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Hope’s Debt Update – end of August, 2020


It has been an uneventful month. And that is truly a rarity around here. No crisis, no big decisions to make.

We’ve spent the bulk of the month getting used to Gymnast being back in the house, managing to get the two girls to their jobs and to the 3 youngest being back in school. It was also a no spend month for us. And that went great! I have paid off $3,927.15 in debt this month. Woot, woot!

I’ve cooked one big meal a day (Mon thru Fri) and then people ate when they were home. And we are continuing to eat through our pantry. So while I do plan to restock some things this next week, we are all eating things we don’t normally eat as we continue to eat through our freezer and pantry.

Our garden is now producing a plethora of bell peppers, tomatoes, okra and jalapenos, so we have those with just about every meal. The carrots are still baby, but edible.

And on top of all that, I have stayed on track with my debt payments…what is this month 4 in a row that I’ve made great strides in tackling my student loans?!? I am really proud of myself. Without further ado, here’s what the numbers look like going into September.

Original Debt
Last Update
Current Balance
Min. Payment
Student Loan #1$17,000.00$7,460.01$5,982.282.88%$0
Student Loan #2$21,750.03$19,433.43$19,384.562.88%$0
Honda HRV$21,200.00$17,128.61

You will notice that I have increased my monthly minimum payment on the car. (Instead of $250 per month, I am now paying $300 of every 2 weeks, set up as autopay.) This came after a discussion with my uncle who holds the loan. And was completely my call.

But I am still maintaining my original goal of focusing on paying off Student Loan #1 and keeping Student Loan #2 from growing by paying just enough to cover interest.

2020 Year End Goals

While I originally set my sights on paying off Student Loan #1 by May, 2021, that goal has changed. (And to think that was a stretch goal back then.) Assuming I can maintain what I am doing right now, I will have Student Loan #1 paid off by December, 2020. Just a few short months away!!!

Why in the world has it taken me so long to do this? To buckle down? I know the answer to that question. But man, hindsight is definitely 20/20.

What’s Next?

With that goal seeming pretty achievable, I took some time to look at my forecast and see where I would be come January, 2021 debt wise.

My debt numbers would be approx:

Student Loan #2: $19,200 (give or take)

Car Loan: $14,027

Here’s what I’m thinking:

  1. Beginning January, 2021, I will double what I’m paying toward my car now ($600 per month) beginning making it at least $1200 per month. I would pay off my car by January, 2022 if not earlier.
  2. I am assuming I will need to begin making minimum payments on my student loans again come January, 2021 (they are in COVID/government ordered forbearance right now.. That would be $306 per month toward Student Loan #2.

This would mean I would end 2021 with just Student Loan #2. And it would be at the point that if I maintained what I’m doing now with Student Loan #1 and then with the Car Loan in 2021…and then with Student Loan #2 in 2022…I would be debt free by the end of 2022 if not sooner!

That means I could be debt free in just over two years. I could be debt free before Gymnast graduates from high school. I could be debt free before Princess graduates from college. You have no idea how overwhelming that idea is to me! How absolutely unbelievable that I really can do this! For the very first time, it seems like it may be a reality and not just a pipe dream.





  • Reply Walnut |

    That’s an enormous debt payment! Nice job, Hope! I’m glad everyone in your household is getting into a groove of normalcy and you’re getting set up for smooth sailing ahead.

    • Reply Hope |

      Me too! When I look back at the last several years, I see just how far we have come in so many ways.
      It’s really nice to see be able to take some big steps on the debt front.

  • Reply klm |

    Nice work, Hope.
    I’d be curious to see your retirement plans/savings as you plan for your debt free phase of life.

  • Reply Katie |

    That is terrific!! Glad to see you’ve accelerated the car payoff. Borrowing money from relative can easily destroy relationships. Better to break that bond.

  • Reply Ellen |

    That’s a very nice chunk of change there. Looks like you have a good plan going. Good job Hope!

  • Reply Roxana |

    I found the error. On your last update, the debt was 44000 and now you paid 2000, not 3900.

  • Reply Judi |

    Great work Hope! It will be exciting to see student loan #1 fall below 5K with your next payment!

So, what do you think ?