Friday Five: The First 5 Things You Should Do if You Are in Debt

fiveheader

The “Friday Five” are five items to help you in your journey to financial freedom. They might be 5 tips, they might be 5 tricks, or they might just be 5 items of thoughts. In any case, it’s Friday, and I’ve got 5 “things” for you, so here we go!

_________________________________

As you can see, I’m trying something new with the Friday posts here. I like having some themes that I can dock to, such as the “Thursday Think Tank,” and the “Tuesday Tip Jar.” On top of this, I feel like you kind of don’t want a long post getting in your way on a Friday, and would prefer just to get out there and enjoy your weekend.

So these “Friday Five” posts will be a bit shorter, and get right to the heart of the matter, of hopefully providing you with 5 items you can use to help with your financial health and success.

So here goes! We’re going to kick the first one off with the first 5 things you should do if you find yourself in debt.

Back in January, my wife and I found ourselves in a buttload of debt. If you aren’t familiar with some of these fancy financial terms such as “buttload,” just know that it was a LOT. If you check that fancy little diagram/chart in the right column of this site, you can see we were just north of $126,000 in Credit Card and Student Loan debt.

Even though it took us years to get into this position, it was a smack in the face once we took a hard look, put it all together, and realized just how bad off we were. We didn’t really know what to do first, and just felt an initial sense of helplessness.

Debt can be super-scary, and you may not know where to begin. So let me give you 5 good initial areas to focus on if you find yourself in a similar situation:Read More »

Refinancing Our Home – One Step Back, Several Steps Forward

Again, this will potentially save us tens of thousands of dollars in the long run and we’ll put the extra cash to good use each month, but I hated the thought of that debt increasing in any ways, shape or form.

Starting Credit Card Debt (01.01.19): $126,310.77
Current Credit Card Debt: $109,570.87
Total Paid Off: $16,739.90
Income Going to Savings: 2%

While I’m probably the only one that pays close attention to that little stat tracker at the top of each post, some of you may have noticed that my total credit card debt went up as of today’s post while my total paid off went down. Here is what it looked like yesterday:

Starting Credit Card Debt (01.01.19): $126,310.77
Current Credit Card Debt: $108,870.87
Total Paid Off: $17,439.90
Income Going to Savings: 2%

This is sort of (to borrow a term) “ass backwards” of the intent of my efforts.

When we grabbed our proverbial shovels in January and decided to dig out of debt once and for all, we made a promise that we would close all of our accounts and never look back. We made good on that promise almost immediately, and I can now say that all of our accounts but one are closed for good. The reason we left one open is this:Read More »