42K x 30: Month 11 Update

Next month is a big month – one year since I set out on this goal, and as you can see from my graph – I’m falling a wee bit behind...(I’m blue.  Red is my goal)

student loan graph sept 13

I’m about $8K behind my current goal – Eek!  But setting goals is all about pushing yourself, right?  I can still do this…

  • Starting Balance: $35700.92
  • End Balance: $35357.65
  • Paid Towards Loans$492.11
  • Interest Paid: $178.2
  • Principle Paid$317.37

For some reason, I paid a bunch more in interest this month – ugh!  I forgot to turn off my weekly payments to VSAC, so I made 4 payments this month to them, when I only planned on two.  That might be the difference in interest?

September Goals

  1. Pay minimum on Sallie Mae Loans CHECK!
  2. $40 bi weekly to VSAC Loans CHECK PLUS – Accidentaly paid $40 every week!

October Goals

  1. Pay minimum on Sallie Mae Loans 
  2. Pay off SM Loan 1-07 ($688.18)
  3. $40 bi weekly to VSAC Loans

I’m finally ready to knock off that pesky loan that has been looming for months.  With that gone, I’ll be saving $5 a month in interest and my monthly minimum will go down by $29.  Woo hoo!  So essentially that means I”ll have $34 more a month to go towards the next loan I want to pay off.  And that brings me to this…

Loan Pay Off Plan

So after I pay off 1-07, the next high interest loan is a whopping $3K.  Once Avery and I are settled int our new place, I’ve created a budget that I’ll be able to put at least $3-400 towards extra loan payments.  That plus my tax return at the start of the year and I should be able to pay that next loan off before spring!

  • SM 1-08 @ 6.55% (February ’13): $0
  • SM 1-07 @ 6.55% (Oct ’13): $688
  • SM 1-05 @ 6.55% (Mar ’14): $3020
  • SM 1-06 @ 6.55% (Sept ’14): $4881
  • SM 1-02 @ 6.55% (2015): $6677
  • SM 1-01 @ 6.55% (2015): $7497
  • VSAC C @ 4.77% (2015): $2150
  • VSAC A @ 3.17% (2015): $4787
  • VSAC B @ 3.17% (2015): $2392
  • SM 1-03 @ 2.1% (2015): $1397
  • SM 1-04 @ 2.1% (2015): $1863

Oh man, when I write them all out together, it’s daunting.  No way I’m going to pay these off before my 30th birthday.  Ugh.  I’m trying to pay off the higher interest loans first, but should I just knock off the smaller loans that have under $2K left instead?  The ‘snowball method’ says to do that, but then I see how much goes to interest on the higher interest rate loans and I about fall over.  Almost 50% of each payment to those loans goes to interest.  Eek.  Any suggestions?

Previous Monthly Updates – 

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4 thoughts on “42K x 30: Month 11 Update

  1. HIGHER INTEREST FIRST! and maybe take a look at your goal and re-do it. So what if its 32 instead of 30 if it makes you happier and feel less like you are ‘failing’? When life events happen changing your goals is totally an option! Sometimes more achievable goals are easier to roll with and provide motivation where a really tough goal that is barely reachable will make you feel more like you could just give up at anytime (something you dont want to do!). Great job doing this though, you are doing great!! Very impressive, I think at your age even just taking a serious look at debt and not being in denial is great, so many people just dig themselves deeper by ignoring it.

    • Thanks, Tessa. I will def. readjust my financial goals once Avery and I are settled and I know what to expect for expenses every month and how much I can put away towards loans. By the time I pay off my student loans, I’ll have to turn around and put that same amount of money into retirement!!! LOL

  2. We have tried both methods and honestly to get momentum going found snowball was a good fit for us. Nothing pushed us to try harder to pay things off then seeing progress! Plus we then had a little more money to put towards those high interest loans.

    Hang in there friend! Goals are constantly getting adjusted and you are still on track to pay these loans off far quicker than most! 🙂

    • Thanks, Amanda. I might do a mix of what I have now and the snowball method, cuz those big ones are so big! They’ll take me 1/2 a year to pay off while the little ones I could do in a couple months. We will see. By the end of this month I’ll have a better idea of my budget and how much I can put towards them and re-evaluate my goals.

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