Laurel Peart

January 3, 2009

My story is relatively simple, but we were able to get out of debt and have helped several of our children also.

The plan:

Pay a full 10% tithing to our church.

List all debts from small to great.

Cut expenses to the bone (no cell phone, cable, eating out, new clothes - thrift shops do fine - etc.)

Eat simple, inexpensive, home-prepared foods and have a home garden, however small

Pay the minimum payment toward all debts (or make arrangements with the creditor for a minimum payment)

Take every penny left and pay on the smallest debt owed regardless of interest rates

When that debt is paid, take all the payment monies including the payment that had been made to the 1st debt and apply all to the next larger in line.

Continue until all is paid.

The time taken depends upon how much is owed, if extra income can be earned doing odd jobs, etc.

The reward is the excitement of crossing off another creditor and finally not being owned by debt.