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November 20, 2010


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DEBT -- I head about people's stories all the time...and one thing is for sure...when individuals have a plan to handle debt -- we all feel empowered!!

There is another side too -- and that is MAKING AND KEEPING MORE... Thanks to the tax system of our country -- we all have the opportunity to operate a business or have a job....doing both is a great way to grow your net worth!!

when i was in debt i payed credit cards with the highest interest rate first. i was tired of working two jobs to get out of my mountain of debt. consolidating may help if you can get it but it only makes it easier to to pay just one account each month instead of 5 different cards.... and when it posted on my credit report, i only had one bad rating instead of 5. but i also decided to take a chance with something unique. i decided to invest in myself. i have never looked back.

a very strong word. that when taken for granted can eat us alive. lead us to bankruptcy the best way is not to have any debt at all. if unavoidable choose a low interest debt. the one that you can afford. and never be late for payment, if so it'll just increase your death till you don't know what to do next. it's still best to alot a percentage for debt payment and for savings.


I think determination goes not just for eliminating debt, but also for saving. I know plenty of people who aren't in debt, but are also not really saving. It takes determination to save, as well.

Those stories are excellent and other people can learn from them so they can protect themselves from getting into debt or get out of it if they are already in that situation. But what I like the best is what the author said about the hidden ingredient which is determination for without it, no strategy is ever going to work.

My husband and I were deep in CC debt - around $28-34k. I lost my job and the year I was out of work was what raised this so high. But, while working at an S&L, I learned that a major step in keeping good credit is to never have a late payment. The first 4-5 years in paying the debt off I never sent in a late payment, even if I had to borrow from Peter to pay Paul.

As a result of this, I got all the great rates in the mail. At one time I read that if your cc interest was at 14%, you were ahead of the game. At that time my debt was on 3 cc's, not 10 as previously, and they were all at 9.9% until PAID OFF. I was really ahead of the game. Later, I got an offer of 4.9% until paid off and put all the debt on that. I made one mistake with this though. We had taken a trip and I sent in a check for $1k to pay off that. However, I had called and got the new account immediately. The check came in later and it was at the full rate of 16%. I still was paying only about 6-6.5%. The last 3 years I had 3 separate accounts (1 each year) that were 0% interest for 1 year.

I was working 40 hours at my regular job and 20-48 at my part time job - doing home health aide work. About 3 years before I retired the cc debt was paid off and I only used the cc if I could pay it off monthly. When I retired we only had a loan on my car & a very small loan on repair work for my husband's pickup. The first withdrawal from my 503b was to pay off that debt. For the first time in our married life we were completely debt free.

The other good perk was that all my 503b was in the savings type program (no stocks & bonds) and the interest was 7-8% when I retired. It is now down to 2%. However, I have withdrawn over $15k in the last 5, almost 6 years and before I do my annual withdrawal next month, my account will only be down about $1.5k. So basically, I have used almost $14k and still have almost my entire money yet.

I feel very rich. My 503b has less than the amount you can insure under FDIC, but still almost intact. I have SS and 2 small retirements (we set them up as 100% for surviving spouse) which bring in about $24k annually after taxes and insurance. The Lord has blessed mightily. I am trying to save as I know costs will go higher. Although, one blessing I seriously thank God for is that for the 2nd year in a row, my health insurance has gone down. How's that for a miracle???

Wow, that was terrible advice on cloth diapers. Also, you can save $2,000 per kid with cloth and you don't use burp rags, pins and plastic pants anymore.

Thanks for including a link to my story on Yahoo.

In fact when I was getting out of debt I read your blog too. So you had a hand in us getting rid of that $70k. Thank you! :)

This action proof to be a win, win situation. This is a true art work, which will be a success story. A very smart and diplomatic answer. It’s really appreciable and general. I like this particular article It gives me an additional input on the information around the world Thanks a lot and keep going with posting such information.

Ahem! cloth diapers are great! We were as poor as church mice with my older child and I stayed home with her until she was 3, so we saved money, time (driving to buy diapers,) etc. I used them with my older child 3 years later. My kids are grown and I am divorced, I've lived without a car for over 4 years and in February I will pay off the very last debt I owe. You do whatever seems prudent and the most expeditious to pay off debt, but don't jeopardize your safety. Cloth diapers and no car expenses are small sacrifices for the benefits realized.

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