How I did it: I submitted 2 payments every month to get ahead on the interest. Direct Loans won't let you pay a principle only payment-so I paid a significant amount on the due date and an even bigger amount later in the month. I put every extra dollar that came my way to this debt. Tax refund, stimulus checks. I told everyone I knew about this goal and it forced me to live up to my goal of paying off my loan in one year. I could have bought a Mercedes! But instead now I have piece of mind (an overeducated one).

Lessons & tips: Pay twice a month instead of one huge monthly amount. You can get a bigger portion to go to the principle in that second payment. 

Resources: Friends and family. No favor is too little. Barter instead of spend.

Jan 26, 2009, 06:23PM PST | 0 comments | 2 cheers