2 posts tagged “student loan”
Well, sort of. Since I'll be eligible to re-consolidate/re-sell my $90,000 worth of government-backed loans to Direct Loans in July of this year (and then enter into the Income Based Repayment/Public Interest Loan Forgiveness Program), I decided to forbear on my Sallie Mae owned loans that are currently serviced by XPress Loan Servicing. I figured since I'll have almost $150,000 (which accounts for the interest on the principal) forgiven after 10 years (the 10 years starting in July), I may as well take a break from paying and put my normal monthly payments of $1070 to my credit card debt. This way, I'll have a substantial amount of the credit cards paid off by the time July rolls around and with the Income Based Repayment Plan, my $1070 monthly payments will be reduced to approximately $700.
As much as I hate President Bush, I would give him a big wet smackaroo for signing this bill into law. It is going to make such a huge difference in my life. Although I wish the law were retroactive (considering that I have 8 years of public service under my belt already), I'll take what I can get. Of course, we'll see if the loan forgiveness ends up being taxable at the end (probably will).
Last night I finally got a response for a part-time waitressing job. I hope I get an interview. I responded to a craigslist post for a new restaurant that's opening right near my apartment. How awesome would that be? She responded by email and asked for my phone number. Cross your fingers.
On Saturday my night court duty went smoothly. I actually only ended up working 9-12, but will get the entire $175 check. Wahoo!
So, $500 will go to Washington Mutual Credit Card tommorrow. $14 to Discover for the backpack I bought. $200 to MBNA for the balance transfer. I get a little obsessive/stressed about my cash flow because I'm always worried about bouncing my student loan payment. At least for the next few months I can keep throwing $ at the credit cards and not worry about that. So far, I've paid $5,777 towards my credit card debt. I can't tell you how AWESOME that feels.
Yesterday I went up for Fosters because I needed a mat for my kitchen sink (I don't have a dishwasher). What a cool store. I purposely only brought $40 with me and left my debit card at home. It's amazing how different a shopping experience is when you only have cash to pay for things. I know that if I had had a credit card, I would have spent a lot more money. But I'm very happy with what I bought - a sink mat, a good scrubber, a eurosponge (I'm trying to cut down on my paper towel use and this brand promises to last through 17 rolls - we'll see!), a neat container in the shape of an onion to hold onions to keep them fresh and so that they don't stink up the fridge (I couldn't resist it was so cute and only $3.50), and a scrubbie that ended up being a total waste of money because it ripped apart after only one use. I usually get my sponges at the dollar store, but was getting tired of the fact that they rip apart so easily. Oh well.
Today I have off for President's Day. The day will be spent cleaning. Serious cleaning. Like baseboards being wiped down, appliances being moved, etc.
I know I've said this before, but I can't tell you how fantastic all of this feels. It's like the rest of my life (except for the love part) is starting to come together. Just from the simply act of getting control over my finances. I've gotten more organized, have learned to cook some really great dishes, have more energy, and less headaches (although maybe that's attributable to the new medication).
Things are coming together.
Okay, I haven't exactly paid off a credit card in full but I am darn near close. Today I sold the remainder of my gold jewelry for a cool price of $1070. Which will go right to the $1385 balance currently on my Gap Visa. I get paid on the 15th and so the remainder of the balance will be paid off the 15th. I think I may actually have enough to cover it now, but I don't want to mess around with my loan deduction. That leaves 2 credit cards, one with about $7,000 and the other with about $2500. I may do a balance transfer on one of them, depending on whether I can negotiate anything.
The morning got off to a great start, too. I won a $10 Amazon gift card just by posting at wise bread forums. I'll save it for now - it'll come in handy if I have to buy any gifts. Today I ran down to the nearby consignment store and sold a Cynthia Rowley dress for the price of....$24. UGH. But, that dress doesn't fit, it's been sitting in my closet for 3 years, and it's ugly. $24 more dollars that I didn't have that will go to the credit card company. I also sold another item on ebay for $25. I'm trying to think of the combined effect of these little sales rather than just the individual low price...At least the rest of the clothes that I can't sell can go to charity for the tax deduction.
I also ran over to the ING cafe today to donate a winter coat. And they gave me a free coffee!
I cannot tell you the amazing weight that has been lifted simply by finally admitting the problem and doing what I need to do to fix it. I am so excited to feel what it will be like to owe nothing to the credit card companies...and to know that part of any excess income I have afterwards can go to the principal on my student loan...
I've also subscribed to the Dave Ramsey podcast. I've learned some interesting things. Especially that comparatively speaking, there are people out there WAY worse off than I am. I think the biggest lesson I'm learning is that so far I'm really not missing all of the needless spending...like on the "treats" or the Starbucks or makeup. I know it's only been about 2 weeks, but I really thought that the withdrawal would be much worse than it is.
Okay, I did buy a dog bone today (for the dog). But that's been my only expenditure since last week! That's huge!
