After reading another blog post about the couple digging their way out of consumer (credit card) debt, I realized I never shared the amazingly awesome incredible news. Drum roll please......
We are officially and completely FREE OF DEBT!!
Midway through the summer, we started having to make monthly payments on Kevin's college loans. He had been out of grad school long enough that we couldn't defer payment any longer. Besides that, his two loans had been accruing interest for years. Not cool. We signed up to make double payments each month, hoping to put a dent in the principle. One of the loans was a third of the size of the larger one, so we wrote a painfully large check and paid that one off up front.
We've had money set aside in a low-interest (really, really low interest) cd for the past couple of years, thanks to the fellowship he received in grad school. We didn't want to be left with no money in the bank in case of a major emergency--namely, Melanie gets some crazy illness and has no insurance coverage. OR one of our two 1990s vehicles bites the dust.
But about a month ago, we did some number crunching (or Melanie watched as Kevin did math in his head) and realized paying off the second loan was a definite reality. The next day we went to the bank, closed our cd and transferred the money to our checking account. We drove home, logged onto the Sallie Mae website and clicked "submit payment." It was a scary moment, but it was SO FREEING.
We were both blessed to be raised by parents with insanely solid money management skills centered around Scripture. We have never had credit card debt even for a month, and thanks to Kevin's dad's employee tuition discount and my mom's hard work, we graduated from college with very low loan amounts (me=$0, Kevin=$9k). And now, we have no unpaid debt. We're debt free. It's a beautiful thing.
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