My final credit card payment should go through today leaving me with no credit card debt. I can’t get too excited about this since I still have about $57,000 in student loans but it is progress. One positive thing is that I now know that I won’t run my credit card debt back up with frivolous purchases. Another thing is that I won’t have a generic debt expense anymore, it will all be student loans. My credit card debt was a mixture of a student loan debt balance transfer and miscellaneous expenses such as food, clothing, gas, etc. so I wasn’t sure what I was paying off.
Now that I have my credit card paid off I have two new goals for my money. One is to pay off my private student loan that has an interest rate of 11.75% and a balance of just under $2000. The other goal is to fully fund my Roth IRA. The maximum contribution is $4000 for this year and I’ve only contributed $150 so far. I have until April of next year to get this funded. For now my plan is to split any extra money equally between the two goals although I’m considering just focusing on one goal and completing it than focusing on the other.