I’m going to post a monthly update of our current debt status, along with the changes for the month and any thoughts on our progress (or lack of!)
Current Non-Mortgage Debt:
| Debt | Balance | Interest Rate | Payment | Due Date |
| Appliance Loan | 3,655.00 | 0% | 0.00 | 2012-06-01 |
| Mastercard | 2,338.12 | 24.99% | 2,338.12 | 2012-05-01 |
| Visa | 4,776.75 | 1.99% | 100.00 | 2012-08-15 |
| MBA Debt | 10,290.88 | 0% | 0.00 | 2013-10-01 |
| 2nd Mortgage | 21,737.20 | 3.99% | 57.50 | Bi-Weekly |
| SUV Loan | 32,448.75 | 0% | 432.65 | Monthly |
| Line of Credit | 38,143.55 | 6.25% | ~$225 | Monthly |
Original Amount as of February 1, 2012:
| Debt | Balance | Interest Rate | Payment | Due Date |
| Appliance Loan | 4,000.00 | 0% | 0.00 | 2012-06-01 |
| Mastercard | 4,000.33 | 24.99% | 4,000.33 | 2012-03-01 |
| MBA Debt | 12,106.90 | 0% | 0.00 | 2013-10-01 |
| 2nd Mortgage | 21,883.63 | 3.99% | 57.50 | Bi-Weekly |
| SUV Loan | 33,746.70 | 0% | 432.65 | Monthly |
| Line of Credit | 38,973.82 | 6.25% | ~$225 | Monthly |
Changes: Net Decrease ($1,435.07)
Current total: $113,390.25
Previous total: $114,825.32
Original total: $114,711.38
Appliances: Made one small payment of $175 – from cashing in my healthcare spending account.
Mastercard: Another small decrease ($182.23) this month, any decrease is progress.
Visa: I made one $100 payment, plus a little interest was added.
MBA Debt: Every month I stay with my current employer reduces the balance by another $600.
2nd Mortgage: We pay $57.50 bi-weekly, and the balance reduced by $48.96 this month.
SUV Loan: Down by $432.65 this month.
Line of Credit: Up by $100.47 after I paid the $100 Visa payment, and a little extra interest was charged this month.
Good news, we made some progress this month. Not lots, but we’re still moving in the right direction. May is going to be spendy, and I expect our totals to go up this month, then start declining next month.
We have cancelled one small trip, so that will save us at least $500. We are still going to Las Vegas for my birthday, and we are still going to Wisconsin, although I expect that will not be too bad for costs. Other than that, no more travel this year!
Dump everything you can into your MC payment and then attack that LoC (but make sure you won’t pay interest/fees on the appliance or Visa). Have you paid off your entire mortgage? If your LoC is just an LoC, perhaps you should convert to a HELOC for a lower rate? I would really recommend getting the MasterCard GONE ASAP – it seems kind of insane to be paying $500 (of after tax $$) a year on 2k of debt!
I have to find a better way to represent that balance – we pay it off in full every month, so we pay no interest on it. But it is still debt we owe every month, so I include it. Each month we continue to use it (for points), I try to reduce the amount we depend on it for groceries, etc. If at some point we had a cash flow crunch, then we’d have to pay interest on it. You’re right though – the interest we’d pay on it would be insane!