Some serious snowflaking plans

I’ve been completely slammed at work and my class load is intense – so much reading.  I’m trying to hang in there but OMG sometimes I just want to have a drink and let loose.  By Sunday evening, I need to have done all my accounting homework, take a quiz and then read 2 chapters in American Politics & take another test.  I’ve been reading nonstop for a week and a half now. I’m tired :/

This week, two, yes, two fabulous things happened to me.  First, I received a packet in the mail from Bank of America that they are going to permanently modify our mortgage. Payments are going to be $1661.73.  Our trial monthly payments were $1725.25 and our original mortgage payment was $2044.15.  We get to save $382.42 a month! OMFG! I can’t believe it!  We signed the documents & got the required cashier’s check out via Fedex today.

The second awesome thing to happen was I paid off the remaining balance of our Capital One card.  Total of $477 and some odd cents.  I’m so happy this stupid thing is paid off.  It won’t be used again & currently sits in a box in my closet.  I only put my Weight Watchers’ monthly bill on it and set up an auto payment to pay it in full.  Hopefully, this will increase my credit score since I want a bigger house soon.

Up next is my Visa card @ $5,500.  DH & I have bonuses coming in & as much as I want to use it to pay towards the Visa, I can’t sleep with not having a good emergency fund.  I’m planning on saving all the bonus until our baby emergency fund hits $5,000, if there is anything left over, I will definitely be using that towards this debt.  For now, I’m thinking that since we saved $382.42 per month & I budget about $450 for credit cards, with a total of $832.42.  I currently also save $650 per paycheck into savings and once the baby emergency fund hits $5,000, I’ll stop my contributions for now.  I will use this towards paying the Visa. Essentially, after the 17th of this month, I should have the following done:

  • Baby Emergency Fund fully funded at $5,000
  • $832.42 + 1300 ($650*2 paychecks) = $2,132.42 snow flake

Which means, I will be done with this visa card by 2.5 months.

After that, I’m going to tackle my car payments.  I currently pay $580.36 a month and if I throw the huge snow ball of $2,132.42 a month towards the car, the car should be paid off faster than the 5 years.  $2,132.42 + $580.36 = $2,712.78.  Current, loan balance is around $31,418.94.  If I can stick to this plan, ahem if Murphy can leave me the hell alone, I should be able to pay the car off in 11.58 months.  OMFG that’s like by next January.

Once the car is paid off, I’m planning on snow balling $3,293.15 ($2,712.78 + 580.36) towards the Line of Credit, balance of $12,138.75.  I currently pay $250 a month towards this account.  $12,138.75/$3,543.15 = 3.4 months.

Sallie Mae Students Loans would be up after that.  I’m in deferment until I graduate in 2 years but with this plan, I should I have the SL paid off before then.  $13,000 / $3,543.15 per month until it’s paid off, which is about 3.6 months.

Basically, I can have ALL of our debt paid off in 21 months.  21 MONTHS.  I have a fantastic snowball calculator that I’m planning on putting all my debt into and see if this is really doable for us.

In the meantime, can you say that I’m excited?  I’M SO EXCITED!!






11 thoughts on “Some serious snowflaking plans

    • I am so stinking excited about the mortgage. It has been a hellish 2 1/2 years of constant communications (ahem, me calling every fricking day & then finally getting in touch with their president’s office). I actually can’t quite believe that it’s happening! Now, even though the house is underwater, I’m okay with the mortgage amount because I feel like it’s more in line with the value of my house. Have a great Sunday!

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  2. Awesome job.. You are really doing fantastic on your goals.

    How did you guys pull off the payment adjustment on your mortgage? You didn’t have to refinance, I assume. Board was willing to adjust the payments and rates just from calling and complaining?

    If so… You must be very persuasive. I can never get the banks to budge.

    • It took me 2 1/2 years. maybe 3 years to get them to agree. We had a significant loss of income in 2009 which prompted me to call BOA. They ignored our requests for a long time and then for whatever reason they started to send us these letters saying they can help us with our mortgage. We’d fill out the paperwork, turned it all in and then get denied. We did this so many times I lost count. We finally started being a bit more stable in income and BOA started saying well your income is great so you SHOULD be able to pay this, never mind that our debt to income ratio was through the roof because of the dip in come. I kept calling and calling. Then I started to call their office of the presidents. Then I was emailing that office all the time. They finally sent us some paperwork on a trial modification in September. We paid it on time every month. Then finally they sent us permanent modification documents this past Thursday. There were times were I wanted to walk on our mortgage because it was so expensive and especially when we were down to one income. It sucked but I kept calling, emailing, did whatever it took to get them to help me.

  3. What snowball calculator do you use? Is it one you created? I’d be very interested in seeing it, since that’s the method I’m using too!

    • I can send it since I downloaded it years ago when it was free. I searched google and realized that the creator is charging money for it now. Just let me know if you want a copy. It’s fantastic!

    • Oh yes, it won’t be for at least 5-8 years before we are even serious at looking for another house. I want to have a lot of money in savings before we go down that path because the next house will be our forever house. First thing’s first, pay off everything & then start saving like crazy!

  4. I’M SO EXCITED or should that be YOU’RE SO EXCITED.

    Actually both are correct because I am excited for you. Each time I moved onto the next paragraph and read your plan and watched the snowball got bigger my excitement grew more and more. I even have the image of a huge land side of snow coming down over your debt.

    21 months is freaking AWESOME especially with your totals. I’m rooting for you all the way. I know you can do it.

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