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  1. #1

    $60,000 Debt Payoff Motivation $60,000 Debt Payoff Motivation

    I have seen some posts on this forum to help people motivate themselves to pay off debt. I would like to share my story so far and start this motivational post to help keep my spirits up during this long debt payoff process.

    My wife and I both attended college, where we met, and both accumulated a lot of student loan debt. I graduated in December 2013 with a BS in Engineering and 4 student loans totaling over $32,000(6.8%,10yr). My grand idea after school was to take out a $25,000(4.15%,6yr) loan to buy a new car.

    My wife graduated in May 2014 with a BS in Animal Dairy Science and decided to teach. In December 2015 she completed her masters in Middle School education online while she was teaching. She had 2 student loans one for 5,000(4.00%,10yr) and one for 33,000(5.00%,30yr).

    I know so many mistakes were made, but we are in this situation now and I am hellbent on removing this burden from my family. Here is the situation today:

    - Car: $11,557(payment: $400)
    - My student loans: 2 loans remaining at $5,986(payment: $90) and $6,229(payment: $93)
    - Wife's student loans: 2 loans remaining at $4512(payment: $55) and $32,176(payment: $200)

    In total it is a whopping $60,463 of pure debt burden. My goals for 2017 are to pay off the car and bring my total non-mortgage debt down to $45,000. Lofty goals I know, but easy goals are not worth striving towards.

    Any motivation, personal stories or advice would be greatly appreciated.

  2. #2
    I had 100k remaining on my mortgage and paid that off in 3 years...

    don't beat yourself up over the student loans... that was an investment. but now you do have to pay them off.

    minimum payments will get you nowhere - that is how the banks win.

    figure out a plan to pay extra on the loan(s).

    you can always look at Dave Ramsey's approach to debt, if you haven't already. his investment advice is poor from what others have said.

    good luck.

  3. #3
    I have about $600 bucks of extra cash each month that I am putting towards the car, so we can knock the car out as soon as possible and free up $1000 monthly to put towards the smaller student loans.

    I have spent some time listening to Dave Ramsey. He has some good advice, especially for those neck deep in credit card debt. I have decided to adopt a few of his principles, but not all.

    I would be ecstatic if I could pay off my $60,000 in 3 years. Paying $100,000 in 3 years is an impressive accomplishment.

  4. #4
    You're not the only one in heaps of debt here (hint, my screen name refers to debt, not assets). So I just wanted to say good luck, you can do this!

    Since being on this forum, I've found tons of ways to cut down expenses and focus on debt payoff. Ultimately I actually decided not to do it all as quickly as I had initially hoped, but I am much happier with my life doing it a bit more slowly. So keep your mind open and listen to input from others.

  5. #5
    I'd suggest taking Dave Ramsey's Financial Peace University class. Lots of valuable lessons about cash flow planning, paying off debt, insurance, etc. My husband and I are hosting the class and are finding the information valuable.

    Regarding your student loans, are they made up of smaller loans? If so, Dave suggests to put each loan in order from lowest amount to highest amount. Get gazelle intense and pay off the smallest loan first and then work your way up. The process works.

    First baby step is to get $1000 in an emergency fund.



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