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Personal Finances / Credit Cards and Consumer Debt


Subject:  Re: SpeleoFool's Rules - Net Worth Date:  12/9/1999  10:46 AM
Author:  Isiszion Number:  21491 of 312188

Hey Speleo, this was indeed an EXCELLENT post. Halfway through I had stop and print it up for my wall. See I am now at the point where I have no credit card debt and I am only looking at a school loan of about 13000 rounded up. I was still worried that I would not be able to make headway before paying it off (mind you its at 7% with electronic debiting...foolishly saving that .25%). I now see the value of paying the minimum on my school loan and plowing my money into those DRIP funds I intended to start and taking full advantage of my 401. The way I see it I stand a much better chance of increasing my networth by these methods. After all even if a mere 500/month saved into these vehicles were to compound at a mere 10%/yr (what a laugh), in 5 yrs Id still be way ahead of the 7% loss on my school loan repayment. And that is quite a thought. Ohh not to mention that I still have 3 yrs to take advantage of
the fact that I can still write off the interest paid on my school loan. Damn I just luv

Again thanks for the foolish lesson on the power of interest. It was well worht the read.

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