Decided to take a new tack on debts

iVillage Member
Registered: 04-03-2003
Decided to take a new tack on debts
Thu, 01-27-2005 - 12:09pm

After looking over this message board, reading Clark Howard's advice on his website and visiting a few other financial sites, and plugging my debts into Quicken I have come up with a new plan of attack for paying it off!

First of all, I get paid every other week -- usually 2x month and occasionally works out to 3x month. Every debt I have has no limit on how often you can make a payment as long as the total of your monthly payments is equal to or larger than the minimum due...I know some only allow one payment per month or what not, especially mortgages and such.

So, I worked out a plan to make a payment to EVERY debt EVERY paycheck. I figured out an entire budget based on every two weeks to coincide with my paychecks and it covers every area and leaves me with nearly $150 excess! So, I'm going to snowflake the excess into my target debt and my move-out savings fund.

I'm so excited! As soon as I get home from my dr's appointment I'm going to set up envelopes addressed to each debt with the mailing date and put checks in them and work out my checking balance to coincide.

Hopefully there won't be too many unexpected financial needs over the next several months! :)

Malea