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Wednesday, April 29, 2009

Paid off My College Loan with eHow Earnings!


We're one step closer to being debt free -- I paid off the last of my my college loan in one payment using a portion of my eHow earnings last month. My final statement showed that I paid the debt off about 18 months early, saving me a good bit in interest (it was a private loan at 10% APR).

I had a grace period at the beginning of the loan for working in a non-profit sector after graduation, but otherwise have been making those monthly payments for years. Being free of that payment is a great feeling and makes a difference financially as well -- I've taken the amount I used to pay to the loan each month and am using it toward my next debt.

Thanks to my residual income through revenue sharing sites, my eHow ebook, my niche websites, affiliate marketing and miscellaneous sources, my family is becoming debt free much more quickly than we thought possible. In fact, we will probably pay off our debt about 2-3 years earlier than originally projected. Next month, I plan to put nearly all of my eHow earnings toward my next debt, a credit card balance at 5% interest that needs to be eliminated.

While we've had setbacks due to job loss, real estate (a house that didn't sell), and life's ups and downs, we've managed to stay the course and not take on new debt since we took Dave Ramsey's Financial Peace University course almost two years ago. We've cut our debt down by a third, and are now on track to pay off the remaining 2/3 in less than a year, if all goes as planned.

Having a steady source of residual income thanks to my online writing has been a key element in our progress and our success to date. As my husband builds his new career, my income is back in a supportive role and working harder than ever to help us become debt free. I can't wait!

Are you using online earnings to become debt free or in a better posisiton financially? What role does residual income play in your personal finances?

14 comments:

shamrockcon said...

That's really inspiring! Hopefully If I keep writing I can pay off the college loans that I'm accruing right now. Congratulations on paying them off!

Marilynne said...

Being debt free really feels good. When we were young, though, it always seemed like every nickel had to be spent twice. The kids always needed something, or something else was on the fritz.

You are on a good path. Being debt free is really a good way to be.

Maxie

pfincome said...

Maria - That is great! I often lose site of how eHow and other residual income earners can be used to pay off debt as well as invest in new passive income streams. Just as effective. Congrats on your accomplishment!!!

Melissa said...

Maria, that's awesome! Especially since I checked out your article list the other day and saw you haven't published any ehow articles in April! Congrats, I can't wait to pay off my student loans...slow and steady and a few extra payments!

By the way, since reading your ebook I have seen my earnings skyrocket...some of my articles start earning money within a few days. This never happened before! Thanks so much!

Melissa (Newmama)

Karen said...

Congratulations and thanks for the inspiration! Getting my debt paid off is my #1 goal so I'm excited to keep learning more about rpassive income streams.

Maria said...

Melissa -- yes, I've taken most of April off from eHow, focusing on my niche sites, and still my April eHow earnings are higher than March! I love eHow and will write articles there as long as they have the WCP, but am also trying to build up my other sources so I have a larger passive income overall and it's more diversified.

Tracy said...

way to go! Being debt free is so FREEING!

keep living like no one else so you can live like no one else! :)

Tim2.0 said...

Very cool. Glad you're on the path to eliminating debt and diversifying and building income streams. How many niche sites do you have up? Good luck!

Felicia said...

First of all congrats on your debt free accomplishments.

Secondly, I must say, you continue to be a wonderful inspiration!

Thanks much!

Felicia

jsevenup said...

Good for you Maria! You are such an inspiration to me, thanks dear!

Me said...

Great job Maria!

I'm trying to pay off my house so I can quit my day job...and I only have 25 years left on the mortgage...grin...

workingpinoys said...

You've inspired me today. I am a member of Bukisa and my earnings there is quite slow. I will now consider writing articles more frequently and I'll try eHow as well. I hope I reach this level wherein my articles written years ago will still continue to bring food on my table.

Thank you! :)

ncgirl3608 said...

Maria, hi I just bought your e-book and wanted to say thank for you for the other extras that came with it. I am on the WAHM forum under ncgirl and always love seeing ehow comments. I am going full-time as a writer this month so wish me luck! I have enough clients to support my income but really want to get into ehow. Your ehow income is inspiring!

Flash_21 said...

I can imagine how many people you have inspired. Congrats on paying off the college loans! Debt free is the way to be!