1. Please take 30 seconds to register your free account to remove most ads, post topics, make friends, earn reward points at our store, and more!  
    TalkBass.com has been uniting the low end since 1998.  Join us! :)

Debt Free.

Discussion in 'Off Topic [BG]' started by ::::BASSIST::::, Aug 2, 2013.

  1. ::::BASSIST::::

    ::::BASSIST:::: Progress Not Perfection.

    Sep 2, 2004
    Vancouver, BC Canada
    Well, after depositing a significant sum from the sale of some bass gear today, I paid off my credit card down to zero and I am officially debt free for the first time in over 2 decades. I have a fairly modest income. It took years but I got there through responsible saving and selling stuff I don't really need. I do still have a mortgage, but if I were paying rent it would be about the same amount so not a problem in my mind. Now the challenge is to remain debt free and even start saving.


    Are you debt free? How did you get there?
  2. Awesome!

    I am debt free because I am 17 and just starting college in September haha. My parents will be taking out the loan but it's a technical degree at a community college and I will help them pay it off.

    Although I did once have negative money in my bank account.

    But seriously, that is a great achievement that many people never see!
  3. MJ5150

    MJ5150 Terrific Twister

    Apr 12, 2001
    Lacey, WA
    Not me.

  4. Tony Flow MMMM

    Tony Flow MMMM

    Dec 4, 2012
    I'm currently going the opposite direction, with my first new house and everything I need.
  5. Steve


    Aug 10, 2001
    I am actually. I have some credit card debt but I could pay that off if I wanted to. You gotta keep some current stuff for FICA to look at.

    "Live like you are poor and one day you will be rich. Live like you are rich and one day you will be poor"
    -My Grandfather
  6. fourstringdrums

    fourstringdrums Decidedly Indecisive Supporting Member

    Oct 20, 2002
    Good job!

    I actually sold off a bunch of my gear as well and for the first time in about 8 years my CC is down to about $500. I'm going to start setting a couple hundred a month aside in another account for my GAS. Obviously throwing my money into one account and using that isn't working because I tend to overspend if I don't have a line drawn in the sand and when I don't want to spend my savings, that's when things get thrown on the card.

    I heard that keeping one card at 0 and another card at under 10% of your total limit is smart for your credit score and that having everything at 0 isn't any better. Thoughts?
  7. pacojas

    pacojas "FYYA BUN"

    Oct 11, 2009
    i should be debt-free by the new year!:hyper:
  8. ::::BASSIST::::

    ::::BASSIST:::: Progress Not Perfection.

    Sep 2, 2004
    Vancouver, BC Canada
    Regarding the credit score thing, I have my cell phone co. charge me $10 + tax monthly on my credit card. Not a problem paying that off and I think it keeps my card active and credit score 'healthy'. Even if it doesn't, being in debt to keep one's credit score in the green is nuts. Besides, paying my mortgage, phone, power etc on time every month should do the trick for the credit score, shouldn't it?
  9. Still use my CC for buying anything online, but pay it off before the end of the month.

    I have a little bank debt that I hope to pay off by the end of the year. Have recently started paying back my student loan, but it's not too bad, just over £11k.
  10. JLY

    JLY Supporting Member Supporting Member

  11. Indiana Mike

    Indiana Mike

    Nov 18, 2005
    My debt level is very low.

    Zero consumer debt .

    I live by " only necessary debt and zero consumer debt"

    Necessary to me is housing and possibly transportation. Everything else is cash.

    Transportation is consumer debt ,but I needs wheels on a daily basis to work and survive .
  12. Congratulations. You've done something very difficult that is smart and very kind to your future self (and family).

    A mortgage is much less problematic than other kinds of debt, because you also have an asset on your balance sheet, the house.

    I only have a mortgage on the house (15 year loan with over 20% down). Before I bought the house, I was completely debt free for several years.

    How did I get there? The hard way: I filed for bankruptcy, lived without a credit card for two years, and went to debtors anonymous.

    I think the most important thing I learned through that experience is this: when I'm thinking about buying something, I ask myself, what would I recommend to a good friend in the same situation? Suppose a good friend asked me whether it was a good idea to but a new bass. If he had money in the bank, had a stable income, and enough savings to cover the occasional car repair, dental treatment, etc., then I'd say sure, go for it. But if he was struggling to pay off credit card debt, I'd say do yourself a favor and wait a while. Asking myself that one question has made a lot of decisions much easier for me.

    TL, DNR: Debt bad. Paying cash good.
  13. Indiana Mike

    Indiana Mike

    Nov 18, 2005
    Momma always told me if you want something wait two weeks and see if you still want it.

    You'll find many times you don't.

    There are times I ponder pending purchases for months.
  14. VeganThump


    Jun 29, 2012
    South Jersey
    I was debt free... Until I discovered TB...
  15. Ziltoid

    Ziltoid I don't play bass SUSPENDED

    Apr 10, 2009
    I'm debt-free too!
  16. CTC564

    CTC564 Gold Supporting Member

    Mar 7, 2011
    Toms River,NJ
    Debt free here...but only because I had to claim bankruptcy...learned my lesson and will never use a credit card again without paying it off monthly
  17. cthomas5200

    cthomas5200 Supporting Member

    Jun 27, 2011
    Atlanta, GA
    CONGRATULATIONS! It is a great feeling, isn't it? I have been a Dave Ramsey follower for several years. I too just have my mortgage left, but in the meantime put both my kids through college with zero debt. I had them both attend Dave Ramsey Financial Peace and they have no debt, nice cars paid for in cash, and money in the bank with college degrees. A way better start than I had.

    Key is to get an emergency fund in the bank and learn to save for what you want. I still buy Guitars, Basses, and gear, but save up for them.

    I am targeting the mortgage being paid off in 6-7 years. Can't wait.
  18. duff beer

    duff beer

    Dec 2, 2007
    I became debt free a couple months ago...the only debt I carried was my mortgage and that is now done. :D
  19. 1958Bassman


    Oct 20, 2007
    Low debt to income ratio, keeping CC balance(s) low, no delinquencies/repo/foreclosure and making regular payments is the best way to achieve a high credit rating.
  20. sandmangeck


    Jul 2, 2007
    Debt free except for car payment and mortgage. It's an awesome feeling.