Another one bites the dust!

We paid off another loan yesterday!  It was one of Kristi's loans for her MAT program and it had a very high interest rate (6.8%) so we're glad it's done.

We now have only 3 loans left to pay off, and we fully expect to pay off one of them next month.  The List below has been updated to reflect out progress.

1. The Truck
• PAID! (Nov 11)
2. Gate Loans
• PAID!! (Dec 11)
• PAID!!! (Jan 12)
• PAID!!!! (Feb 12)
• $4,823 - EPD:  June 2012
3. ECSI
• PAID!!!!! (Feb 12)
4. Stafford Loans
• PAID!!!!!! (April 2012)
• $5460 - EPD:  October 2012
5. Federal Direct Loan
• $22,622 - EPD:  June 2013

The List looks a bit funky, right?  Why/how are we paying off a loan in June but then not again until October?  Well, The List is just that, a list.  What it's not telling you is our income situation or how we will still money at the end of this month to contribute to the Gate Loan  The reason we're going to be able to pay off the loan next month, but not again until October is because of how Kristi gets paid.  Typically she gets paid at the end of the month, but in June school ends on the 14th, so she'll get paid then for the month of June.  

In years past we have saved money each month to cover the two months Kristi doesn't get paid, August and September.  That means that normally her June paycheck would sit in a savings account and be used to cover July.  This summer she is working summer school and will be getting the equivalent of about 70% of a normal paycheck for her, which we will use to cover August and September, along with my paycheck.  A byproduct of this is that we will only be making minimum payments on our loans in August and September.  

Now, since she's effectively receiving two paychecks in June, we'll go ahead and payoff the Gate Loan then, rather than just having the money sit in an account until July.  It'll be nice to have an extra thing to celebrate on the cruise, too.