Finances: Years ago I got myself into a lot of debt, and mostly all high interest debt. I'm not proud of it, but I'm not ashamed of it either. It is what it is. I've been working hard to pay down that debt, which is a very slow process given the high interest rates, it carries. I don't yet qualify for a loan that would combine all of the debt into a lower interest rate and I don't want to do a bankruptcy or the credit counseling route. I am very grateful to the creditors for allowing me to borrow the money and I agreed to the rates, etc... So, since I can pay on my loans, I want to. I want to honor my commitments.
Vehicle: When my Honda Accord (that was 22 years old and had 458,000 miles on it - all mine!) died a year and a half ago, my wonderful daughter and son-in-law gave me money to help buy a new (used) car. God bless them! I know it made their finances very tight and I am very grateful for the help. I researched and looked and consulted mechanics and did everything in my power to pick a good car. I bought a wonderful 1999 Acura CL 3.0. I love that car.
Drama: Earlier this month (January 2012) my car started acting strange and "slipping" a little bit sometimes when it should be going into gear. I took it to my mechanic and he said it was the transmission, but it might be fixed or helped by doing a transmission service... which we did. At first, after the service, the car was definitely driving better and then it got worse all of a sudden. On Monday evening, 1/9/12, I dropped the car off at the mechanic's, when they weren't there because I was worried about driving it. It turned out that the mechanic I trust was home sick. So, I didn't get a pronouncement that I trusted until Wednesday, when it was officially declared that my car needs a new transmission and that the price of getting the transmission rebuilt will be around $3000.
Reaction: I'm really proud of myself that I didn't just rush and say that I had to have the car fixed no matter what. I do drive a lot and I do depend on my car. However, it didn't feel right to take on more debt. I did research.. I could get the transmission rebuilt for cheaper or put a different used transmission in, but my mechanic has warned that Honda / Acura transmissions are a breed to themselves and that not everyone does a good job on rebuilding the transmission, and he is offering to give it to me at the cost the guy he sends them to does it for him. Also, there is the fact that even if it cost 1/2 of the price, it would still mean that I was taking on more debt by doing it, and probably at a high interest rate. My belief is (just like the Einstein quote above) that it would be insanity to borrow more money and expect to pay off my debt.
Decision: What I have decided to do is to try taking the bus for a year. This isn't the easiest thing. I live in LA county and work in Orange county. But, it is a statement saying that I do want to work on paying off debt and that I am committed to doing that and to being true to myself. I don't want my kids and grandkids to think of me as always being in debt. I want them to think of me as someone who was free.. who lived her principles and did something different when it was needed.
Why a year: Will my debts be paid off in a year? No, not unless something amazing happens (which I'm open to), but at that point, I should be in a better position and other options may appear and for some reason the year time frame (which was just pulled out of the air) feels right.
This blog is meant to be the tracking of a person who has never ridden the bus system at all learning to do something different.... and of me working on my debt. I hope others will enjoy and support my progress. :-)
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