Success Ove Debt

[Carol33]

It is great to read or know success stories from people who get rid of their debts totally since there are lots of good tips from it.
Do you have any of these success stories?

There are local shows like from rags to riches that really inspired me that it is possible to be debt-free. I would have my own success story someday.

[dczech09]

Many people on this forum have success stories! I will share my own...

I graduated in May of 2009 with an $11,000 car loan and $32,000 in student loans. So $43,000 in debt total.

I worked some small office jobs for like $8 per hour all the way up to $13 per hour. I did that for about 6 months. In December of 2009, I landed a job with a audit firm in the Twin Cities. I worked for a few months at $13.50 per hour while training, traveled to terrible locations, got all of the crap work, and had to work my butt off to prove myself worthy of a full time job. And I succeeded!

My income has rose continuously over the years. I started with a $43,000 debt and a $42,000 annual income. Now, I have $0 in debt and a $65,000 income.

When I first started with that job in Wisconsin, I still had to pay for my own gas for company travel (I have a company car now). So of course that strapped me for a cash a little. I packed lunches, never went out, and lived on virtually nothing for a year. In that first year, leading up to May of 2011, I paid off the car loan while making minimums on my student loans. At the same time, I contributed about $200 per month to my Roth IRA (started at $50 per month and increased it over the months).

At that point, I released the gas a little bit and paid myself a little more. Allowed myself some more fun, yet maintained being aggressive on my student loans. I also increased my Roth IRA contribution to max of $5,000 per year at the time.

August of 2012, I moved on to a new company, got a company car, and increase my income a little. I began contributing to my 401k and maxed out my Roth. I finally hit the point where 15% of my income was going into retirement! Continued paying at the loans.

December of 2013, I sent my final payment to the student loan lender and never looked back!

Some lessons that I learned:
- Do not be afraid to have some fun; it gives you a reward for your hard work!
- Contribute to retirement while paying off debt if possible; build that good habit!
- The path to paying off debt is not a straight arrow; it is more like a drunk bird flying around with one wing clipped! Many obstacles and challenges present themselves. Car issues, months with lower income (if you're on commission), and savings for many short-term goals such as Christmas. It gets tough to balance life with your goal to become debt-free, but it is possible!
- Finally, the last two months are the HARDEST! Once you are so close to crossing the finish line, you have so much pent up anticipation that the time seems to drag on forever. That makes it so difficult to stay focused!

Getting out of debt is not easy; just worth it!

[corawhite07]

Yeah your right. Paying your debt its not easy.

[Sunganani]

Paying off debt is a must. dczech09 used a better paying job to increase his income but there are other ways to do this. You just have to see what works for you.

I have been living debt free for the past year now...it's a great way to be!

[Singuy]

Be proud that you are not the norm and one day you will be that secret millionair next door with the beat up car and the hole in your sock (unless you love cars or socks). Put your money toward what you enjoy, not for others to see(aka live for yourself and not others).

Stick to these pricinples and one day you'll have your own success story.

I would say that it will cost approx 20k/year to live alone(depending on location of course). If you take home 21k/year, you shouldn't beat yourself up for not able to save or pay off debt.

Of course there are always way to decrease expenses(live with parents if permitted) so you can save/pay off debt even with a 21k take home. When there's a will, there's a way

[anaidaa]

Many people think that bankruptcy is an option that will help them start over or even improve their current financial situation. Do research and get started today with improving your debt or credit history by looking into various options available.

[fifocoralsea]

Being a debtor is the word thing in life.Thank God I am out of this now once I was in a small debt problem because I was having some customers to whom I owe money .I had receivables sold to invoice discounting agent and I got relief from my debts as well.

[Michael Thompson]

It is great to read or know success stories from people who get rid of their debts totally since there are lots of good tips from it.
Do you have any of these success stories?

There are local shows like from rags to riches that really inspired me that it is possible to be debt-free. I would have my own success story someday.

I also have a success story of closing my $24K debt in 15 months. This is done by motivation, dedication and commitment. Good luck you will also tell some day your story to other debtors.