Deep in Debt, Debt Sleet

What could possibly be more annoying than sleet? You know, that almost frozen rain that falls and makes the ground super slushy and icy? So annoying! This isn't really what this method is called, but it didn't have a name that was continuative with the others, so I made it up. However, this method is paying off debt in order of "most annoying" to "least annoying". But, since annoying is such a relative term, let's pin-point what the creator actually means by "annoying" with an example exerpt from its source PoorerThanYou.com:

"Let’s take The Boyfriend for example. He has two debts: his car loan, and his credit card debt. The Boyfriend loves his car to pieces, and doesn’t really mind making his loan payments every month. But his credit card? He hates it with a fiery passion. He curses it while shaking his fist up at the sky. Basically, his credit card debt annoys the crap out of him. So, accord to [Debt Sleet], he should pay that one off first."

So here are the steps:

1. List your debts from "most annoying" to "least annoying".
2. Pay the minimum to all debts every month.
3. To your debt on top of the list, send all extra available cash.
4. Repeat every month.

You may be thinking, "this is an awful lot like the Tsunami method", and yes, you would be right, but there is a difference between emotional impact and annoyance. As in the example above, even if The Boyfriend's credit card debt is the most annoying, what if his father was the co-signer for his car payment? The car payment would then not be "annoying" but rather would hold more "emotional impact", so that he would not disappoint his father or have a chance at lowering his father's credit.

There are no right or wrong ways to reduce debt, as long as you are actively working to kill it. Dave Ramsey even says "You can’t go wrong getting out of debt!". Stick around YoungFreeAlabama.com and catch all the many tips & tricks to save your money so that you will have more ammunition against debt's front.

Chris