Goal Reached: Car paid off!
Thanks to a generous refund from Uncle Sam and the debt snowball, my wife and I have paid off our next major debt. At the beginning of the year the car loan had a balance of almost $6,000 and our goal was to have it paid off by August. So paying it off in March is awesome. It now looks like having my personal credit card paid off by the end of the year should be completely doable, assuming nothing major happens in our financial life (knock on wood!)
Getting rid of this debt really makes me a believer in Dave Ramsey’s debt snowball method. Not having to make a car payment anymore is a huge motivator to keep going, and a sign that we’re doing things right. We will now be putting over $1k a month on the credit cards, so even with its high balance and higher interest rate there will be a noticeable change in the balance every month. I am looking forward to watching the rest of our debt melt away over the next year. Now I need to get back to tracking our net worth to see where we’re at.
