Baby Step 2

Today came with some good news and bad news. Bad news first, I have absolutely no idea where I put my wedding band. Good news, we finally received the check from our insurance company to cover the Jeep being written off. We still owed 16800 on the loan, and were written a check for 18250. After maxing out Elijah's credit card, the Line of Credit and using every available penny we could find, we purchased a new vehicle, leaving us completely broke until this cheque came in. Basically, if an emergency came up, we were screwed. Now, not only do we have a vehicle paid for, lower insurance, better gas mileage, no more car payments, we also have enough money left over form the cheque to complete baby step number 1. Set aside 1000$ as emergency money. CHECK. annnd onto baby step number 2. Eliminate all debt except for your mortgage using the debt snowball. Our debt was as follows:

• My credit card
• Elijah's credit card
• Line of credit
• Jeep loan
• Re-pay mutual funds (not sure this counts)

Now our debt looks like this:

• Elijah's credit card
• Line of credit
• Re-pay mutual funds (still not convinced this counts as debt)

Mind you, we did max out both while purchasing the car...Anyways, things are looking up now!