Happy 1 Year Debt Consolidation Plan Anniversary to me!

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Happy 1 Year Debt Consolidation Plan Anniversary to me!

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We have been with CareOne on a Debt Consolidation Program for one whole year. 

I thought that sounded like a good time to sit back and take stock of where we are and how far we have come.  It is pretty far and I am really proud of us. We are a quarter of the way through our program and we are still putting one foot in front of the other.

That is a win in my book.

A year ago we were considering bankruptcy.

We spent the three years before that paying cards to use them. There were all types of tricks I would use. I would pay a big chunk to a card and then use it before the billing cycle ended so that we could use all the room before the interest hit. The interest would put us over our limit and it would take me several months to get it paid down to the point where we could use it again but I had other cards.

I just switched cards in a round robin. It makes me think of playing hot potato only I knew I would always be the one who ended up with the hot potato. I was just trying to get food on the table. The bottom line is that at the end of the year we were just as deep in debt as we were at the beginning.

If anything, we were deeper in debt every year.

This year it is different. Right now we have $400 in our savings account and a budget that includes adding to that a little each month.

This is the first time in about six years that we have had ANY money in savings.

We have paid off over $2,600 of the principal on our accounts that are with CareOne. Of course, we have saved a huge amount of interest. We have also paid off just over $3,000 on a medical credit card, a gas card, and a signature loan that are not a part of our Debt Management Plan (DMP).  That means we have paid off a little more than $5,600 of debt we had before CareOne.

We did take on new debt because of my medical issues this year. I now owe about $3,500 to hospitals and am making small payments on those accounts.

This means we have still managed to lower our overall debt this year by just over $2,000.

Just as important, the hospital debt is interest-free while the debt we paid off was not.

There have been times this last year when I was not sure we were going to make it. We considered dropping out. We considered switching to the Debt Settlement Plan. We considered running away and trying to live in the woods. (OK, maybe not that one too much!)

In the end we found a way to get through. We found a way to make our payments and still put food on the table.

We still have a very long way to go, but right now I am feeling pretty good.  I am feeling excited about where we will be next year when we are halfway through.

I would love to hear where you are in your journey and how you are feeling about it!

 

Kimberly Davis, Debt Management Plan customer with leading provider of debt relief, CareOne Services, Inc. Kimberly Davis

I have been married for 15 years and we have two kids. We have had a rough few years; between my Mom's having to come and live with us to my husband's lay off.  We are very eager to get our finances under control with the CareOne Debt Management Plan because our kids have BIG college plans. We have plans too and they include traveling with our trailer and being able to retire at some point, so this debt just has to go!  I live in California with my family and am  focused on making real changes so that we can get started on a fun debt-free future.You many know me in the Community Forums as Kimmer5000 and I am now a compensated blogger for CareOne!  Check out my blogs under A Straight Talk and My Journey out of Debt!

 

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  • Happy Anniversary Kimmer5000!  There's a saying (I like to use sayings, if you haven't already noticed) "When Times are Tough, the Tough Get Going".  You are a perfect example of hunkering down and getting tough on debt :)  Thanks for sharing!

  • Wow! Congratulations. Actually I'm really moved with the kind of changes that you have made and the improvements more importantly. Shared your post on Google+. Also following you for more updates.

  • tiquie - Thanks for stopping by! Your support has really helped. I have found it enormously helpful to see those who have gone before me. In our toughest times I have looked to my fellow bloggers who are further down the road for inspiration and encouragement.

  • Jay - Thanks so much for your encouragement! It has been a long hard year but we have learned a lot.

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