2009 Summary - Part I - The Debt

Here were my debt goals from 2009!

1) Pay off Credit card debt and be able to use the credit cards and NOT carry a balance. (finished jan 23)



It was very exciting for me to be able to do this. And so early. I went for three months without using it and once I had my budget amounts under control, I started using them again. It was a bit tricky to keep track of expenses this way, still using the cash jar scenario. Adding a ‘Credit Card’ jar, helped. I simply took money I spent out of it’s jar and put it into the CC jar to keep track. This wasn’t 100% successful but it was a good effort to balance both.

2) Pay off Bank of Mom Loan (finished by Feb 23)



I can’t begin to state how exciting it was for me to pay off this debt. Over the years Mom and Dad (mostly mom (have doled out far far too much money that never got paid back. No one specifically said it was a 'loan' but I mean really???? I knew it wasn't a gift from the hand of happy money. 

This money was technically reimbursement for items they had picked up in a dif city, when we were doing our home renos in 2008. Things like new tub and shower surround.....the flooring for the livingroom...that sort of stuff.  Mom was reluctant to take the money but I told her "I" needed to do this for me.

3) Pay down my Consolidated Loan

Ok technically this wasn't part of the original goals but it became one before Spring  hit. I have reconsolidated this loan three times over the past 10 years and NEVER paid it off fully. It was time to take the bull by the horns and get 'er done! I put everything I could down onto it.

My payments were $579 a month. At the beginning of 2009 only about $500 of that was principal so that mean every  month $79 of my dollars were being sucked into interest land. I HATE interest land!

I started 2009 with a balance of  $12,945 and ended 2009 with a balance of $4300.16. That means I took off $8644.84 in 2009. woo hoo me. It averages out to $720.40 if I just divide that amount by 12. What is better is that I have knocked off 6 months, off the end of my loan.

4) New vehicle!
Also not on the beginning of the year goals, but soon on there was the addition of my new vehicle. We can debate back and forth on whether I should have done it or not. I DID need a new vehicle. It was doomed to die or have a lengthly and painful illness. I have added just under $30,000 of debt to my life. Right now, is the vehicle worth it?  yes. would a new but less expensive one have worked? hmmmm not sure. Only if I had gotten a car...and that did not work for hauling around 4 ppl plus luggage plus hockey equipment. What I DO know is how crack addicting lump sum payments are, and this baby will NOT take me the full 60 months to pay off.

5) Mortgage

well we paid our regular payments. When Income tax came in  we put most of it all towards that. Mortgage moves insanely slow. From $43 000 ish to $38 000 ish. Blech, Interest and property taxes on that are killing us. It's on the list too.

So there is my 2009 in terms of Debt. Despite the new debt amounts coming on, I would say the year was a success. I have done things I have never done before and, frankly, it excites me!

Ok off to the gym. Have a great day everyone!