Author Topic: Student Loan Challenge (2018 Edition)  (Read 12005 times)

birdman2003

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Re: Student Loan Challenge (2018 Edition)
« Reply #50 on: January 19, 2018, 07:57:02 AM »
Congrats!  I totally envy you!
Congratulations! What a feeling of relief and accomplishment you must have.

Thanks you guys!  This community has been a great source of fuel for me as my wife and I focus on these goals.  Now we are going to focus on our mortgage, but after that, the next challenge will be "what should our next challenge be?"  Don't get me wrong, I don't like being in debt, but the one good thing is that you are clearly united in what your goal should be.  After the debt is gone, it's easy to ease off the full-steam-ahead mentality.

Malkynn

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Re: Student Loan Challenge (2018 Edition)
« Reply #51 on: January 19, 2018, 08:48:29 AM »
We just sent our payoff check for $3k, once it clears next week we will be free from our student loans (over $150k)!

HUGE CONGRATS!!!

eightyeighttoone

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Re: Student Loan Challenge (2018 Edition)
« Reply #52 on: January 19, 2018, 08:02:15 PM »

However, Iím not actually making any extra payments on my student debt. Iím saving it up until I have a lump sum large enough to pay the entire balance off. My monthly payments are ~3K/mo, so the lump sum will act as an emergency fund until I can zero out the entire thing. The interest is low, so it wonít cost me much, and it will give me great security in the event of illness or injury before the debt is gone.

Nice work paying so much off in the last 4 years! I have also been tempted by the idea of saving up for one final big payment. I know I would pay for it in interest, but the security would be nice. And it would be just plain old fun to make such a huge lump sum payment. I usually end up just making the regular monthly payments because I can't resist it. :)

Thanks!
I actually had no idea what the number was because it was so many different sources of debt between the two of us and we just kept hacking away at it. I sat down recently and looked at the balances and was pleasantly surprised to see that we were closer to 300k paid off than 200K. (DH is hopeless with remembering numbers and many of the debts were his accounts. I knew how much we had paid, but I drastically mentally over estimated how much we had paid in interest over 4 years)

For me, waiting to pay it all with a lump sum is all about security.
Iím a dentist, and if Iím not working, Iím not paid, and because I have some serious pre-existing conditions, disability insurance is insane and not worth it. So Iím one sprained ankle away from bankruptcy unless I have a solid cushion to float my 3K/mo minimum debt payments. I have disability, but it only pays 2K/mo and only after 3 months.

That stresses me out, so the bigger an emergency fund I have, the less pressure there is on me. Once I use that sum to zero out the debt, the pressure is gone forever. We donít actually need my income.

I got the idea from one of the many many threads about paying off mortgages. People kept explaining that there is absolutely no added security to making extra mortgage payments because unless the mortgage is elimintated, then you are actually increasing your risk by having fewer liquid assets and still having a big monthly payment. If you lose your job just months before finishing paying off your house, you still lose your house AND all of the extra payments, but if you had those extra payments collected and liquid, you could cover a period of job loss.

For some people, the additional motivation of watching that balance drop is worth it. Theyíre likely to put more money towards it if they can see a tangible and immediate change to their balance. Personally, Iím not like that. Feedback doesnít have much impact on my motivation, hence why I didnít even know how much debt we had paid off over 4 years.

It wonít cost me much in interest, at least not this year, because my principal payments are already huge, and Iím paying off other debt this year as well. Just the car, the loan, and my principal payments add up to nearly 50K. If thereís extra, Iíll clear the LOC as well.

That makes a lot of sense about keeping your liquidity top of mind, especially in the mortgage world. One interesting thing I have noticed now that my loans are in repayment. When I make extra payments, it goes toward principal and all, but my service provider also records me as being "paid ahead" by so many months. (I missed the re-fi train and still have mine with Great Lakes) So for example I've made two larger, extra payments since my loans went into repayment, and now I am "paid ahead" until December 2018. I haven't looked into it very hard as I expect I can keep up the pace, but I think I could stop paying for 10 months if an emergency comes up, which is basically the same benefit as saving up for a big payment, with an added bonus of eliminating interest if you can stay the course. Certainly this is one benefit of NOT refinancing (though if you can knock 3% off your interest rate....that's a better deal) :)

eightyeighttoone

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Re: Student Loan Challenge (2018 Edition)
« Reply #53 on: January 19, 2018, 08:06:41 PM »
Starting Balance: 27,416
January Balance: 25,831
Looks like youíre in the homestretch! When do you estimate that youíll get it done?

I have a new job so my bonus will be a bit of a wildcard. If that goes the way I expect, I think November of this year I will have them paid off. Cant wait!

eightyeighttoone

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Re: Student Loan Challenge (2018 Edition)
« Reply #54 on: January 19, 2018, 08:09:20 PM »
We just sent our payoff check for $3k, once it clears next week we will be free from our student loans (over $150k)!
Congratulations! What a feeling of relief and accomplishment you must have.
Congrats Birdman2003, thats awesome!

jeffeverhart383

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Re: Student Loan Challenge (2018 Edition)
« Reply #55 on: January 19, 2018, 08:43:37 PM »
I'm glad someone started this thread. I've been reading the blog for a few years now, but have only stayed on the sidelines of the forums. This seems like an appropriate goal for us to tackle, so I'm jumping in to get some motivation.

I graduated in 2013 with an MA in English from a small state school. Most of grad school was paid through assistantship work, but all of undergrad was through some form of loan. In total around 59K. Luckily my wife's undergrad was paid for by her parents, and we paid out of pocket for her grad degree after some tuition benefits (7K).

For a year or two we payed only the minimums, then we stepped it up for a little while until we had kids (2 y.o. and 1 week old), but it's about time these loans were destroyed. The total I just pulled from Personal Capital lists $18,026 between a mix of federal and private, with rates varying between 3%-6%.

The monthly minimum payments are around $300, and the fed loans have another 6 years, while the private loan (5K) has 16 years left.

We're in a strong income position this year, so there is no reason why with proper planning we can't make 2018 the last year with student loan debt. I'll post back here monthly to update my running total. Here's looking at a big 0 coming soon : )

 

Jim Fiction

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Re: Student Loan Challenge (2018 Edition)
« Reply #56 on: January 21, 2018, 02:15:28 PM »
Welcome to the forum and to the challenge!

Malkynn

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Re: Student Loan Challenge (2018 Edition)
« Reply #57 on: January 21, 2018, 05:17:54 PM »
That makes a lot of sense about keeping your liquidity top of mind, especially in the mortgage world. One interesting thing I have noticed now that my loans are in repayment. When I make extra payments, it goes toward principal and all, but my service provider also records me as being "paid ahead" by so many months. (I missed the re-fi train and still have mine with Great Lakes) So for example I've made two larger, extra payments since my loans went into repayment, and now I am "paid ahead" until December 2018. I haven't looked into it very hard as I expect I can keep up the pace, but I think I could stop paying for 10 months if an emergency comes up, which is basically the same benefit as saving up for a big payment, with an added bonus of eliminating interest if you can stay the course. Certainly this is one benefit of NOT refinancing (though if you can knock 3% off your interest rate....that's a better deal) :)

I literally donít understand half of your paragraph, but I think I get the general sense of it.
Student loans in Canada seem to be very different than in the US.
I had a very small government loan, which has tax deductible interest, but 90% of my student debt is at prime with my bank, so there is no refinancing (and I know literally nothing about the American process of refinincing loans). Being able to make payments in advance, like you can, would be very valuable to me, but not, I donít have that option. My student loan works exactly like a mortgage: if I make a prepayment, that money is locked into the principal and canít be used for cash flow security at all. Now, thatís not actually typical. Bank based student loans are usually LOCs here. Itís a long story, but I ended up with traditional loan and a repayment schedule of 5 years.

So yeah, prepayments onto my loan are not a good idea in my situation.

eightyeighttoone

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Re: Student Loan Challenge (2018 Edition)
« Reply #58 on: January 26, 2018, 07:44:28 PM »

I literally donít understand half of your paragraph, but I think I get the general sense of it.


Despite my rambling, yes, I think you got it! Best wishes as you build your debt bomb. :)

BluePhoenix75

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Re: Student Loan Challenge (2018 Edition)
« Reply #59 on: January 27, 2018, 08:24:54 AM »
Update!

$142,000..........October 2017
$134,237..........December 2017
$128,797..........January 2018 - updated after this month's snowball payment

Malkynn

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Re: Student Loan Challenge (2018 Edition)
« Reply #60 on: January 27, 2018, 04:37:20 PM »
Car is paid off as of today!
Itís nice to have an entire debt item crossed off the ledger and an additional $300 per month in cash flow.

MEJG

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Re: Student Loan Challenge (2018 Edition)
« Reply #61 on: January 28, 2018, 07:02:16 AM »
12/31/17
Loan #1:  $24,241.81   @ 7.73%  required payment $200
Loan #2:  $17,133.55   @ 4%       required payment $105.57
Loan #3   $15501.47     @ 2.1%    required payment  $350

2018 Goal: 
Taxable offset at >$5000 invested at vanguard
#1 down to < $18,000

1/28/17 update
Loan #1:  $24,151.20   @ 7.73% 
Loan #2:  $17,085.10   @ 4%       
Loan #3   $14,830.05   @ 2.1%   

Total: $56,066.35  down $810.45

2018 Goal: 
Taxable offset at >$5000:  $200 set aside
#1 down to < $18,000:      $6,151.20 to go

appleseed

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Re: Student Loan Challenge (2018 Edition)
« Reply #62 on: January 30, 2018, 08:39:24 AM »
Thanks for starting a 2018 thread! I kept trying to update my balances for the end of December in the old thread, instead  I'll start here new for 2018.

These are my husband's loans from 2005ish. They've been low interest and low priority, but I'm so sick of them and sending money to a loan instead of stashing it.

Loans:

DB1 - 2.5% - $5,991.33 (monthly payment - $182.67)
DB2 - 2.5% - $6,388.29 (monthly payment - $194.77)
N1 - 2.625% - $6,171.61 (monthly payment - $91.08) 
N2 - 2.625%  - $5,392.19 (monthly payment - $79.59 

Total - $23,943.42

I only starting increasing our payments in August by about $500/month to the N1 and N2 loans due to lurking in this forum and seeing so many people have great progress.

My goal for 2018 is to get the total under $10k, which will be a stretch but I think doable especially with motivation from here.

End of January update:

DB1 - 2.5% - $5,819.28 (monthly payment - $182.67)
DB2 - 2.5% - $6,149.84 (monthly payment - $194.77)
N1 - 2.625% - $5,824.97 (monthly payment - $91.08) 
N2 - 2.625%  - $5,089.28 (monthly payment - $79.59 

Total - $22,883.37

I sent an extra $500 to N1 and N2 plus threw $55 at D2 to get the total for the first two loans under $12k (it was $23 over so I added to cover February interest, so I don't have to see it over $12k ever again!). It's silly, but paying attention to those milestones (my next one - all 4 loans will be under $6,000) has been motivating to me! Getting the total below $20,000 will be cause for celebration!
« Last Edit: January 30, 2018, 08:41:51 AM by appleseed »

BluePhoenix75

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Re: Student Loan Challenge (2018 Edition)
« Reply #63 on: January 30, 2018, 06:00:12 PM »
Car is paid off as of today!
Itís nice to have an entire debt item crossed off the ledger and an additional $300 per month in cash flow.

Congrats! Bet is rides nice and smooth now!

Malkynn

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Re: Student Loan Challenge (2018 Edition)
« Reply #64 on: January 31, 2018, 07:38:27 AM »
Car is paid off as of today!
Itís nice to have an entire debt item crossed off the ledger and an additional $300 per month in cash flow.

Congrats! Bet is rides nice and smooth now!

Absolutely.
I love having one less item in my mental Rolodex of ďcreditors I oweĒ while still steadily tackling the behemoth student debt.

I struggle constantly though with deciding what to do once the remaining two smaller debts are cleared.

I so want to eliminate my student debt, but itís so low interest and I am in a very high tax bracket and I would DEFINITELY benefit more numbers wise from putting my extra money into a tax deferred savings account and offsetting my high taxes, but that actually leaves me with the highest level of risk because I canít access that money if needed and it extends the time that I live with this enormous 3K/mo debt payment hanging over me.


minimos

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Re: Student Loan Challenge (2018 Edition)
« Reply #65 on: February 01, 2018, 04:09:33 PM »
This month just eeked under the 50k line. Feels like we overcame another hurdle - Woo Hoo!  There is a light at the end of this tunnel!
Updated # are:

Loan 1 - 21,375  (3.28 Variable)
Loan 2 - 28,217  (2.85 Variable)

Total:  49,592

Tackling "hair on fire" student loans, and becoming more mustachian in the process.

Slow&Steady

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Re: Student Loan Challenge (2018 Edition)
« Reply #66 on: February 02, 2018, 07:25:54 AM »
The 2018 challenge has started!  I graduated in 2006 with over $30k and only occasionally focused on paying them off, but I have now been out of school for over 10 years and these need to be gone.

Goals (Jan 2018):  Wait until baby gets here safe and healthy (and maybe until after maternity leave) then pay these suckers off!  Assuming no hiccups with baby or maternity leave I would like to pay these off when or before I return from maternity leave around June/July.

Total: 02/18/16 = $16,505.16 (7.5% interest)
         01/09/17 = $10,572.09
         01/04/18 = $7,849.41
         02/02/18 = $7,743.03
       
         12/31/18 = $0 (Goal)

sweetkerryline

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Re: Student Loan Challenge (2018 Edition)
« Reply #67 on: February 02, 2018, 09:16:52 AM »
February 2018 Update

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82 $8,546.87
Monthly Payment [Monthly Payment Goal] (Required Payment): $1,153.86 [$1,000] ($218.50, $153.86) (Monthly Payment Goal Met)
Total 2018 Payments: $2,854.36

January 2018 Update

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82
Monthly Payment [Monthly Payment Goal] (Required Payment): $1,700.50 [$1,000] ($218.50) (Monthly Payment Goal Met)
Total 2018 Payments: $1,700.50

It's 2018 y'all and time to get cracking on getting rid of our student loans. 2017 was a promising year and I'd like to keep up my momentum.

Background: Lawyer, Graduated in 2013
Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Background: Full Scholarship for Law School (But Cost of Living; Interest) and Near Full Scholarship from Undergrad; Refinanced with SoFi in very late 2013 (3.31%; now 4.025%) and got serious about repaying Loans in 2016.
Total Current Debt: $11,405.63
Required Payment: $206.31
2017 Payments: From $39,919.00 to $11,405.63

2018 Goals: Pay off the remaining 11,405.63 student loans by my birthday (November)
, as they are variable rate loans, by:
(1) Paying a minimum of $1000/month;
(2) using performance bonus (if any) to pay down student loans;
(3) continuing to liquidate non-efficient investments and use proceeds to pay down student loans; I was previously restricted from selling certain assets due to my job.

What are your goals for 2018?
If you have questions about refinancing through sofi, please ask. Here's a referral link: https://www.sofi.com/refer/91/4207

Clara Smith

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Re: Student Loan Challenge (2018 Edition)
« Reply #68 on: February 03, 2018, 01:25:37 AM »
these are some company. IT companies that give loans to students but after graduation, they have to work for their company. In short, they invest in intelligent students. :)

JustGettingStarted1980

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Re: Student Loan Challenge (2018 Edition)
« Reply #69 on: February 03, 2018, 07:21:54 AM »
Reposted from 2017 Edition of Student Loan Challenge

Originally in 2008 >$270,000 in student debt between my wife and I
After 9.5 Years -->    PAID OFF on 2/1/18 

Dug into the E-Fund to pay off the last $15,807 this week. Very very very satisfying. Went to a nice dinner with the wife (and no kids!) to properly celebrate. It's great to be able to move on from this stage!

JGS
"If you can keep your head when all about you
 Are losing theirs and blaming it on you,
If you can trust yourself when all men doubt you,
 But make allowance for their doubting too.....

If you can dreamóand not make dreams your master;
 If you can thinkóand not make thoughts your aim;
If you can meet with Triumph and Disaster,
 And treat those two impostors just the same"

MrUpwardlyMobile

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Re: Student Loan Challenge (2018 Edition)
« Reply #70 on: February 03, 2018, 08:12:07 AM »
Reposted from 2017 Edition of Student Loan Challenge

Originally in 2008 >$270,000 in student debt between my wife and I
After 9.5 Years -->    PAID OFF on 2/1/18 

Dug into the E-Fund to pay off the last $15,807 this week. Very very very satisfying. Went to a nice dinner with the wife (and no kids!) to properly celebrate. It's great to be able to move on from this stage!

JGS
congratulations for getting the student loan debt monster slain
http://upwardlymobile.life

Refinance Student loans with Earnest.  Theyíll pay you $200 and their rates are cheaper than SoFi.

appleseed

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Re: Student Loan Challenge (2018 Edition)
« Reply #71 on: February 03, 2018, 08:48:47 AM »
Reposted from 2017 Edition of Student Loan Challenge

Originally in 2008 &gt;$270,000 in student debt between my wife and I
After 9.5 Years --&gt;    PAID OFF on 2/1/18 

Dug into the E-Fund to pay off the last $15,807 this week. Very very very satisfying. Went to a nice dinner with the wife (and no kids!) to properly celebrate. It's great to be able to move on from this stage!

JGS
You are an inspiration!! Congratulations!

EndInSight

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Re: Student Loan Challenge (2018 Edition)
« Reply #72 on: February 03, 2018, 09:51:42 AM »
Hello, this is my first post! I found MMM in 2013/14 when I joined the work force and the reality of my student loan situation finally hit me.  When I came out of my veterinary residency program the summer of 2013 I had about $300k in student loan debt.  The debt continued to rise even as I made my monthly payments.  With the help of info I found on MMM, I refinanced, sold stuff, made changes to live as frugally as possible, quit my job and left the area for a higher paying one (I now make 3 times what I made previously)...and the loans are now at about $129k.

I recently decided that I would love to have the loans paid off as a 40th birthday present to myself.  That gives me 16 months.  I think this will be a huge stretch (I am also starting a side business), but a worthy goal.  It probably makes more financial sense to place more funds into investments instead of student loans...but I figure, it's only 16 months, and this will make me feel SO much better, and really feel like a huge accomplishment, so I'm going to try to do it.

One piece of the puzzle is to refinance further with First Republic Bank - I wanted to share this with all of you because I think it could be very helpful.  They are offering a fixed rate refi for student loans: 5-15 years, 1.95 to 2.95%.  You need (I believe) a 750 credit score, have to live near a First Republic branch, need to open a checking account, have $3k in it at all times and have your work set up a direct deposit into the account (not sure what the situation is for self-employed folk), and have 15% liquidity (401k doesn't count)...yeah, lots of requirements, but the rates are excellent.

Hope some of you (and me) can take advantage of this. 

Good luck to all of us!!!

MrUpwardlyMobile

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Re: Student Loan Challenge (2018 Edition)
« Reply #73 on: February 06, 2018, 08:38:43 PM »
2/1/18 - $87,728 .74 @2.57% variable rate
« Last Edit: February 22, 2018, 12:07:13 PM by MrUpwardlyMobile »
http://upwardlymobile.life

Refinance Student loans with Earnest.  Theyíll pay you $200 and their rates are cheaper than SoFi.

Malkynn

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Re: Student Loan Challenge (2018 Edition)
« Reply #74 on: February 07, 2018, 06:11:28 AM »
Yep.

The more I think about this, the more I think Iím going to *not* accelerate my debt repayment.
At my current pay-off rate, my debt will be gone in just over 3 years. I pay a minimum of ~30K per year onto the principle and thereís just over 100K left.

I also have a 45% marginal tax rate right now, so my top end earnings are only 55c on the dollar unless I offset them with investments in my tax deferral account. Once my debt is paid off, Iíll likely cut back my hours more and never get as much benefit from my tax deferral accounts.

My debt interest is at prime, so Iím giving up massive gains for the sake of being debt free about a year-ish earlier. When I crunch the numbers, that seems really stupid, and a highly emotional decision, which isnít my style.

I still have the loan and the LOC to clear, which will take several months, so I have some time to think about it, but as much as I like the idea of being rid of this loan as soon as possible, I also really like the idea of killing the loan AND having a solid jump start on my savings AND not having wasted tens of thousands on taxes just for the sake of my warm and fuzzy feelings.

Slow&Steady

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Re: Student Loan Challenge (2018 Edition)
« Reply #75 on: February 07, 2018, 07:11:35 AM »
The 2018 challenge has started!  I graduated in 2006 with over $30k and only occasionally focused on paying them off, but I have now been out of school for over 10 years and these need to be gone.

Goals (Jan 2018):  Wait until baby gets here safe and healthy (and maybe until after maternity leave) then pay these suckers off!  Assuming no hiccups with baby or maternity leave I would like to pay these off when or before I return from maternity leave around June/July.

Total: 02/18/16 = $16,505.16 (7.5% interest)
         01/09/17 = $10,572.09
         01/04/18 = $7,849.41
         02/02/18 = $7,743.03
       
         12/31/18 = $0 (Goal)

So I did some forward looking budgets the other day.  Assuming everything goes as planned with baby and maternity leave, I should be able to make a $4k payment in July and just around a $3k payment in Aug. and several other smaller extra payments in the 2nd half of the year!  I am really excited to see this debt disappear, now if I could just stop wishing away half the year just to get to this point.

BluePhoenix75

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Re: Student Loan Challenge (2018 Edition)
« Reply #76 on: February 10, 2018, 12:38:07 PM »
Update!

$142,000..........October 2017
$134,237..........December 2017
$128,797..........January 2018 - updated after this month's snowball payment


Update!

$142,000..........October 2017
$134,237..........December 2017
$128,797..........January 2018
$126,976..........February 2018  - 1/2 of February snowball thrown!

palebluedot

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Re: Student Loan Challenge (2018 Edition)
« Reply #77 on: February 11, 2018, 09:46:51 PM »

Welcome back everyone! Happy to say this will be my last year participating in the student loan challenge. I will be done in the fall, just about 3 years after finishing school in 2015 @ total debt of ~22k.

Update for January payment total $750:



My February payments are posted.



I'll be receiving a tax refund (Meh I need to adjust my withholdings/allowances) check in a few weeks. I'll be putting another dent on my loans from that.

sweetkerryline

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Re: Student Loan Challenge (2018 Edition)
« Reply #78 on: February 13, 2018, 12:08:06 PM »
You are all killing it during Q1! Let's keep up the momentum and throw our refunds, bonuses and miscellaneous dollars at these loans. Good luck!
If you have questions about refinancing through sofi, please ask. Here's a referral link: https://www.sofi.com/refer/91/4207

Malkynn

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Re: Student Loan Challenge (2018 Edition)
« Reply #79 on: February 15, 2018, 04:07:25 AM »
Weíve paid off about 280K in the last 4 years.

We have ~140K left as of now
-111K in student debt at prime - ~3K monthly payment
-11K DHís loan at ~4% -  $500 monthly payment
-6K left on car loan 2.9% $300 monthly payment
-11K on LOC ~4.99%

Paid down 14K, 126K remaining

-106K student debt at prime, ~3K monthly payment
-<10K DHís loan at ~4%, $500 monthly payment
-car is paid off
-10K on LOC 4.99%, interest only min payment

We are opening another LOC of 14K at a promotional rate of 2.99% for one year if we balance transfer the loan and part of the other LOC, which frees up another $500/mo in cash flow.
With my highly variable income, I much prefer revolving credit over fixed payments.
Iíve been sick all week this week, so my income will be literally zero. The fewer fixed payments we have, the lower the stress.




tanzee

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Re: Student Loan Challenge (2018 Edition)
« Reply #80 on: February 15, 2018, 05:25:44 AM »
I had a good December in terms of student loan payoff.  I'm set for a couple more good months with tax returns etc.  My highly ambitious goal for this year is to have the loans totally paid off, though I'm not sure how feasible that is.  Here is my situation:

Loan 1:  4178.88  @  5.16%
Loan 2:  1802.99  @  5.16%
Loan 3:  9517.22  @  5.31%

Total:   15,499.09

A great month for me!  By the end of the month, I will be paid down to about 13,197 total.  I am in the midst of a frugal month challenge and I got my tax returns to boot.  I'm hoping to have these paid off by August. 

tanzee

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Re: Student Loan Challenge (2018 Edition)
« Reply #81 on: February 15, 2018, 05:27:18 AM »
I had a good December in terms of student loan payoff.  I'm set for a couple more good months with tax returns etc.  My highly ambitious goal for this year is to have the loans totally paid off, though I'm not sure how feasible that is.  Here is my situation:

Loan 1:  4178.88  @  5.16%
Loan 2:  1802.99  @  5.16%
Loan 3:  9517.22  @  5.31%

Total:   15,499.09

A great month for me!  By the end of the month, I will be paid down to about 13,197 total.  I am in the midst of a frugal month challenge and I got my tax returns to boot.  I'm hoping to have these paid off by August.

I should add that I'm currently making about 25k per year between my two jobs.  I'm a graduate student, so making money can be a bit challenging.  But I'm living lean and crushing these loans.  It's so much fun!

Jeff K

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Re: Student Loan Challenge (2018 Edition)
« Reply #82 on: February 15, 2018, 07:20:37 AM »
As of today here's what I've got:

$39,661 @ 3.99% (fixed)
$4663 @ 3.75% (variable)

Started with around 107k at the beginning of last year and hoping to finally kill them off this year!  Strategy has been to eliminate the variable loans first and then tackle the large fixed rate one.  The fixed rate one is a consolidated refi of 6 different federal loans that originally had 6.55-6.8% rates.
Budgets can be better:

https://infibudget.com/

recklesslysober

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Re: Student Loan Challenge (2018 Edition)
« Reply #83 on: February 15, 2018, 03:31:53 PM »
$1,400 principal paid so far / $40,000 = 3.5%

$3,900/$40,000 = 9.75%

Jim Fiction

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Re: Student Loan Challenge (2018 Edition)
« Reply #84 on: February 18, 2018, 02:55:56 PM »
My largest remaining loan just got transferred to another servicer (ironically to Discover, from whom I originally got the loan). As a result, I'm locked out of making payments for a few days while the transfer completes. The auto-withdrawal occurred just before the transfer, but now I want to make my extra payment and I can't. Darn it!

Perhaps I should post this into the mustachian people's problems thread. I mean, normal people don't derive this much joy from paying bills, right?

MrUpwardlyMobile

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Re: Student Loan Challenge (2018 Edition)
« Reply #85 on: February 18, 2018, 03:15:12 PM »
My largest remaining loan just got transferred to another servicer (ironically to Discover, from whom I originally got the loan). As a result, I'm locked out of making payments for a few days while the transfer completes. The auto-withdrawal occurred just before the transfer, but now I want to make my extra payment and I can't. Darn it!

Perhaps I should post this into the mustachian people's problems thread. I mean, normal people don't derive this much joy from paying bills, right?
I did my taxes thinking about how awesome it would be to get the returns and make extra student loan payments. Mustachian problems including waiting for the state and federal returns so I can make extra student loan payments.
http://upwardlymobile.life

Refinance Student loans with Earnest.  Theyíll pay you $200 and their rates are cheaper than SoFi.

Jim Fiction

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Re: Student Loan Challenge (2018 Edition)
« Reply #86 on: February 18, 2018, 03:39:24 PM »
My largest remaining loan just got transferred to another servicer (ironically to Discover, from whom I originally got the loan). As a result, I'm locked out of making payments for a few days while the transfer completes. The auto-withdrawal occurred just before the transfer, but now I want to make my extra payment and I can't. Darn it!

Perhaps I should post this into the mustachian people's problems thread. I mean, normal people don't derive this much joy from paying bills, right?
I did my taxes thinking about how awesome it would be to get the returns and make extra student loan payments. Mustachian problems including waiting for the state and federal returns so I can make extra student loan payments.

I know the feeling, though this year my wife and I owe around $1,000 between Fed and State. They're prepared and ready to go, I just I have actually filed them yet - been too busy preparing other people's taxes to bother! (I'm a tax accountant).

MrUpwardlyMobile

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Re: Student Loan Challenge (2018 Edition)
« Reply #87 on: February 18, 2018, 03:52:30 PM »
My largest remaining loan just got transferred to another servicer (ironically to Discover, from whom I originally got the loan). As a result, I'm locked out of making payments for a few days while the transfer completes. The auto-withdrawal occurred just before the transfer, but now I want to make my extra payment and I can't. Darn it!

Perhaps I should post this into the mustachian people's problems thread. I mean, normal people don't derive this much joy from paying bills, right?
I did my taxes thinking about how awesome it would be to get the returns and make extra student loan payments. Mustachian problems including waiting for the state and federal returns so I can make extra student loan payments.

I know the feeling, though this year my wife and I owe around $1,000 between Fed and State. They're prepared and ready to go, I just I have actually filed them yet - been too busy preparing other people's taxes to bother! (I'm a tax accountant).

Ah.  Fun.  Because of the way my pay was last year (big quarterly payments compared to the regular paychecks), my quarterly payments were withheld at rates that assumed every pay check was that size.  As a result, my return is a few thousand dollars (much larger than its ever been).
http://upwardlymobile.life

Refinance Student loans with Earnest.  Theyíll pay you $200 and their rates are cheaper than SoFi.

Jim Fiction

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Re: Student Loan Challenge (2018 Edition)
« Reply #88 on: February 18, 2018, 04:05:17 PM »
My largest remaining loan just got transferred to another servicer (ironically to Discover, from whom I originally got the loan). As a result, I'm locked out of making payments for a few days while the transfer completes. The auto-withdrawal occurred just before the transfer, but now I want to make my extra payment and I can't. Darn it!

Perhaps I should post this into the mustachian people's problems thread. I mean, normal people don't derive this much joy from paying bills, right?
I did my taxes thinking about how awesome it would be to get the returns and make extra student loan payments. Mustachian problems including waiting for the state and federal returns so I can make extra student loan payments.

I know the feeling, though this year my wife and I owe around $1,000 between Fed and State. They're prepared and ready to go, I just I have actually filed them yet - been too busy preparing other people's taxes to bother! (I'm a tax accountant).

Ah.  Fun.  Because of the way my pay was last year (big quarterly payments compared to the regular paychecks), my quarterly payments were withheld at rates that assumed every pay check was that size.  As a result, my return is a few thousand dollars (much larger than its ever been).

Interesting, you would think whomever did your payroll would have adjusted that.

As for my tax bill, I don't mind too much as its not that big a number. Plus, I mocked out our taxes back in late October and things wound up almost spot on so there was no shock. A refund would be nice, so that I could put that money towards paying off the loans, but I've had the money the whole time and that's what I've been using it for, so no complaints here!

MrUpwardlyMobile

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Re: Student Loan Challenge (2018 Edition)
« Reply #89 on: February 18, 2018, 05:10:46 PM »
My largest remaining loan just got transferred to another servicer (ironically to Discover, from whom I originally got the loan). As a result, I'm locked out of making payments for a few days while the transfer completes. The auto-withdrawal occurred just before the transfer, but now I want to make my extra payment and I can't. Darn it!

Perhaps I should post this into the mustachian people's problems thread. I mean, normal people don't derive this much joy from paying bills, right?
I did my taxes thinking about how awesome it would be to get the returns and make extra student loan payments. Mustachian problems including waiting for the state and federal returns so I can make extra student loan payments.

I know the feeling, though this year my wife and I owe around $1,000 between Fed and State. They're prepared and ready to go, I just I have actually filed them yet - been too busy preparing other people's taxes to bother! (I'm a tax accountant).

Ah.  Fun.  Because of the way my pay was last year (big quarterly payments compared to the regular paychecks), my quarterly payments were withheld at rates that assumed every pay check was that size.  As a result, my return is a few thousand dollars (much larger than its ever been).

Interesting, you would think whomever did your payroll would have adjusted that.

As for my tax bill, I don't mind too much as its not that big a number. Plus, I mocked out our taxes back in late October and things wound up almost spot on so there was no shock. A refund would be nice, so that I could put that money towards paying off the loans, but I've had the money the whole time and that's what I've been using it for, so no complaints here!
. Itís basically the way ADP does their default payroll services plan for small business.  Plus, itís really a no harm, no foul situation since itís easier to spend a windfall properly versus spending smaller amounts spread over time.
http://upwardlymobile.life

Refinance Student loans with Earnest.  Theyíll pay you $200 and their rates are cheaper than SoFi.

sweetkerryline

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Re: Student Loan Challenge (2018 Edition)
« Reply #90 on: February 19, 2018, 01:42:53 PM »
February 2018 Update (Part 2)

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82 $8,546.87 $5,567.08
Monthly Payment [Monthly Payment Goal] (Required Payment): $4,053.86 [$1,000] ($218.50, $153.86) (Monthly Payment Goal Met)

Total 2018 Payments: $6,854.36

Details: This month I got an unexpected tax refund due to overpaying into Medicare (mid-year job change) and I put about $3,000 of that into my loans in addition to my usual payments. It's now looking like I might finish closer to July than November, which is nice.

The only weird thing about my loan is that it is a SoFi loan and SoFi provides me with a no-cost access to a roboadvisor as long as I have the loan outstanding. I am trying to decide at what point to stop paying the loans down more than is necessary. Or if, given that its a variable rate loan, I should just pay it all the way off and then shift my money back into a Vanguard account. We'll see.

February 2018 Update

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82 $8,546.87
Monthly Payment [Monthly Payment Goal] (Required Payment): $1,153.86 [$1,000] ($218.50, $153.86) (Monthly Payment Goal Met)
Total 2018 Payments: $2,854.36

January 2018 Update

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82
Monthly Payment [Monthly Payment Goal] (Required Payment): $1,700.50 [$1,000] ($218.50) (Monthly Payment Goal Met)
Total 2018 Payments: $1,700.50

It's 2018 y'all and time to get cracking on getting rid of our student loans. 2017 was a promising year and I'd like to keep up my momentum.

Background: Lawyer, Graduated in 2013
Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Background: Full Scholarship for Law School (But Cost of Living; Interest) and Near Full Scholarship from Undergrad; Refinanced with SoFi in very late 2013 (3.31%; now 4.025%) and got serious about repaying Loans in 2016.
Total Current Debt: $11,405.63
Required Payment: $206.31
2017 Payments: From $39,919.00 to $11,405.63

2018 Goals: Pay off the remaining 11,405.63 student loans by my birthday (November)
, as they are variable rate loans, by:
(1) Paying a minimum of $1000/month;
(2) using performance bonus (if any) to pay down student loans;
(3) continuing to liquidate non-efficient investments and use proceeds to pay down student loans; I was previously restricted from selling certain assets due to my job.

What are your goals for 2018?
« Last Edit: February 19, 2018, 01:46:00 PM by sweetkerryline »
If you have questions about refinancing through sofi, please ask. Here's a referral link: https://www.sofi.com/refer/91/4207

MrUpwardlyMobile

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Re: Student Loan Challenge (2018 Edition)
« Reply #91 on: February 19, 2018, 02:52:15 PM »
February 2018 Update (Part 2)

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82 $8,546.87 $5,567.08
Monthly Payment [Monthly Payment Goal] (Required Payment): $4,053.86 [$1,000] ($218.50, $153.86) (Monthly Payment Goal Met)

Total 2018 Payments: $6,854.36

Details: This month I got an unexpected tax refund due to overpaying into Medicare (mid-year job change) and I put about $3,000 of that into my loans in addition to my usual payments. It's now looking like I might finish closer to July than November, which is nice.

The only weird thing about my loan is that it is a SoFi loan and SoFi provides me with a no-cost access to a roboadvisor as long as I have the loan outstanding. I am trying to decide at what point to stop paying the loans down more than is necessary. Or if, given that its a variable rate loan, I should just pay it all the way off and then shift my money back into a Vanguard account. We'll see.

February 2018 Update

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82 $8,546.87
Monthly Payment [Monthly Payment Goal] (Required Payment): $1,153.86 [$1,000] ($218.50, $153.86) (Monthly Payment Goal Met)
Total 2018 Payments: $2,854.36

January 2018 Update

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82
Monthly Payment [Monthly Payment Goal] (Required Payment): $1,700.50 [$1,000] ($218.50) (Monthly Payment Goal Met)
Total 2018 Payments: $1,700.50

It's 2018 y'all and time to get cracking on getting rid of our student loans. 2017 was a promising year and I'd like to keep up my momentum.

Background: Lawyer, Graduated in 2013
Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Background: Full Scholarship for Law School (But Cost of Living; Interest) and Near Full Scholarship from Undergrad; Refinanced with SoFi in very late 2013 (3.31%; now 4.025%) and got serious about repaying Loans in 2016.
Total Current Debt: $11,405.63
Required Payment: $206.31
2017 Payments: From $39,919.00 to $11,405.63

2018 Goals: Pay off the remaining 11,405.63 student loans by my birthday (November)
, as they are variable rate loans, by:
(1) Paying a minimum of $1000/month;
(2) using performance bonus (if any) to pay down student loans;
(3) continuing to liquidate non-efficient investments and use proceeds to pay down student loans; I was previously restricted from selling certain assets due to my job.

What are your goals for 2018?

You know, I have similar qualms about those last few payments when I get to where you are.  The big student loan paid at rapid speed has made my credit score into the race for perfect credit due to credit utilization ratios.  No joke, it increases every 2-3 months and is well above 800 now.  When I pay off that loan, my credit score will likely drop hard because I will have very little on credit at all.   A small 0% interest car loan from a modest car, and two relatively low limit credit cards.  I'm not planning on buying a house before I pay off the student loans so there will be no big additions in the meantime. 

I question whether to pay the last 15k rapidly or whether I should pay at the normal rate so that I ultimately qualify for the best possible rate on a mortgage when I buy a house.  Ultimately, I think I'm going to just pay it off though.  Like yours, my student loan has a variable rate.  I'm willing to bet the rates will continue to climb for a while so paying sooner has the added benefits.  I'd rather pay this off and then start pumping the freed up cash flow into a taxable investment account and my savings account for a house.  Once my student loans are paid off, I want to increase my cash position to $120,000.00 before I buy a house. 
http://upwardlymobile.life

Refinance Student loans with Earnest.  Theyíll pay you $200 and their rates are cheaper than SoFi.

Jim Fiction

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Re: Student Loan Challenge (2018 Edition)
« Reply #92 on: February 21, 2018, 08:29:17 PM »
Beginning balance and goals for 2018

Loan 1: $461 @ 0.40%
Loan 2: $2,859 @ 2.15%
Loan 3: $12,302 @ 4.50%

Total: $15,622

February payments are in the books:

Loan 1: $411 $362 @ 0.40%
Loan 2: $2,768 $2,681 @ 2.15%
Loan 3: $10,941 $9,417 @ 4.50%

Total: $14,120 $12,460

Hit sub-10k on loan 3!

comicguy

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Re: Student Loan Challenge (2018 Edition)
« Reply #93 on: February 22, 2018, 05:27:16 AM »
Worked out tails off to try and pay off the last of my student loans in 2017 but just fell short by 900. So in Jan made a 600 payment and last week paid off the balance!! woohoo!! Feels good to have that gone! Just waiting for the payoff letter to make it official.

sweetkerryline

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Re: Student Loan Challenge (2018 Edition)
« Reply #94 on: February 22, 2018, 08:19:39 AM »
Worked out tails off to try and pay off the last of my student loans in 2017 but just fell short by 900. So in Jan made a 600 payment and last week paid off the balance!! woohoo!! Feels good to have that gone! Just waiting for the payoff letter to make it official.

Congratulations!!! We are so excited for you! I look forward to hearing what you turn your focus toward.
If you have questions about refinancing through sofi, please ask. Here's a referral link: https://www.sofi.com/refer/91/4207

MrUpwardlyMobile

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Re: Student Loan Challenge (2018 Edition)
« Reply #95 on: February 22, 2018, 12:07:28 PM »
2/1/18 - $87,728 .74 @2.57% variable rate
2/22/18 - $81,748.39 @2.57% variable rate (Put my after tax amount from my new job's signing bonus into attacking the balance).
http://upwardlymobile.life

Refinance Student loans with Earnest.  Theyíll pay you $200 and their rates are cheaper than SoFi.

eightyeighttoone

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Re: Student Loan Challenge (2018 Edition)
« Reply #96 on: February 23, 2018, 08:27:11 PM »
Starting Balance  : 27,416
January Balance  : 25,831

February Balance : 24,047

I got my tax return and should get my bonus next week. I was all excited to make a big extra payment at the end of February. And then some bonus sewage backed up into our basement! I must have some serious gravitas this month. :) So Im in a holding pattern until we figure out how extensive the repairs need to be. Crossing my fingers most of this money can still go to student loans! Also very glad for frugal habits that make unexpected expenses much less stressful!

eightyeighttoone

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Re: Student Loan Challenge (2018 Edition)
« Reply #97 on: February 23, 2018, 08:29:38 PM »
February 2018 Update (Part 2)

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82 $8,546.87 $5,567.08


Congrats Sweetkerryline! You're so close!
« Last Edit: February 23, 2018, 08:33:01 PM by eightyeighttoone »

eightyeighttoone

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Re: Student Loan Challenge (2018 Edition)
« Reply #98 on: February 23, 2018, 08:31:40 PM »
Worked out tails off to try and pay off the last of my student loans in 2017 but just fell short by 900. So in Jan made a 600 payment and last week paid off the balance!! woohoo!! Feels good to have that gone! Just waiting for the payoff letter to make it official.

Congratulations!!! We are so excited for you! I look forward to hearing what you turn your focus toward.

Way to go, Comicguy!

sweetkerryline

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Re: Student Loan Challenge (2018 Edition)
« Reply #99 on: February 25, 2018, 12:11:57 AM »
February 2018 Update (Part 2)

Debt at Graduation: Law School (Around $90,000); Undergraduate (Around $15,000)
Total Current Debt: $11,405.63 $9,735.82 $8,546.87 $5,567.08


Congrats Sweetkerryline! You're so close!

Thank you! You are getting close as well I see. Great use of the tax refund!
If you have questions about refinancing through sofi, please ask. Here's a referral link: https://www.sofi.com/refer/91/4207