July 2012 Debt Update: Staying the Course
The goal for July was to be under $2,500 on the Discover card:
Smallest Debt (June 2012): $3,600
Smallest Debt (July 2012): $1,683
My goal is to have the Discover card paid in full by the next update!
Total Debt Update:
July 2012: $28,995
% Change from July: 6.6% Decrease — Nice.
Key Facts to Consider:
- I’m under $30,000 in debt for the first time since April 2008 (when I financed my car)
- I noticed that Discover is offering me a 0% APR balance transfer with a 3% fee for 18 months. The offer is available through 9/11/12, which means I could have the full limit available to transfer minus the 3% fee, around $6,700. When the Discover card is paid, my other credit card has a blended interest rate of 10.48% (majority of the balance is under 9.24% interest, new purchases are 14.24%), so paying the 3% fee and then having 18 months to pay a chunk of debt with no interest is tempting. I will consider it once this account is at a $0 balance.
- I just realized that at some point in the not too distant future, I will have a month where I am not accruing interest charges. Each month I am taking a step back of at least $200 in interest charges. This amount is decreasing, but I just realized how pleased I will be to look at all of my accounts and know I didn’t incur a single fee in a month.
- I have been slacking: not doing any extra work or overtime. I need to get back on that and earn some extra dough.
How did your finances change this month?