Happy Friday everyone! I hope your week went well :). Mine went by fast, but that’s a good thing as I have a nice vacation to look forward to at the end of August/beginning of September! Yes, my bosses approved a week of vacation; I was trying to press the “send” button for at least ten minutes on my request e-mail. I am glad I did though, as I haven’t had an “event” to look forward to in a while.
Student Loan Progress
Unfortunately, progress is going slowly. Since I booked a trip to see my parents, I might not be able to make as much of an extra payment as I would like. There are a lot of bills headed my way all at once next week, so I will evaluate after that barrage. August is looking better as I get three paychecks that month. There is hope!
Subsidized: $3,102.81 @ 5.35% (-$69.74)
Unsubsidized: $1,678.96 @ 6.55% (-$93.43)
Total: $4,781.77 (-$163.17)
Subsidized: $4,920.84 @ 4.25% (-$84.25)
Unsubsidized: $6,106.24 @ 6.55% (-$133.16)
Total: $11,027.08 (-$217.41)
GRAND TOTAL: $15,808.85 (-$380.58)
What Happened In June
I made two payments last month that totaled $450. I really hate interest. I am paying extra on both loans, but I think I am going to start paying the minimum on the second loan and toss all the extra at the first so I can get rid of it. My plan is to get rid of the one with the highest interest rate, which also happens to be the smaller one. This makes it easier for me, since the bigger amount is somewhat intimidating. I am excited that it’s going to be below $11k with the next payment though! Small little victories. As it is, I am under $15k total now. However, there is no way I can continue with my current payments as it will take longer than I am comfortable with to pay off. Luckily, my annual review is up in August, so I am hoping to negotiate a raise which will help with that.
Plans To Get R In On the Fun
I have been slightly bugging R lately to get in on the student loan payoff game. For the most part, he has been paying the minimum because that is what he can afford, but lately he’s been stepping it up. His loans are pretty confusing, though. He owes one provider $250 a month, but he has six individual loans with them! He got his statement in the mail today and it was the first time I had ever seen it before, so I decided to read through it. He has three loans where the original amount was $2,000, and they are all at a 6.8% interest rate! He is getting nowhere on paying them sadly, as two of the balances are now over the original amount of $2k. I logged in online to see if his provider would let him specify which loans to pay more toward. He was in luck! (I am very jealous of providers that have this option. I wish my loans were split up like that, because then I would be able to pay off my one loan that’s $1.6k at 6.55% easily.) We devised a plan of paying extra toward those three loans, and hopefully they will get paid off more quickly than before. I shall be monitoring his progress now as well, though he owes quite a bit more than I do. I hope I can make him a somewhat excited to pay more towards them! If anything, I’d like to be an inspiration for him, but we will see.
How have you been doing with any debt payments you may have? Have you ever been able to inspire people around you to join you on your journey to being debt free? Tell me!
Photo Credit: Mint.