I honestly don't know why I put this post off for so long... Every time I sat down to write it, I ended up writing about something else. I think it's largely based on the fact that I haven't put anything extra towards my loans in a long time and the stagnancy of those six figures is really starting to get to me.
For the Month of August:
$944.12 total I paid towards my student loans.
$944.12 Minimum Loan Payments
$0.00 Snowball Payment
$521.28 Amount to Interest (55.2%)
$422.84 Amount to Principal (44.8%)
Percentage of Principal Paid (0.35%)
D-E-P-R-E-S-S-I-N-G. I know I've got to start hammering away at my loans, but I keep going back and forth about which one to pay extra towards. The precision scientist in me says, pay off #2 (17k), the highest interest rate, first!! The impulsive side of me says, pay off #5 (8.9k), we need a motivational win ASAP! And the crazy side of me that thinks buying a house might be a good idea says, pick #3, pick #3! (10.8k) High interest and a low-ish balance, fast way to reduce debt-to-income ratio and knock out a high interest loan! Hmmm...
My first inclination was to knock away #5, my lowest balance just to feel like I am making some huge progress. It would be purely an emotional win. Then I decided that $2,000 more isn't really that much bigger of a commitment and since the interest rate is significantly higher I would be coming out farther ahead in the end.
I think it's a good trade off, and since the decision is made I can finally stop whining about it on my blog! lol, so sorry.
Hope you all had a great weekend!