It only took me 13 years to pay it off. LOL I opened both accounts in early 1995 (during first year of college – second half of the year). Of course, those first several years (especially while I was in college) was where the debt got racked up to. It never got completely out of control. But it did grow more than it receded.

Several years ago is when I decided to start sending more than the minimum payment. I tried to get a loan to pay both cards off, but at the time, my debt to income ratio was too high, and I couldn’t get a loan. So I forged ahead sending as much money each month as I could. Over the past few years, I’ve been able to send more and more (thanks to raises). For the past 2 years or so, I’ve been sending from $200 to $350 to get the balances down quicker. I paid off my Discover Card in April of this year. So that meant I could send more to the Visa. And with that payment just before 1pm, the Visa now has a balance of $0. Such a good feeling. Now the only loan that I have is my student loan. And from what I’ve read, that’s a “good” debt to have, if debt can be called good.

My plan back when I started the larger payments was to cut up the Visa and cancel the account but keep the Discover for emergencies. But after reading some articles online and hearing advice on a few financial shows on TV, I’ve decided to keep both. I plan to use them every now and again and pay off the balance in full each month … probably putting gas on them. That way my credit report will show that I can manage my credit. Getting rid of one or both cards would damage my credit (at least that’s what I’ve been led to believe), and I don’t want that. Especially since it’s so good right now AND since I’m planning on buying a house within the next 14 months or so (hopefully ).

So, starting next month, that $350 that was going to the credit card will be going into my money market savings account (if not more than that). I’ll be putting money into my regular savings account as well. That way I’ll have some other money to use for furniture/appliances/repairs/etc once I get a house. I’m well on my way to becoming a home owner. Now to do more research so I know exactly what I’ll be getting myself in to.

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It is such a good feeling to have that thing paid off. I never thought I would. I’ve had it since 1995. In college, I used it more than I should have. But at least it was for college related expenses like books and for food. Gotta eat. But still … I racked up a bit of a balance on that thing.

But that’s all gone now. I’ve made my final payment. I am planning on keeping it, but don’t plan on using it. If I have an emergency, it’s there. But if I have an “I really want that” moment, I’ll just have to deal. LOL

I do have one more credit card. Another that I’ve had since 1995. Again, more college expenses. But I also put other stuff on that one that I shouldn’t have … my couch, my tv. But those were things I needed. The tv wasn’t extravagant … it’s a 19 in that replaced my 13 in. And I needed a couch. I had my first apartment by myself and needed furniture. This one should be paid off by the end of the year, if not sooner.

Since the first one is completely paid off, I have the money I’ve been sending to that one will be split between the second one and savings. Like I mentioned in a previous post, I want to open a second savings account specifically for saving for a house. I’ll probably wait a month or so before opening that second savings account, but I plan to do it before I pay off the second credit card. The sooner I start putting money in it, the sooner I’ll have enough to start house hunting … and THAT can’t come soon enough.

So, other than the second credit card, the only loan I have left is my student loan. And I think I remember reading or hearing somewhere that that is a good kind of debt (if there is such a thing … LOL). So I won’t be sending extra to that. I’ll keep making my payments and slowly whittle that down. My other bills are all monthly bills. Well, except for my car/renters insurance. But I’ve been paying 3 months at a time on that one for a while now. So I feel good about my financial state.

Hopefully I haven’t jinxed myself now by saying that.

So tonite I got my 3rd one (I got the first one last July). Everything on the report is good. No negative items. All accounts in good standing. After looking over things, I decided to get my credit score as well. After all, it only cost $5.95. I can handle that.

I’m very happy after getting my credit score. My Risk Grade is B. My Credit Category is Prime Plus. My credit rating ranks higher than 70.87% of US consumers. I am “more than likely” to get “good offers” from lenders. That definitely makes me feel good. If I was trying to get a loan to buy a house, I might actually get one.

The credit score report had some things listed that lower your score. This one surprised me: Having low available credit amounts on revolving accounts (like credit cards) has a negative impact on your credit score. A few years ago, I had both of my credit card companies lower my credit limits. I thought that having high limits was a bad thing. I guess I shouldn’t have done that.

I’m working on paying off my credit cards, and I’m almost there. One of my cards will be paid off shortly after the 15th of this month. The other card will be paid off by the end of the year. I only have the 2. I had planned to close the account on the second one once it was paid off but keep the first one open for emergencies. Now I’m not sure if I should. I need to do some more research into what lowers your credit score and what has a positive effect on your credit score.

Once those cards are paid off, I’ll have that money to put in a savings account earmarked specifically for a house. I’m going to start doing that next month since the one card will be paid off. I plan to take the money I was sending to that card and put some toward the other card and the rest into the savings account. I’m hoping that in no more than 3 years, I’ll have enough money saved for a down payment and other closing fees. I’m going to try to put as much money into that housing savings account as I can to try to get to that point sooner than 3 years. But I’m being realistic.

I just know that the sooner I am out of apartment living, the better. But home ownership brings it’s own set of problems. I’ve seen what Robin has had to deal with since she bought her house. Things that need to get fixed. Appliances dying. So I want to make sure I have enough in my housing savings to cover the closing costs and still have money left in it for the unexpected expenses that come up.

So, for now, I just keep paying off those 2 credit cards and keep putting money into savings. I have a Simple IRA now at work, so money is going into that for retirement. So, hopefully my financial future is now more bright than it ever has been in the past. I just hope I haven’t jinxed it by saying that.

It hasn’t been that bad for some time now, but I’ve still been living paycheck to paycheck. I have managed to have money for groceries and other necessities, but when it comes to “fun money” … there’s not a lot of that sitting around. My main problem is the credit cards that I had and used during college … for books and food and other things that I didn’t need to use them for. I only have 2, but that’s bad enough.

The past couple years have definitely been better … ever since I started working as a web programmer. I’ve been make larger payments to my credit cards … definitely over the minimum payment. And I’ve gotten really close to getting one of my credit cards paid off. I actually made an extra payment today. My scheduled payment isn’t due until the 18th. I should be able to get that sucker paid off over the next 2 months. That will leave me an extra $200 a month … that’s what I’ve been paying for the past year or so. When that’s done, at least $100 of that will go toward the other credit card … maybe $150 of it. That would mean $300 or $350 payments on that sucker. And according to my calculations, I could get that one paid off in 7 or 8 months … depending on what I decide to send them. When both of those are all paid off, I’m getting rid of the second one but keeping the first for emergencies (and hope to NEVER have to use it).

This month, something has happened that has never happened before. You see, when I started the new job at the beginning of the year, I got a pay increase … a pretty decent one as well. My paycheck for Feb. 15th had 96 hours on it … so it was rather nice. And around that time, I got my tax refund back (not real huge, but still good enough). Those 2 things combined to leave me quite a bit more left in my account at the end of the month than I’m used to. Enough that I’ve been considering getting a new desk. I had thought about getting a new camera, but I’m not sure any more. It’s been so long since I’ve taken pictures. But I have enough in my account after bills to be able to get a desk and a camera.

Now … I’m not gonna get both … not even sure I’ll get one. I’m so used to NOT spending money. I’m always waiting for the other shoe to drop … either my car is gonna completely die or I’ll lose my job or something will happen. Yep … I’m a pessimist.

Where it’s most notable that I don’t spend money is grocery shopping. It’s gotten to the point that I HATE going grocery shopping. I just don’t know what to buy … especially when it comes to meat. Everything seems so expensive. It seems like the only meat I end up getting is hamburger or chicken or the occasional roast if they’re on sale. Now I actually have money available to buy better cuts of meat and better quality produce and other stuff. But I don’t. I look at the prices and leave it on the shelves. But I don’t have to now. How does one break a habit like that? I love to cook. I have money available to buy ingredients to make recipes that I’ve been dying to make. But I don’t. I think I need a financial attitude makeover … LOL.

I do know one thing that I’m going to be doing once the first credit card is paid off. I’m going to open a second savings account that is earmarked specifically for a house. I am so sick and tired of apartment living. I want my own house. I want to be able to paint the walls any color I want. And I want to be able to wash clothes any time I want to and not have to worry about the machines not being available. I want a SEPARATE room for an office since I work from home. I know that I’m probably at least 2 years away from being able to get a house, but at least I’m starting to plan for it. I also need to put more money in my current savings account. Getting my lappy depleted it somewhat. I want to build that back up for emergencies … so I don’t have to use a credit card. The biggest thing for that account would be car repairs. I really need to get my car looked over in the next couple months so that it lasts me a couple more years. I plan on doing that once the weather warms up.

Boy … this post ended up more rambling than I had planned … sorry. I guess I shouldn’t post when there’s NASCAR on tv … LOL.