Debt Dumpers 2020

[MN_Andi]

I hope everyone has been having a wonderful holiday season!

Financial Goals for 2020:

• Have student loans under $20,000 (currently a little under $28,000)
• Save $3,000 for my vacation to Walt Disney World in late October/November
• Keep my financial spreadsheet 100% up to date

Not so much of a goal, but my car will be paid off in May (hurray!), so that will allow me to take that payment and put it into my student loans or saving up for my vacation. My friend and I are going to WDW from October 30th-November 12th, and we are going to try and hit everything possible! Food and Wine, Christmas and Halloween, it is going to be great!

 

[Jen and Ashwin]

We got back from WDW on Friday. It was such a wonderful trip! We absolutely loved Riviera Resort and have zero regrets for purchasing the DVC contract there. This trip was a much more leisurely pace and I loved that. We slept in, went out for breakfast, skipped some fastpasses and generally did what we felt like doing when we felt like doing it. The exception was our HS day. We woke up at 4:30 am, got to HS by 6:05 am and queued up to get a virtual number for Rise of the Resistance, then we went over to Smuggler's Run and got in line. We managed to ride Smuggler's Run twice and RoR once, as well as Toy Story Mania and Alien Saucers. Given how early we woke up, DD was a champ and loved going back to Galaxy's Edge. She especially loved meeting Chewbacca. Overall, a perfect end to our trio of WDW trips this year.

That said, we definitely spent a bit more on food than I had planned. I will be making this up with some additional vacation funds that I had earmarked towards our April cruise. But this isn't too much of a set back because I have been watching our cruise fare and it dropped by $1450 right before we left for WDW, so I called in and had them reprice us. That money will be really helpful in covering our shore excursions as well and puts us in a much better position.

I am behind in updating YNAB. DD has been sick since we got home. Fever, vomiting, congestion, and lethargy. On Monday she was really lethargic and having more labored breathing. I tried calling the pediatrician, but their phones were down so after a few hours we just decided to head to the pediatric ED. I am glad we did because they gave her nausea medication as well as antibiotic shots. She is now much better and I plan to update our budget tomorrow while she is at daycare and I am off of work. Also cleaning the house because my parents visit this weekend. We are holding off on opening our Hanukkah gifts until my parents are here so they can enjoy it too.

 

[StacyStrong]

I'm a little disheartened feeling like my debts are more severe than what others face. I have 48k in Student Loan Debt, 9,800 in a 401k loan, and I'm only able to contribute 2% to retirement right now. Hopefully I can pay off the 401k loan next year, and then return my retirement contributions to 10%, but the Student Loans feel insurmountable.

My Wife and I live with our In Laws right now, and that would allow me to save a lot more if we stayed, but it's so frustrating and difficult we will most likely move out next year. Is anyone else just 'stuck' with their student loans? We have a nice savings going separate from everything else that our 'rent' money is going towards, so that will give us a few months worth of expenses for emergencies. But especially with moving back out next year, my Student Loans will realistically never be paid off. I have them on a 30 year plan right now, I had to refinance them from a 20 year plan to save money due to some unexpected medical expenses this year.

Basically coming here I feel like other people are so far ahead of me I will never catch up

Don’t feel disheartened. I have six figures in student loan debt but was able to pay off all other debt this year. You’re not alone by any means.

It’s too late to change anything you’ve done previously. You can only learn and make progress in the future. Here is a great place to help you along the way.

Merry Christmas!

 

[pblack]

Glad you had a magical trip @Jen and Ashwin!

Like true disney addicts () we had a Mickey Mouse inspired Christmas breakfast! Hope everyone had a good holiday! I will probably be partaking in after Christmas sales tomorrow. I'm really just wanting to go to hallmark and maybe walmart. I at least have a $40 giftcard to hallmark to offset my costs there.

 

[DisneyMandC]

We got back from WDW on Friday. It was such a wonderful trip! We absolutely loved Riviera Resort and have zero regrets for purchasing the DVC contract there. This trip was a much more leisurely pace and I loved that. We slept in, went out for breakfast, skipped some fastpasses and generally did what we felt like doing when we felt like doing it. The exception was our HS day. We woke up at 4:30 am, got to HS by 6:05 am and queued up to get a virtual number for Rise of the Resistance, then we went over to Smuggler's Run and got in line. We managed to ride Smuggler's Run twice and RoR once, as well as Toy Story Mania and Alien Saucers. Given how early we woke up, DD was a champ and loved going back to Galaxy's Edge. She especially loved meeting Chewbacca. Overall, a perfect end to our trio of WDW trips this year.

That said, we definitely spent a bit more on food than I had planned. I will be making this up with some additional vacation funds that I had earmarked towards our April cruise. But this isn't too much of a set back because I have been watching our cruise fare and it dropped by $1450 right before we left for WDW, so I called in and had them reprice us. That money will be really helpful in covering our shore excursions as well and puts us in a much better position.

I am behind in updating YNAB. DD has been sick since we got home. Fever, vomiting, congestion, and lethargy. On Monday she was really lethargic and having more labored breathing. I tried calling the pediatrician, but their phones were down so after a few hours we just decided to head to the pediatric ED. I am glad we did because they gave her nausea medication as well as antibiotic shots. She is now much better and I plan to update our budget tomorrow while she is at daycare and I am off of work. Also cleaning the house because my parents visit this weekend. We are holding off on opening our Hanukkah gifts until my parents are here so they can enjoy it too.

Glad you had a great trip! Did you get caught up in any of the murphy bed issues at Riviera? We were discussing that at lunch yesterday.

 

[MantaRider]

sorry for the diagnosis but if it helps at all-even with these kinds of challenges it is possible, a step at a time to become debt free. we had allot of debt when i became suddenly and totally disabled in my early 40's (also had two little kids to support). we kept scratching away at it-literally any extra couple of dollars leftover in a given month was thrown at debt, then at a mortgage. we were doing well then WHAM dh is diagnosed with a TBI that disables him permanently. several steps backwards financially/new debt accrued but while it took more years than we anticipated we got out from under all our debt. i'm on this thread to stay that way and look to save more.

i agree with the suggestion to look at the student loans as a 'utility', just an ongoing expense. work on the other debt, get an emergency fund in place (dave ramsey talks about this) and create a realistic budget for now and when you plan to move out. keep in mind all the expenses of living on your own and try to minimize them as much as possible.

one step at a time, one day at a time.

Thank you for sharing your story. It's tough for me to accept it's going to take years to alter my situation, but that's reality right now. One step at a time and we will get there. It's getting easier to take, but I really wish I could reset to where we were at the beginning of this year. I do look at the loans as a Utility - I'm currently setup to pay 350 each month. I plan to pay 500 after I get my 401k loan payed off. The hardest thing right now is sticking to my budget. I have a good one, but seem to always get carried away. Especially since going out to eat and buying things 'feels' like it helps alleviate the pain of my current situation

I think it's important to concentrate on your mental health and adjusting to the new normal for you. Debit is a stress and something everyone wants to get rid of but your health is more important since the debt will still be there later.

I agree with the others about thinking of it as just another monthly payment. If you don't have low interest rates see if you can refinance them to something better since every little bit helps. I was fortunate that I was able to consolidate and refinance in 2005 after I graduated with my 2nd degree so everything was in one place with low rates. I get offers in the mail to refi and just laugh because they are more than double what my rate is now.

The other thing to consider if you aren't already doing it, is to add a couple bucks every month. I always round up to the nearest 5 or 10 on my student loan and mortgage because I like to pay more even numbers without cents and because every little bit helps. You're also less likely to notice that little extra than trying to pay an additional 50 to 100 a month if you don't have it.

I wonder what is considered a good interest rate for Student Loans? Right now mine are at 6.499%. Would it be worth it to try and get a lower rate? I am with SoFi / Mohela right now and would be open to suggestions for better lenders if anyone has that.

My financial life really turned around for me in my 40s. It will get better. You just need to sit down with Excel and come up with a plan. This will take some time to do.

Thank you. I have an excel plan that I feel is pretty strong, but this month really tanked it. Most of the time I'm doing OK, but I tend to impulse spend to feel better and that's something that really needs worked on.

Don’t feel disheartened. I have six figures in student loan debt but was able to pay off all other debt this year. You’re not alone by any means.

It’s too late to change anything you’ve done previously. You can only learn and make progress in the future. Here is a great place to help you along the way.

Merry Christmas!

It's a day late, but Merry Christmas! And thank you. I know we'll get there. I wish I could know how things will work out... I really want to get my life back on track. But I know that must happen a day at a time

 

[Jen and Ashwin]

Glad you had a great trip! Did you get caught up in any of the murphy bed issues at Riviera? We were discussing that at lunch yesterday.

It wasn't the double murphy bed, it was the single pull-down bed that is over the TV that had issues. We weren't using it because it was just me, DH on the queen bed and DD in a pack and play. At some point during the trip, they came into our room and put up a sign on the bed saying that the bed was of "out of order" and should not be used. The sign was removed by the next day. When we were heading towards the Skyliner on that next day we saw a big crew of people with power tools that were going into each room and I assume fixing the problem. I am glad we weren't using the bed because I would have been devastated if something like that happened to DD.

 

[DisneyMandC]

It wasn't the double murphy bed, it was the single pull-down bed that is over the TV that had issues. We weren't using it because it was just me, DH on the queen bed and DD in a pack and play. At some point during the trip, they came into our room and put up a sign on the bed saying that the bed was of "out of order" and should not be used. The sign was removed by the next day. When we were heading towards the Skyliner on that next day we saw a big crew of people with power tools that were going into each room and I assume fixing the problem. I am glad we weren't using the bed because I would have been devastated if something like that happened to DD.

Oooh ok, got it. Uhh yeah, that was pretty alarming and could have been seriously dangerous with a child.

 

[jen7233]

We got back from WDW on Friday. It was such a wonderful trip! We absolutely loved Riviera Resort and have zero regrets for purchasing the DVC contract there. This trip was a much more leisurely pace and I loved that. We slept in, went out for breakfast, skipped some fastpasses and generally did what we felt like doing when we felt like doing it. The exception was our HS day. We woke up at 4:30 am, got to HS by 6:05 am and queued up to get a virtual number for Rise of the Resistance, then we went over to Smuggler's Run and got in line. We managed to ride Smuggler's Run twice and RoR once, as well as Toy Story Mania and Alien Saucers. Given how early we woke up, DD was a champ and loved going back to Galaxy's Edge. She especially loved meeting Chewbacca. Overall, a perfect end to our trio of WDW trips this year.

That said, we definitely spent a bit more on food than I had planned. I will be making this up with some additional vacation funds that I had earmarked towards our April cruise. But this isn't too much of a set back because I have been watching our cruise fare and it dropped by $1450 right before we left for WDW, so I called in and had them reprice us. That money will be really helpful in covering our shore excursions as well and puts us in a much better position.

I am behind in updating YNAB. DD has been sick since we got home. Fever, vomiting, congestion, and lethargy. On Monday she was really lethargic and having more labored breathing. I tried calling the pediatrician, but their phones were down so after a few hours we just decided to head to the pediatric ED. I am glad we did because they gave her nausea medication as well as antibiotic shots. She is now much better and I plan to update our budget tomorrow while she is at daycare and I am off of work. Also cleaning the house because my parents visit this weekend. We are holding off on opening our Hanukkah gifts until my parents are here so they can enjoy it too.

Glad you had a nice trip! Riviera Resort sounds wonderful, and good that you enjoy the DVC choice. I can't wait for our April trip this year to WDW and I've been rethinking doing rope drop just because now I feel the kids sleep later and go to bed later, it may be more enjoyable to change up how we have done things in the past at the parks. I can't believe your cruise price fell so much, that's crazy! We are going on a cruise late summer and the price hasn't moved, if anything gone up. Hopefully no more sickness for your DD this winter!

 

[imbatman]

I’ve stayed away for over a week because I told myself it was the holidays. I reasoned that people on this board think I have it all together and am nearly debt-free, so why admit the train wreck that I have become?

Massive medical bills have caught up to us. Tie rods broke on DH’s truck. DH will be reducing hours for an upcoming surgery that may cut his income in half.

Yes, I paid off that craptastic debt my brother gave me last year. Yes, I paid off the CC debt. Yes, I overspent at Christmas this year because for the first time ever, Christmas didn’t feel festive, no matter how hard I tried or the money I threw at cashiers. I’ve never spent like I did this year, desperate to catch that magic that usually fills me with joy.

Please, don’t preach at me: if you don’t have it, don’t spend it. I knew I didn’t have it. And I knew I’d feel this terrible.

Where does this venting of “woe-is-me” leave me today? In CC debt. Looking at impending 2020 medical bills.

But…

There is hope. Our mortgage is still paid every month. I can afford groceries. My car will be paid off in March. Oldest kid is currently in an airport and going to Japan (courtesy of not my CC or wallet). Youngest is overcoming some personal battles. And DH will have a massive surgery next year, but he will get to keep his foot. I will more than likely be losing my father to his battle with cancer, but I had him for years more than we had DH’s dad. I’ll be facing some giant medical issues of my own, but I have a book coming out that reminds me of how hard I can work.

Back to the drawing board for me:

2020 Goals
Financial:

1. Pay off Discover card. – I should, in theory, have this done by March. That said, with medical stuff going on, I’ll strive for that goal. (will post balance update later)
2. Pay off Sapphire card. – That’ll be after Discover. (will post balance update later)
3. Shift purchases to CC’s after balances are paid. – This has always been my goal after reading about CC churning last year.
4. Continue Roth contributions. – I will be dropping that to $25/week. It makes me sad to drop it, but I’d rather go into retirement (13 years from now) debt-free.
5. Continue vacation fund. – While this may not make sense, it’ll also be a $25/week contribution, as we have pre-paid for the Star Wars convention in August. Still need to pay for the hotel.
6. Get that snowball spreadsheet updated and started. – Rolling with a January 1st date. Can I pay everything down in a year? We shall see…we shall see.

Personal:

1. Maintain weight. – Through stress, I dropped over 10 lbs. this year. Not so healthy, even if it was my weight goal. I need to manage my stress better so it doesn’t lead to more health issues.
2. Finish two manuscripts. – My agent is asking for one, but I’d like to push through for two.
3. Carve out family time. – Oldest is moving to Arizona for college next fall. (When did that happen? I just brought her home from the hospital.) I’d like to go to our family cabin a few times (free!) and take local day trips. We are all busy, so I should probably plan those ASAP.
4. Breathe. – Things will happen. I can’t stress out waiting for the genetic results on my dad’s cancer to see if I’m a carrier. I can’t hold the anger when my oldest’s boyfriend manipulates her and I want to bury him (would like to say that I’m joking…). I’m learning to say “no” to some things and “yes” to others. But I have to keep reminding myself to quit clutching onto the things I cannot control.

That’s it for now. I don’t need a pep talk or a shoulder to cry on, but let’s admit it, that’s part of the reason I’m on this board. I’m one of those who had to see it in front of me to confront it.

And here is the ugly truth: I messed up. But I can fix this.

 

[pblack]

Sending you lots of love @imbatman even our best laid plans can get altered by life. I know you'll get through it.

 

[afan]

I wonder what is considered a good interest rate for Student Loans? Right now mine are at 6.499%. Would it be worth it to try and get a lower rate? I am with SoFi / Mohela right now and would be open to suggestions for better lenders if anyone has that

I'd do some googling and see what else might be out there. Mine's in the 2% range but again I refi'd in 2005 when the rates for everything were low. Mine's with navient but sofi is the one that keeps sending me offers.

Thank you. I have an excel plan that I feel is pretty strong, but this month really tanked it. Most of the time I'm doing OK, but I tend to impulse spend to feel better and that's something that really needs worked on.

If you feel the need to impulse shop I suggest the dollar tree. It's what I do every great once in awhile. There's stuff we get and use there but if I impulse grab a coupke things I'm still generally walking out spending no more than 10 vs the 20+ if I'd done the same at target.

 

[jen7233]

I’ve stayed away for over a week because I told myself it was the holidays. I reasoned that people on this board think I have it all together and am nearly debt-free, so why admit the train wreck that I have become?

Massive medical bills have caught up to us. Tie rods broke on DH’s truck. DH will be reducing hours for an upcoming surgery that may cut his income in half.

Yes, I paid off that craptastic debt my brother gave me last year. Yes, I paid off the CC debt. Yes, I overspent at Christmas this year because for the first time ever, Christmas didn’t feel festive, no matter how hard I tried or the money I threw at cashiers. I’ve never spent like I did this year, desperate to catch that magic that usually fills me with joy.

Please, don’t preach at me: if you don’t have it, don’t spend it. I knew I didn’t have it. And I knew I’d feel this terrible.

Where does this venting of “woe-is-me” leave me today? In CC debt. Looking at impending 2020 medical bills.

But…

There is hope. Our mortgage is still paid every month. I can afford groceries. My car will be paid off in March. Oldest kid is currently in an airport and going to Japan (courtesy of not my CC or wallet). Youngest is overcoming some personal battles. And DH will have a massive surgery next year, but he will get to keep his foot. I will more than likely be losing my father to his battle with cancer, but I had him for years more than we had DH’s dad. I’ll be facing some giant medical issues of my own, but I have a book coming out that reminds me of how hard I can work.

Back to the drawing board for me:

2020 Goals
Financial:

1. Pay off Discover card. – I should, in theory, have this done by March. That said, with medical stuff going on, I’ll strive for that goal. (will post balance update later)
2. Pay off Sapphire card. – That’ll be after Discover. (will post balance update later)
3. Shift purchases to CC’s after balances are paid. – This has always been my goal after reading about CC churning last year.
4. Continue Roth contributions. – I will be dropping that to $25/week. It makes me sad to drop it, but I’d rather go into retirement (13 years from now) debt-free.
5. Continue vacation fund. – While this may not make sense, it’ll also be a $25/week contribution, as we have pre-paid for the Star Wars convention in August. Still need to pay for the hotel.
6. Get that snowball spreadsheet updated and started. – Rolling with a January 1st date. Can I pay everything down in a year? We shall see…we shall see.

Personal:

1. Maintain weight. – Through stress, I dropped over 10 lbs. this year. Not so healthy, even if it was my weight goal. I need to manage my stress better so it doesn’t lead to more health issues.
2. Finish two manuscripts. – My agent is asking for one, but I’d like to push through for two.
3. Carve out family time. – Oldest is moving to Arizona for college next fall. (When did that happen? I just brought her home from the hospital.) I’d like to go to our family cabin a few times (free!) and take local day trips. We are all busy, so I should probably plan those ASAP.
4. Breathe. – Things will happen. I can’t stress out waiting for the genetic results on my dad’s cancer to see if I’m a carrier. I can’t hold the anger when my oldest’s boyfriend manipulates her and I want to bury him (would like to say that I’m joking…). I’m learning to say “no” to some things and “yes” to others. But I have to keep reminding myself to quit clutching onto the things I cannot control.

That’s it for now. I don’t need a pep talk or a shoulder to cry on, but let’s admit it, that’s part of the reason I’m on this board. I’m one of those who had to see it in front of me to confront it.

And here is the ugly truth: I messed up. But I can fix this.

I certainly wouldn't preach. I'm totally guilty here of spending money not in the budget and admit it. I just recently payed some past due bills this month for DD that's a struggling single parent that I'm now carrying a cc balance into 2020, which is a 0% interest card I had no intention on putting a balance on (it was a preapproved card for $250 statement credit at my bank, only reason I went ahead and got it but yes, happened to have a zero interest for 15 months-but still didn't really need to bother but well, it's done), but things happen as not all situations are perfect and we have many that are far from. So I don't feel bad about this. I could reach over and pull out of mutual funds or not fund Roth next year, but no, not going to do those things, just keep the balance and pay off the card through the year.

Sorry about these medical issues and all, and your dad's cancer, this must be absolutely a scary time. And it's never one thing that is going on, seems like things always bring other difficulties to get through.

 

[Jen and Ashwin]

Glad you had a nice trip! Riviera Resort sounds wonderful, and good that you enjoy the DVC choice. I can't wait for our April trip this year to WDW and I've been rethinking doing rope drop just because now I feel the kids sleep later and go to bed later, it may be more enjoyable to change up how we have done things in the past at the parks. I can't believe your cruise price fell so much, that's crazy! We are going on a cruise late summer and the price hasn't moved, if anything gone up. Hopefully no more sickness for your DD this winter!

I was a little surprised about the cruise fare as well, but maybe it dropped because the cruise was slow to fill? The final payment is due in a few weeks. It is during the shoulder season in Europe, so a bit different from a Caribbean cruise during peak times. I always make a point to check the price whenever sales change, just in case it drops. I have gotten a few hundred back before, but never this much.

And thanks for the good wishes. I am sick now too, so I am hoping once we all recover this will be the end of it for a while.

 

[jen7233]

I was a little surprised about the cruise fare as well, but maybe it dropped because the cruise was slow to fill? The final payment is due in a few weeks. It is during the shoulder season in Europe, so a bit different from a Caribbean cruise during peak times. I always make a point to check the price whenever sales change, just in case it drops. I have gotten a few hundred back before, but never this much.

Yes, ours is Caribbean with RCCL, and a popular travel season, so likely why it doesn't move much. I keep checking airfare every so often, that isn't moving in a good direction either, just up. Airfare to/from MCO for the two trips were paid predominately with cc points (three out of four legs), but still wouldn't mind getting some of those back!

 

[Jen and Ashwin]

Yes, ours is Caribbean with RCCL, and a popular travel season, so likely why it doesn't move much. I keep checking airfare every so often, that isn't moving in a good direction either, just up. Airfare to/from MCO for the two trips were paid predominately with cc points (three out of four legs), but still wouldn't mind getting some of those back!

I was lucky to snag a really good price on airfare to Barcelona. Just $400 per person, paid entirely with credit card points. And all but $600 of the cruise fare cost will have been paid with credit card points as well. So the bulk of our costs will be shore excursions and some food while ashore. But shore excursions will be pricey because we booked private sedan tours so that DD can be in her car seat. She doesn't weigh enough to sit on a bus seat safely yet and all of the excursions through RCCL use coach buses.

 

[imbatman]

And here is the ugly truth: I messed up. But I can fix this.

My snowball and I had a lunch date. Because if this drags out longer, I won't sleep. That's how I roll.

I have an UBER conservative snowball charted out. We aren't sure how soon DH will be scheduled for surgery. Also in the mix, youngest starts driving in April. This is a good/bad thing. Good as in I am no longer a chauffeur. Bad as in have to either fix old, high mileage car ($800 minimum) or buy a newer one for me and let her have mine. We have zero public transportation here. She has been trying to apply for jobs but no one will hire 15-year-olds. It's pathetic. So, the conservative snowball is where I'm leaning for now for sanity. This plan doesn't allow for a pay-off by March. So if that happens, it'll be a huge win for me!

Even with the conservative snowball, I'll be CC debt free by year's end. Woot!

And I feel like I can breathe with a plan, even if it's not where I'm supposed to be.

Received a Christmas bonus at work. Immediately paid it toward the one card that I'd run up before Christmas, so it has a zero balance before 1/1/20.

Oldest sent me a message. She has over 9 hours left to fly and says that her rear already hurts.

 

[RamblingMad]

Thank you. I have an excel plan that I feel is pretty strong, but this month really tanked it. Most of the time I'm doing OK, but I tend to impulse spend to feel better and that's something that really needs worked on.

What do you impulse spend on?

Most people tank on their plan during the holidays. No big deal.

This year didn't go according to plan for me. I ended up doing a cross country move in the fall that I had not planned to do. The opportunity came up, so I took it. I spent at least $20k on the move that I would have otherwise invested. I also had to dump another $25k into a down payment on a new home while my other one stayed on the market longer than I expected. That's $45k that brought me no joy. I also spent about $10k getting my old home ready for sale. Now, I need to spend probably another $5k on minor household repairs for my new home. None of this was planned for. It was a whole lot of suck.

 

[pblack]

@imbatman you asked me to let you know the next time i saw the family size Stouffers lasagna for $5...they will be on sale at Raleys on Monday the 30th for $5 Monday

 

[rosegoldmonorail]

Let your parents front you the money for tires.They're too important to put off buying-it's for their peace of mind and yours.

oh for sure! i just need to figure out where to get the best deal, i don't know anything about cars lol