Goal Complete: Pay Off Student Loan

Well I have some good news, a weight has been lifted and one of my student loan accounts is paid off in full! At the beginning of the year my loan stood at just over $20,000 and as of last week it is now $0! It feels good have this proverbial monkey off my back

As I have written before, originally my intention was not to pay down this debt early and instead focus on building wealth. But after filing my 2013 taxes I realized that:

1. I was not getting a tax benefit for the interest paid (due to my income level being to high, first world problems)
2. After looking into my loans in more detail I was reminded that my interest rate was at almost 7% 
3. The scheduled payments I was making were not even covering interest!

So I made the decision in February or March to make paying of this account a priority, and I did just that! Started paying down the debt at $2,000 a month a now I am free and clear of this debt. Here is the proof:

I actually thought I had paid off this debt about a week earlier but it turns out that I incurred $0.18 of interest between when I scheduled the payment and when it was processed so I had to make one final  payment of a measly 18 cents. But it doesn't matter now!

Unfortunately this does not make me debt free yet. I still have an additional $7,000 or so in student loans and another $10,000 left on my car loan. I definitely won't be paying down the car loan early, it is sitting at only 3.60% interest. I haven't decided yet what I will do about the remaining student loan but I probably won't be paying it off early, I'll have to give it some more thought.

What about you? Have you paid off any debt recently?

Thanks for stopping by,


-Nick