Rich Bitch Step 6: Get That Monkey Off Your Back

Catch up here: Part 1. Part 2. Part 3. Part 4. Part 5.

Rich Bitch
Rich Bitch by Nicole Lapin

Being reminded of my overwhelming debt didn’t make me want to read this chapter, but as I was reminded a few times while reading, paying off debt is something that takes time and discipline.

Step 5:  Paying Down Debt

Debt is the worst. I do worry about falling into bankruptcy. I’ve seen it happen in my own family and I don’t want to get to that point. Right now I’m okay. I wish I could prioritize paying down my credit card, but first I need to build up my savings account. That being said, once my savings is in a good place, I can start to prioritize my credit cards.

One of the tips the author suggested was paying down the debt with the highest interest first. For me that is my credit card. My student loans are the only other debt I have. If I could pay off my credit card, it would be a miracle, but it would probably motivate me to start really paying off my loans. {small changes} If the reader had car or mortgage loans, they would have to prioritize those by interest rate as well. Am I thankful I don’t need a car in this city? Yes, but it means that I can’t move anywhere easily. There are car services like ZipCar or Car2Go that I could use, but I would really have to buy a used car if I wanted to be in control of my finances…I digress, I should have had that rant in the last post.

The author used a good, concrete example of paying off her credit card debt. She gave herself a timeline and divided the amount due by how many months she wanted to pay it off, then set up automatic payments so it would go toward that goal and she wouldn’t have to think about it. Once she it $2,500 (or half her credit card debt), she ramped up her payments to pay it down faster.

Another way to pay down credit card debt is to have a side hustle and put all the money exclusively into paying down the card. I think it’s brilliant and I’m working on a way to start my own side hustle in the near future.

This seems like a reasonable course of action for me! Something do-able! I can’t believe it! It’s daunting to me that I have to save money first and then start paying off my credit card, but at least I have a plan! This is progress and I’m learning the best ways to manage my money in my situation. {Now I just need to stay motivated!}

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3 thoughts on “Rich Bitch Step 6: Get That Monkey Off Your Back

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