Yes. Actually, that number comes from this one stinker of a loan (check out that doozy of an interest rate):
Um. Yeah. So, this really helped me make some decisions about where our money would be going after the car is paid off in October! Definitely need to pump all that money into this one loan to get that baby taken care of. Private student loans: what a racket!
Then we’ll start sending all of our Debt Eradication money to this account:
That was calculated with the minimum payment (which is what we’re currently paying).
If we are able to spend around $900 a month (which I hope is a conservative estimate, but who knows), instead, we get this more satisfying result:
Then, we’ll tackle my loans (yes, those above are all my husband’s loans…. geesh):
Of course, we would be able to pay more than the minimum on those at that point, so let’s project ahead and imagine what it would be like if we could pay $900 a month on these….
Something else I have to remind myself is that when we actually have the ability to start paying these down, the overall balances will be lower (perhaps not much in some cases, but at least enough to make a difference in these calculations). I’m not going to geek out and do that much math, but I do think it’s worth really examining the timeframe and the amount of money going down the drain in interest.
What does your student loan repayment timeframe look like? It’s almost guaranteed to look better than this, amiright?
P.S. This is not a sponsored post. You probably knew that, but still. Yeah.