A few updates:
- I didn’t post last week. I was real busy working on a project, and I’ll explain that later.
- I stopped keeping track of my debit card transactions, in part due to that project.
- I am going to try not to use my debit card very much in March because I’m on a Savings Warpath now.
But let’s talk about the bane of my existence.
About four years ago, I lost my job and was unemployed for a while. I did not know, not even a little bit, that you could apply for Income Based Repayment to bring down my monthly bill.
How did I find out? By bitching on Twitter, of course. A wonderful friend of mine told me, dude, did you know if you don’t make a ton, you can apply to have your actual income taken into consideration for your monthly student loan payments?
And I was like GET THE FUCK OUT OF HERE.
Because I was paying nearly $600 a month for my loan payments when I was on unemployment and I spent down nearly my ENTIRE savings over the course of a year. I’m still working on rebuilding it, because I’m trying to buy a car, but if I had known about this years beforehand, I wouldn’t be in such a terrible state. I’ve used up some of my forbearance and deferment, but I don’t want to do anymore of that in case I need to do it in an emergency again.
So, I was paying about $260 a month last year, and I just got my (super easy! like way easier than ever before!) reapplication approved, and since I’m paying for property tax, I think is the reason, my new payment is now right at $200. This is FABULOUS! Especially since I finally got bullied into buying health insurance, and that costs me $200 a month as well. I am eligible for a larger tax credit toward the insurance, but they fucked up the calculations in 2014 and I lost my ENTIRE tax refund, so this time I only took part of it, about $50 a month, to guard myself. So, my entire monthly expenditure just increased about $140, which isn’t too terrible.
Income Based Repayment is also sort of brainless now. It used to require more paperwork, and sending faxes to people, but now it’s a very easy online process that they said takes 30 minutes, but my reapplication was done in less than 10. And it’s worth it. And I don’t believe it, but I guess if you keep at it, your entire balance will be forgiven in like 25 years, which is good because my payments only go toward interest right now. The forgiven balance would be considered taxable, so I’ve got like 15-20 years to save up for a really fucking huge tax bill, but by then I’m hoping to have a lot more financial stability, and maybe even some more income, so that I can afford that and then be free. FREE.
And once we’re out of the woods with this debt…
Also can I just fucking say that 30-year-olds, especially ones like me whose parents didn’t go to traditional college or incur student debt, are literally 0% prepared for the massive burden they’re saddled with upon graduation?
WHO LETS AN 18 YEAR OLD SIGN THEIR LIFE AWAY? We had a curfew last month and now we’re ready to take on $60,000 of debt, no questions asked? Fuck that noise.