Single Mom Money: An Update

Friday, May 19, 2017

My last update on Single Mom Money was from March of last year! What! Sorry guys - it's been a year but I promise I'm still working on my finances.

So what's the same?

  • Still following the Dave Ramsey plan and on Baby Step 2 (Snowball debt)
What's different?
  • I traded in my car (and $606 monthly payment!)
  • Paid off debt - about $20,000 worth
Yep - you read that right, I debated over and over if I was going to trade in my beloved CRV in. I had a crazy high payment and about a year and a half to two years left to pay on it. Roughly translated to $13,000 worth of debt left on the car. I wasn't originally planning on trading in my car. I loved it and wanted to keep it. But something clicked in me in November 2016 and I was perusing the internet and stumbling upon a Hyundai Sonata with only 62,000 miles ... but it was a 2007 (nearly 10 years old). I decided to take the girls out with me and test drive it. Hoping to shake it out of my system and carry on my way. 

I pulled up, told them exactly what car I wanted to see, looked at it inside and out, put my car seats in the car and took myself, the twins and the car salesman on a test drive. Afterwards we walked in and chatted about the car and price. And I walked out of the place putting $2,000 down and retrieving a very small loan from a credit union where my interest payment was only $170. I had a $200 car payment since October but have since paid off the loan in full last month. So today - NO CAR PAYMENT. The Hyundai is not my dream car at all - but it works and is a good size for me and the girls. I nicknamed her Sally as in Sensible Sally - because she's legit, like a sensible mom-car. It has less miles than my CRV had when I traded it in, and I've had no problems with it so far. And again - NO CAR PAYMENT.

I've also been diligent about paying off the rest of my debt which is mostly student loans and one small credit card. In 2016 I paid off over $20,000 worth of debt - getting rid of 3 out of my 7 student loans. I'll be paying off another student loan by June and will be left with my small credit card ($3,000) and two student loans. I should be in a good position to start saving all throughout 2018 for a down payment on a home just in time for the twins to start kindergarten - fingers crossed in my ideal neighborhood. 

So whew! I've been quiet but you can see I've been up to a lot! I hope you're taking care of your single mama money too! 

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