I PAID OFF MY SALLIEMAE STUDENT LOAN!!!
The table below summarizes my long term and short term debt progress. In the “Current Debt” column, my totals as of October 1, 2013 have been crossed out and replaced with my debt totals as of October 31, 2013.
During the month of October I paid a total of:
- $3,422.21 towards all of my outstanding debts
- $359.60 of that went towards interest
I currently owe:
- $11,645.01 less than my original loan amounts
- $3,082.61 less than I owed on October 1st
SallieMae and Great Lakes Student Loan 1 are both highlighted because those are the debts that I focused on during the month of October. I paid off SallieMae on the 17th, and then immediately started to put all my extra money towards Great Lakes 1. If I continue to pay Great Lakes Student Loan 1 at the rate that I paid in October, I will have this loan paid off 3 months. That means that I am saving myself 128 months of minimum payments and $1,835.32 extra in interest!!! The graphs below give you a visual comparison of these numbers.
Roadblocks: I did not face any significant roadblocks this month, but my I want to share a couple of instances in which I could have paid (figuratively and literally) if I had not been purposeful with my money and spending over the past several months.
- First up: I did travel across the country for a wedding, but because I had already slowly saved up for a “travel fund” that should pay my airline fees through the holidays, the cost of travel did not have any impact on my debt snowball!
- Secondly: I received a letter from Great Lakes stating that my two largest minimum loan payments will be increased starting in December, per the graduated payment plan system. Initially, I panicked—thinking about how it might negatively impact the great snowball I’ve got going on, but then I did the math. My minimum payment on the SallieMae loan that I just COMPLETELY PAID OFF was $54.24, and the total increase for both of my larger Great Lakes loans was less than that amount!! It doesn’t really affect my snowball intensity at all. Money is much less stressful when you put yourself in control.
October Dollar Hollaaaaas: My money holla for the month of October is not due to hard work but dumb luck. I get paid every two weeks, and this month my paydays were spaced out so that I got paid three times in October instead of my usual two. This increased the amount of money I could put towards debt by about 1.5 times my typical amount.