Small Victories

Delayed gratification is not something that most of us born in the last three decades are very fond of. We have become accustomed to this fast paced life and having things at our finger tips. No longer do we have stalk the radio to hear our favourite song or wait until we get home to tell our friends about something awesome that happened. So naturally, I don’t want to take 12 years to pay off my student loan. The thought of paying out money for 12 years is not a happy one, so I’ve created a goal to pay it off in 5 years or less. It is really daunting to look at my Student Loan balance and think I owe that much money to someone, so I’ve decided to create small victories for myself and my peace of mind. It is powerful, isn’t it, tricking yourself to make a situation more appealing.

The plan

The yearly payment required on my loan will be paid in a  four month period, therefore I will be paying off three years of my loan in one year. I will work with four month goals and subtract each payment from that goal amount and every time I knock it off, it will be small victory for me. My balance will still be high in the first year or two, but at least I will be meeting my goal, by cutting the large balance into smaller chunks. The amount for the payment will be one of the first things I budget for each month.

The Good News

My payments are not scheduled to start until June but I have started paying since February, so I’m ahead of their schedule. I have paid off all the interest that accumulates during the one year they give us to start paying back and have started the principal payments. Once I can keep this up, I should be able to pay off this debt by 2017 (gosh that seems so far away).