Proverbs 22:7

The rich rule over the poor, and the borrower is slave to the lender.

Monday, August 30, 2010


Even though Jonny and I ended up with a messload of debt before we figured out how to take control of it, I can honestly say that unlike some people, we never EVER attempted to get out of our moral obligations for things we had purchased using credit. NEVER. Even when his scum of an ex-girlfriend allowed a car he co-signed on to be repossessed, we paid the $900 or so that was left after it had been auctioned. Granted, if we had the DR knowledge back then, we probably could have settled for less, but now we know better.

This is why it makes me ILL when I hear stories of people who let their homes go to foreclosure, filing bankruptcy, or just going to collections because the bill is not important enough to pay. Now I realize that extenuating circumstances is one thing, but stories like the post I made several months ago about people who stopped paying their mortgage so they could start eating out and driving their boat on the lake again, is another.

There are people I know who never paid outstanding tuition, or they filed bankruptcy because they racked debt up and got in over their head. Rather than being responsible and hunkering down to get it done, they begged the government to forgive their stupidity. What irritates me even more, is many of those same individuals go right back to their old habits once they have a clean slate, and they do it all over again. They start using credit again because it's EASY. And the people who tell me I'm a freak because I'm working my butt off to reach that ultimate level of financial peace. Yeah, you may never understand what it's like to pay cash for something that you appreciate much more because you worked for it, rather than getting selfish instant gratification on credit, even though it ends up costing you more later because you're paying interest on your card.

After a year and a half, I cannot imagine life as it used to be. I cannot imagine using credit cards to buy dinner, or a pedicure, or a movie, or a music CD. I cannot imagine a $400 clothes shopping spree just because I'm "bored." I cannot imagine going to the tanning bed to pass time between classes. I can't imagine wondering around Target aimlessly for no reason, throwing things in my cart just because.

My life has been forever changed. Even when we're out of debt, I think alot of things I used to pay for on stupid tax, will not be able to be justified to pay the price. Yes...the point of financial peace is to be able to buy what you want, when you want, and not worry about it....but what I'm trying to say is that things that were previously important to me when I was being stupid is no longer important. The things that are important now is retirement, a paid for education, paying cash for a car, paying cash for furniture, paying CASH for major home repairs, paying cash for vacations and experiences, and that vacation not following me home on a credit card.

CDs, clothes, and tanning beds are no longer important.

I just bought a brand new set of pots and pans through pampered chef. I got a deal on them because I bought them through hosting a party. Sure, those kinds of things are overpriced to begin with, so that you will host a party, and bring in more orders....I get it, and I'll play the game. Yes, they were still expensive, but the quality is much better than any crap I could have gotten at WalMart or Bed Bath and Beyond. It was emotionally painful to write the check to pay for it, because it was alot of money. However, I thought long and hard about which items I purchased...which items were important now, and which items could wait. Had I been buying it on credit, I wouldn't have had that tough conversation with myself about what was important now and what I could afford now...I would have just bought it all.

Getting a "Get out of jail free" card and a clean slate does not equal financial peace. Paying off debt that is legitimately yours and changing your attitude to determine whats important versus what isn't, does.

Saturday, August 28, 2010

Only 4 Digits....EXCITING!

$9,984.46. That's the amount that is left to pay on Jonny's car. The consolidation loan at $320 a month has been paid in FULL!

If we continued to pay only the minimum payment on the car, it would be December 2013 before it got paid off. This is completely unacceptable, and we are going to snowball this amount by as much as we can. Christmas doesn't look like it's going to our modified new goal is February 22,2011 - our 2 year FPU-aversary.

I'm not going to lie - that is going to be HARD to do...because of the house situation, our sinking funds account got raided, and some of those bills are going to be due before too much longer. I actually need to reconfigure our sinking funds accounts, but I just haven't been able to do that just yet.

I'm still not quite certain on our new monthly budget with the new house, and utility expenses, but here's a best guess so far:

Church                             330
AXiD                               10
Mortgage/Tax/Ins                   613.76
ADT Security                       28.99
AT&T Land Phone                    35
Water                              50
Trash Collection                   16.95
Cooks Pest Control                 37
Alabama Power                      175
Cable TV/Internet                  85
Sprint Cell Phone                  143
Food & Household                   400
Gas & Oil                          350
A Blow                             200
J Blow                             200
Car                                276.11

Disclaimer: The totals do not list our entire monthly income, and this budget is not $0 based....I still have extra to spend, but if I don't find somewhere else that I need it, it will be snowballed to the car. I've also left out paycheck allotments to our savings account and sinking fund accounts which fund our life insurance, car insurance and tags, and home repair expenses.

We're more than 3/4 done!!!! Only 4 digits left in our non student loan/mortgage debt. Jonny's working hard to find a full time, or a better part time job/internship with a CPA firm this fall. Please keep him in your prayers. His military benefits income will go away once he graduates, and so we'll need to be able to replace that income with a job in order to start paying on the student loans at that time.... I'm slightly stressed about repaying the student loans, but not as bad as I would be if I still had all this other consumer for that, I'm grateful.

Wednesday, August 25, 2010

Dear Chase....

Dear Chase,

Please issue a refund for the credit balance on my account.

Also, please close my account effective immediately. I no longer use credit cards and do not wish to keep it open. 
Now that I have moved into a house, I no longer care what my FICO score looks like, so please don t try to change my mind. If you need to list a reason for account cancellation, you can put Dave Ramsey. 

Thank you!

Jonathan Hicks 


Dear Jonathan Hicks,

I sincerely regret that you have chosen to close your account ending in 9771.

I have closed your account as requested. Also, a refund check for the credit balance will be mailed to the address
listed on your account and should be received by September 13, 2010.

Please destroy all cards and checks associated with this account. Remember to contact any merchants with whom you have authorized recurring charges to this account and make alternate arrangements.

Although you have chosen to close your account, please consider Chase for your future financial needs.

If you have any further questions, please reply using the Secure Message Center.

Thank you,

Vanita D'souza
E-mail Customer Service Representative
Account is owned by Chase Bank USA, N.A. and may be serviced by its affiliates.

Aaaaaaaaaaaaah! Now THAT is Financial Peace. No More Chase. No More CUofGA....the only credit card we have left "open" but currently not in use is the NavyFCU Visa, and that's only because we're still paying off debt and do not have our fully funded emergency fund in place. This is Jonny's security gland, which I totally get. Once this last $13K is paid off, and the FFEF is built up....NavyFCU Visa will be going bye bye too...