Puzzled by credit card debt? The southern California couple paid off a huge lump of debt in a small piece of time. Here’s how California couple paid off $18000?
When Sherrie and Michael Lloyd first got married, they had nine credit cards, and they were storing up significant debt. Six years later, this southern California couple has two kids under the age of four and they’re debt-free with good savings to boot. Here’s how the Lloyds achieved this extraordinary feat.
How California couple paid off $18000?
The cause of debt?
The Lloyds had collected some medical bills from Sherrie’s two pregnancies and Michael’s appendicitis. Then, two years ago, the couple decided to buy a house, but they miscalculated the cost of homeownership. While they had no difficulty paying the lease and services, they hadn’t factored in unexpected expenses. While they were able to get the medical bills under control, the home repairs added up fast.
How they paid it off?
After signing up for a six-week class called Financial Peace, they got it through their church. The Lloyd was motivated to take charge. Sherrie says the class taught her to see that “you can’t use your money for the future when it’s attached to the past.”
They first saved up to $1000 for an emergency fund. Their last and most difficult step was to transfer their remaining debt $18,000 onto one interest-free card and then give themselves an 18-month deadline to pay it off.
What they sacrificed? – California Couple Paid Off $18000
To make this happen, they had to give up a few tours. Rather than cost airfare to visit family on the east coast, they elected to save up airline points. They managed to save money on the kids’ clothes.
For us, it was important to understand our aims and pay off debt,” Sherrie says.
Learn more at: Paying off Credit Card Debt
