Today I went to the Dave Ramsey event in Raleigh with my parents and got info straight to the source on how to get debt-free. First of all, I shouldn't be paying extra on the house until I have gotten rid of the other debt: i.e. the car loan and the student loans. So now my main objective is to use all extra money to pay off my consumer debt, then move on to step 3 of building up the emergency fund of 3-6 months of expenses in savings.
Step one: $1000 in an emergency fund: check!
Step two: Get rid of all consumer debt (debt snowball): credit cards are paid off each month and now to pay off the car and the student loan - car first since it is less, then the student loan.
Debt status as of 16 October 2010:
House: $102,874 (-231)
Student loans: $17,999 (-98)
Car: $6810 (-441)
Total decline: -770
Current debt total: $127683
Consumer debt to pay off: $24,809
