Getting Out of Debt- Part 2

We were already on our road to paying off loans, when we discovered Dave Ramsey and his “Total Money Makeover” program. Beside just our student debt, we also had a car payment and a huge medical bill that we were stuck with. We knew that if we wanted to become financially secure, we needed to knock out these debts. Dave’s philosophy is:

Living like no one else = living cheap and not caring about the fancy things that everyone else has. Honestly, I don’t have a problem living poor. I didn’t grow up with a lot of money, so I’m kind of stingy as it is. But we felt like we needed to make some changes to be able to pay off our debts even faster. We moved into a rental that was $200 less per month than the one we were currently in (hello extra $2,400 per year!), changed cell phone carriers, and actually started budgeting our money each month.

We paid off our car back in August after owning it for less than two years! We’re still working on that medical bill (only $8,000 left to go!) and we’re down to just $24,000 on our student loans. Sometimes it can be a little depressing when I’m sitting on my crappy sofa and I realize that I could have bought a new living room set with all of the money that I just threw at the stupid helicopter company. But I know that pretty soon, we will be debt free and we can spend our money on the things that we really want. It’s a good feeling.