilion.:santa:

    Best wishes to everyone as we all try to reach our 2019 goals.
    Hugs
    Mel
    Those are some big and emotionally weighty steps for 2019, so I wish you all the best with them. I hope you have an amazing time at WDW!
     
  • Jen and Ashwin

    DIS Veteran
    Joined
    May 28, 2015
    So the first payment to the builder just posted to our HELOC. I set it up for automatic minimum payments to make sure that is always covered. I have no idea what the minimum payment will be and the next statement closing isn't until February 4, so I won't know for a while. We are aiming to put $1000 per month towards this debt, so I was thinking about how best to structure the payment.

    Do you think it would be better to make a $1000 payment at the start of the month or to pay $250 per week, every week? I am thinking making more frequent payments would help with interest costs, right? Anyone with experience in this, please chime in. Thanks!
     

    DisneyMandC

    DIS Veteran
    Joined
    Feb 18, 2015
    So the first payment to the builder just posted to our HELOC. I set it up for automatic minimum payments to make sure that is always covered. I have no idea what the minimum payment will be and the next statement closing isn't until February 4, so I won't know for a while. We are aiming to put $1000 per month towards this debt, so I was thinking about how best to structure the payment.

    Do you think it would be better to make a $1000 payment at the start of the month or to pay $250 per week, every week? I am thinking making more frequent payments would help with interest costs, right? Anyone with experience in this, please chime in. Thanks!
    I don't know if HELOCs are structured the same way mortgages are, but there has been some talk on the Intersection of FIRE and Disney thread about biweekly mortgage payments and how that cuts down on your interest long term. I can't remember if you're on that thread or not, but someone there might know.
     

    Jen and Ashwin

    DIS Veteran
    Joined
    May 28, 2015
    I don't know if HELOCs are structured the same way mortgages are, but there has been some talk on the Intersection of FIRE and Disney thread about biweekly mortgage payments and how that cuts down on your interest long term. I can't remember if you're on that thread or not, but someone there might know.
    I have been lurking there a bit. Interesting conversations.
     

    jen7233

    DIS Veteran
    Joined
    May 1, 2005
    Do you think it would be better to make a $1000 payment at the start of the month or to pay $250 per week, every week? I am thinking making more frequent payments would help with interest costs, right? Anyone with experience in this, please chime in. Thanks!
    I haven't dealt with a HELOC yet, would these payments go to the mortgage company? I suppose I'd ask them how the interest is applied, whether annually, monthly etc. Wonder if they can give you an amortization schedule based on those two possible payment options. I suppose you could play around with that on bankrate.com or something, too, if the bank doesn't do that. I think I'd be inclined to do it once a month or bi-monthly, assuming paychecks are twice a month.

    Well here I am:
    Time to think about 2019

    1. This year I will be proactive and get a Will written and signed at the lawyers office. (The template my lawyer gave me to fill out last year is still in the big brown envelope).:guilty:

    2. I am going to do my best to end my oldest son's financial dependence upon me by encouraging him to take responsibility for himself and by doing so help him to build his self worth. We recently had a discussion about how I can no longer carry his financial load--Phew --a weight has been lifted just having that discussion. Now I just have to follow through,,not easy being a mom.

    3. Stop putting money into my granddaughters RESP (Registered Educational Savings Plan),,it's time for her parents to take some responsibility,
    I am going to redirect the bi weekly amount into an emergency fund.(I have a feeling the Dishwasher and Dryer having been talking to *Murphy*.

    Personal Goals
    1. Begin to think about my own "wellbeing" ,,my activity level (exercise) needs attention.:magnify:

    I am getting excited about my upcoming trip to Disney World in a few weeks.
    This trip is going to be solo and I am just looking forward to a little alone time.
    I will be staying at AKL Jambo and am really looking forward to the sunshine and warmth.
    I booked a couple of reservations:The Frozen Dessert Party at Epcot and the new Afternoon Tea at the British Pavilion.:santa:

    Best wishes to everyone as we all try to reach our 2019 goals.
    Hugs
    Mel
    Good luck with all your financials in 2019! I understand on some of those goals having dealt with some myself!
     
  • Jen and Ashwin

    DIS Veteran
    Joined
    May 28, 2015
    I haven't dealt with a HELOC yet, would these payments go to the mortgage company? I suppose I'd ask them how the interest is applied, whether annually, monthly etc. Wonder if they can give you an amortization schedule based on those two possible payment options. I suppose you could play around with that on bankrate.com or something, too, if the bank doesn't do that. I think I'd be inclined to do it once a month or bi-monthly, assuming paychecks are twice a month.


    Good luck with all your financials in 2019! I understand on some of those goals having dealt with some myself!
    So when I make a payment to the HELOC, it posts within a day or two and gets applied however I set it (principal/interest or principal only), so it seems fairly self-service. For my mortgage, I can make additional principal payments, but I can't make regular bi-weekly payments as many do. It just isn't an option that they offer. I called and inquired.

    From watching the amount in the HELOC, interest seems to accrue daily, so I think that making more frequent principal payments should help cut down on the overall interest accrual, but I am not 100% sure. I guess I could try and find a calculator that would help me figure that out. Also, I don't really care when paychecks come in versus when we pay our bills. I get paid monthly and DH gets paid bi-weekly. We over a month ahead on all payments, so there is always enough money sitting in the checking account to cover something like this. So if paying $250 weekly is better paying $500 bi-weekly, then I don't mind doing it that way.
     

    kmc8826

    DIS Veteran
    Joined
    Jan 7, 2017
    So the first payment to the builder just posted to our HELOC. I set it up for automatic minimum payments to make sure that is always covered. I have no idea what the minimum payment will be and the next statement closing isn't until February 4, so I won't know for a while. We are aiming to put $1000 per month towards this debt, so I was thinking about how best to structure the payment.

    Do you think it would be better to make a $1000 payment at the start of the month or to pay $250 per week, every week? I am thinking making more frequent payments would help with interest costs, right? Anyone with experience in this, please chime in. Thanks!
    I have been lurking here and on the Fire thread and decided you all are more speed as the Fire thread is just a little depressing. We are doing the best we can! I need to sit down and write down and think about my goals and join in here.

    I had a HELOC years ago and the interest drove me nuts so this year I ended up getting a second mortgage with a set amount and a set easier way to calculate payments. In your case though with the HELOC if it isn’t a trouble I would pay weekly. My understanding with the HELOC is interest is variable and all payments go to interest first. Look around online as I am sure there are calculators where you can calculate interest and payments and the best way to do it; that is what I have done with the paying off of this second mortgage. More you can pay the better but not at expense of other debt. Basements are so expensive!
     

    DnA2010

    Rope Drop!
    Joined
    Oct 5, 2010
    Well here I am:
    Time to think about 2019

    1. This year I will be proactive and get a Will written and signed at the lawyers office. (The template my lawyer gave me to fill out last year is still in the big brown envelope).:guilty:

    2. I am going to do my best to end my oldest son's financial dependence upon me by encouraging him to take responsibility for himself and by doing so help him to build his self worth. We recently had a discussion about how I can no longer carry his financial load--Phew --a weight has been lifted just having that discussion. Now I just have to follow through,,not easy being a mom.

    3. Stop putting money into my granddaughters RESP (Registered Educational Savings Plan),,it's time for her parents to take some responsibility,
    I am going to redirect the bi weekly amount into an emergency fund.(I have a feeling the Dishwasher and Dryer having been talking to *Murphy*.

    Personal Goals
    1. Begin to think about my own "wellbeing" ,,my activity level (exercise) needs attention.:magnify:

    I am getting excited about my upcoming trip to Disney World in a few weeks.
    This trip is going to be solo and I am just looking forward to a little alone time.
    I will be staying at AKL Jambo and am really looking forward to the sunshine and warmth.
    I booked a couple of reservations:The Frozen Dessert Party at Epcot and the new Afternoon Tea at the British Pavilion.:santa:

    Best wishes to everyone as we all try to reach our 2019 goals.
    Hugs
    Mel

    You seem like a very giving person- how old is your son? Did he seem to be on the same level as you? That's also very nice that you contribute to your GD's RESP, that would be very cool, but as you say, her parents should be contributing.
    Have a wonderful trip, I think a solo trip sounds amazing!
     

    Deffenm

    DIS Veteran
    Joined
    Apr 15, 2005
    I am also a lurker and posted occasionally on the 2018 thread. I am excited to say we met all of our goals for 2018. I am not starting 2019 off real well as I have been informed my job will be eliminated in March. I am the main source of income and benefits provider for our family. I will receive 19 weeks of severance but the healthcare benefits are what hurt. Below are the goals we have so far in 2019:

    1.) Find a new job - Me and DH is looking for part time job to help out
    2.) Pay off DH's credit card: Currently 0% so need to pay off before interest hits- need to confirm amount with him as the soccer club he works for will pay some of it due to it being Club expenses
    3.) Increase savings - amount TBD
    4.) Pay remaining balance for March Disney trip (if do not have job by balance due date will cancel) Airfare is already purchased so will just save the airfare credit to use in Nov.
    5.) Save money for brother's wedding cruise in Nov.
    6.) Would like to do a small trip to celebrate our 20th wedding anniversary but will depend on job

    From a personal perspective:
    1.) Lose last 13 pounds! I have lost 87 pounds in 2018 so trying to hit that 100 pound mark!
    2.) Complete first full marathon
    3.) Learn something new (hobby, skill, take a class)
     

    LilSweetPeaPhoto

    DIS Veteran
    Joined
    Feb 12, 2008
    So if you absolutely can't find another 0% card to transfer the balance, then I would definitely pay it off with the $20k. And even if you could find a 0% card, I would probably still consider paying it off as well. If you are currently paying just $100 per month and you never increase that amount, then it will take you over 7 years to pay off that debt. You would have to transfer to a new 0% card every year or so to keep from incurring interest charges, but you will likely still pay a 3-5% balance transfer fee every time that you do this, so you will continue to incur additional costs. You could then start putting that $100 per month into a high interest savings account emergency fund to build that amount back up.

    As for not incurring new debt, I would highly recommend that you set up a budget using some kind of program or app that helps you track your spending. I use You Need A Budget (YNAB) and really love it. It does have an annual fee, but I find it to be such an amazingly powerful tool for keeping us on track for our financial goals. There are other programs and apps that are free or cost less, so you might find something else that works well for you.
    I've been only transfering between 0% balance and $0 transfer fee. So it costs me nothing to move it around. which is why I like the idea of not paying it off yet and having some savings.
     

    bababear_50

    DIS Veteran
    Joined
    Feb 5, 2007
    You seem like a very giving person- how old is your son? Did he seem to be on the same level as you? That's also very nice that you contribute to your GD's RESP, that would be very cool, but as you say, her parents should be contributing.
    Have a wonderful trip, I think a solo trip sounds amazing!
    Hi
    Thanks ,,sometimes too giving.
    My son is 35 yrs old,,,,,,,,things I can't go into on a public forum but let's just say the past three years have been difficult for us.
    I just explained that I am now only working half days and can no longer continue to pay his way. The conversation went well but I've experienced his passive / then do nothing behaviour in the past.This will definately be my biggest financial challenge in 2019.
    I started my GD's RESP a few years ago (mostly because her parents didn't) and have contributed over 12,000.00 ,,but everytime I mention to them that the RESP is open and they can contribute to it --
    the response is nothing.
    In all fairness if I am doing it why would they even worry about it?.
    She just started high school this year but 4 years goes by very fast.
    My enabling ways have to end for them to grow up. I am doing my best.
    Hugs
    Mel
     

    Jen and Ashwin

    DIS Veteran
    Joined
    May 28, 2015
    I've been only transfering between 0% balance and $0 transfer fee. So it costs me nothing to move it around. which is why I like the idea of not paying it off yet and having some savings.
    What card has 0% interest and $0 transfer fee? I just searched for this and didn't come up with anything.
     

    jen7233

    DIS Veteran
    Joined
    May 1, 2005
    I am also a lurker and posted occasionally on the 2018 thread. I am excited to say we met all of our goals for 2018. I am not starting 2019 off real well as I have been informed my job will be eliminated in March. I am the main source of income and benefits provider for our family. I will receive 19 weeks of severance but the healthcare benefits are what hurt. Below are the goals we have so far in 2019:

    1.) Find a new job - Me and DH is looking for part time job to help out
    2.) Pay off DH's credit card: Currently 0% so need to pay off before interest hits- need to confirm amount with him as the soccer club he works for will pay some of it due to it being Club expenses
    3.) Increase savings - amount TBD
    4.) Pay remaining balance for March Disney trip (if do not have job by balance due date will cancel) Airfare is already purchased so will just save the airfare credit to use in Nov.
    5.) Save money for brother's wedding cruise in Nov.
    6.) Would like to do a small trip to celebrate our 20th wedding anniversary but will depend on job

    From a personal perspective:
    1.) Lose last 13 pounds! I have lost 87 pounds in 2018 so trying to hit that 100 pound mark!
    2.) Complete first full marathon
    3.) Learn something new (hobby, skill, take a class)
    Welcome! So many goals!

    @Jen and Ashwin Yeah sorry, if you feel comfortable with the weekly payments and that works, maybe that's it. I'm sure one day I'll deal with a HELOC!
     

    pblack

    DIS Veteran
    Joined
    Mar 30, 2017
    Not debt dumping related...but just found out that Carnival will start sailing out of San Francisco starting in March of 2020. I'm so excited by this since i've always wanted to sail out of San Francisco and it's only ~1.5 hours from where we live. I kind of want to sail on the inaugural sailing which is a 4 day. All in total will be $1266 including gratuities and all we'd have to pay today would be $100 for a deposit. I've put a 48 hour hold on the room i'd like to book and DH will discuss if we want to go ahead and book it. We'd have a year to pay off the balance of $1166 so i'm not overly concerned with it. Plus it would get a jump start on planning out vacations for 2020 :rolleyes:
     


    Connect

    Disney News and Updates

    Get Daily Email Updates


    Top