DEBT FREE! and it feels sooooo gooood!

[Smith]

After a tough 4 years, I have finally done it! I'm debt free! Well, except for 60K left on the house. For anyone thinking of doing the Dave Ramsey plan, or a similar plan, I highly recommend it. Now I didn't follow it directly but none the less the principles are the same.

A little background. I had accumulated roughly 60k in medical and life expenses over the last 12 years (school, 3 kids, moving, job changes, poor spending habits etc.). My wife and I set a goal of getting out of debt when we moved to Nashville 4 years ago within 4 years. We had some help along the way, but we made it.

Now 11 months ago we were 40k short and didn't look like we could get anywhere close, but a motorcycle wreck turned into a blessing and helped us meet our goal. I don't suggest that route:screwy: but as the proverb says, "in his heart mans plans his path, but God directs his footsteps.

This meant we had one vehicle for the last 9 years, I don't buy clothes (If you've met me I'm probably wearing one of 2 or 3 outfits I own), moved 13 times in 3 years, and scimped and saved every nickel, except for gun stuff which I called investments! Most of which I sold when we needed extra money.

As of this week I owe no one! I have my 6.8 build nearly done, my Mossy 500 decked out, a Hi-power with all the frills, my Glock 19, mags and ammo, 2 nice paid for vehicles and will be adding 400 sq. ft on to our 758 sg ft. house and it was all done in cash!

I don't say this to brag but to encourage others that it can be done. It is truly feeing to be in no mans servitude, as the scriptures say, "the borrower is slave to the lender".

BTW - All this in a crappy economy and I have not made over 35k a year in the last 12 years. In fact I made considerably less. It's not how much you have, but what you do with it.

Edited March 31, 2009 by Smith

[Rightwinger]

FREEDOMMMMMMMMMMMM!!!!!!!!!!!!!!!!

[Cajun]

No more beans and rice for you!

[R1100R]

Good job. My family has been debt free for five years. I know we have been

blessed.

Edited March 31, 2009 by R1100R

[Smith]

No more beans and rice for you!

I've kinda got to where I like them...... my wife doesn't though!

[Mike.357]

feels good, don't it.

I still have a little debt but it is very managable and goes down monthly.

For me the biggest relief is to not have to worry about what has to be paid by what certain date.

[Smith]

feels good, don't it.

I still have a little debt but it is very managable and goes down monthly.

For me the biggest relief is to not have to worry about what has to be paid by what certain date.

No doubt. the stress in the chess game of rotating who we put off paying and making sure they got caught up was more than i realized.

[musicman]

Congrats Nate!! That's awesome!!

I've accumulated a good sum of debt since starting my business, and am finally starting to pay it off. If all goes according to plan (good luck with that!!) We'll be debt free (except the house) in about 4 years.

[Guest Bronker]

Good for you, Nate. I'm proud for you. The dynamics of your family tree, under God's direction, has just taken an upward swing!

Now, go live like no one else.

BTW- I'm VERY close. Will report when its done.

[poak]

Wait... you're supposed to pay back money that institutions give you? But... but.. but... it's FREE money?

Congrats, Nate. It never ceases to amaze me how much a lot of other talking heads in the financial sector will down talk Ramsey and his methods, but he's got a system that works for sure, even in a failing economy!

[Guest colrmccoll]

sounds like you all have worked hard. congratulations

[Guest mustangdave]

Welcome to the mortgage only club...it is SWEEET

[Guest Hyaloid]

Way to go!

While it is GREAT for you, it's even better for your children, do all you can to pass on the 'secret' to your kids.

You should be very proud of yourself and your family!

[Ghooge2008]

I totally envy you, We have been trying to get out of debt...and everytime we get ahead something else happens. congradulations.

[Guest dkirby]

Congrats! That's got to be a big weight off your shoulders

My wife and I have been working the Ramsay plan now for about a year, and we've already paid off about 8000 in debt, and we've got about 12000 to go (damn student loans). We're looking to be debt free in about 18 months, and then it's time to save up for a house!

[oldogy]

Congratulations. Not to brag but I have never known any other way. Was reared that way and it has served me well. I had a little trouble convincing the wife but she came around eventually.

oldogy

[BimmerFreak]

Congrats Nate.

That is quite the accomplishment.

About 5 years ago every car I owned was financed, and I had around 40k in credit card debt that I had accumulated from excessive travel and the costs of moving from CA to TN.

While not as painful or drastic as your plan, I did the following:

Sold all of my expensive cars and paid off the loans

Canceled all of my credit cards, and started paying 2X the monthly payment. I finished paying the CC debt off last year.

I now follow two rules:

No credit cards- I dont pay for anything on revolving credit.

Don't finance toys- I have built back my car/toy inventory, but they have all been paid for with cash. If I have to finance it, I wont buy it.

Edited April 1, 2009 by BimmerFreak

[texfrazer]

Congratulations!!! It is a great feeling!

It is so hard changing the lifestyle to fit the cashflow. My wife and I are getting ready to start working on the mortgage (though that's a bigger pill to swallow).

[Guest c_o_jones]

Congrats!

It's good to know there are others that love financial freedom here as well.

If you do not manage your money, it will always flow to someone that does.

[Farman]

Wait till you pay off the house. The wife and I walked around looking like this for weeks :D.

[Guest Mugster]

I've never had a credit card or any debt. I had a house for awhile on a GI loan, but sold it. I may have to break down and get a card though...I'm having a tough time renting cars.

I may look like an idiot counting out cash and coins to buy high ticket items, but it works for me.

As a side note, if you have cash...might be a good time to wager a little in the market. Stocks are selling 2 for 1 at a broker near you.

[kckndrgn]

Congrats - the wife and I did the DR thing as well. Took us about 5 yrs but we managed to pay off all our debts (except the house) and I've been slowly building the full EF.

My wife even left her job to take one that paid less than half of what she was making, and it really didn't hurt us.

Our biggest "log jam" was just getting the first debt paid off, once that happened the snowball really got going.

To those that are trying to get their debt paid off, keep working at it, it's well worth it to finally be able to yell "FRRREEEEEDDDOOOOOMMMMMMMM"

[BryanP]

Congratulations and welcome to the club. I wrote the check to pay off my mortgage (my last debt) last June. Debt free is a great place to be, especially today. It's good to know that if it came down to it I could get by on minimum wage.

[oldogy]

As a second comment on this thread I'll throw this in for what it is worth as I see a few comments about credit cards.

Keep at least one credit card. A credit card is a wonderful tool but you must have the discipline to use it. It must be paid in full monthly to be a good tool. Otherwise it is a tool used by others against you.

Another important point is your credit score, maintain it wisely.

oldogy

[bteague2]

Congrats, I'll be starting to chip away at my student loans soon. Hopefully it won't be too long before I join you.