How much debt have you paid off?: $16,000 in the past 12 months.
What was it for?: Credit card and some on a floating bank account.
From deciding to become debt free to making the last payment, how long did it take you?: 11 months.
What age did you take on your first debt, and how old are you now?: Aged 17, I think. My parents talked me into taking on an overdraft using a bank loan, instead of me pulling my head in!! I’m 53 now - just!!!
Did you do it alone or as a family?: Alone
Did you pay off debt from your regular income, take on extra work, or change jobs to speed it up?: Had a pay rise. Adjusted spending and chopped the credit cards up after reading The Barefoot Investor! Made extra payments to get rid of it ASAP!
Did you sell anything or receive cash gifts to contribute towards your debt payoff?: I had $3,000 back pay and sold a piano for $1,000k
What people, books, websites, podcasts, budgeting tools, debt trackers and resources helped you?: You, The Happy Saver!!! And The Barefoot Investor. I also read a couple of Hannah McQueens books too!
Did you keep an emergency fund while you paid off debt? If so, how much?: $2,000 in a ‘Mojo’ account and $1,500 ‘Fire Fighting’ (these are The Barefoot Investor terms). I accumulated these funds alongside paying off debts.
Did you have any setbacks along the way, and how did you overcome them?: A $2,400 vet bill (she is insured but had to pay upfront and then reclaim). I also had $1,000 in wind damage to my property (including excess payment).
What tips/hacks could you share?: Hmmm, nothing more than The Barefoot Investor, really. Maybe to say to people, “you can achieve much more than you think. And it becomes a game to spend $50 less this week and pay off the debt!”
Was there a structure to your debt payoff? i.e. paying smallest to largest, or highest interest rate to lowest?: Not really. I only had one card… I cut it up!!! And then just worked through it as a lump!!
How did you stay motivated, and what was the most challenging part of paying off your debt?: It was just hard when you had a setback.
How did you celebrate making your final payment?: Hmmm, I put my payment into my pension up by $100 a week!
Was getting out of debt worth it, and what have you learned about yourself?: Totally! I’m watching a girlfriend now with $3,000 of credit card debt talking about putting her holiday onto it. And I think, yeah, nah. No thanks!!!
Will you ever go back into debt again?: Nope, never!!!