The Consequences of Aggressive Debt Repayment

IMG_2303Jacquelyn Delcamp felt directionless and unmotivated.

Like many of her fellow millennials, the then 24-year-old manager for the ticket marketplace company Vivid Seats explored realms of the Internet for inspiration. She ended up stumbling upon the personal finance blogging community where she discovered the site Studenomics. After reading the blog, Delcamp decided to email the site’s founder Martin Dasko. The subsequent communication with Dasko motivated her to pay off $48,000 of debt in 10 months.

But such an aggressive debt payoff doesn’t come without consequences. Her story shows some of the negative side effects of paying down debt.

Read the full article on US News.

Posted in Debt, US News' My Money Blog Tagged with: ,
6 comments on “The Consequences of Aggressive Debt Repayment
  1. Yasir Khan says:

    Aggressive debt repayment will definitely broke you. I don’t think it is a good idea because it will give you so much stress financially, physically and emotionally.

  2. LouisGrace says:

    This is an awesome article. I’ve been here for the first time and found that your site is well informative and well organized. Keep up the sharing.

  3. Levon says:

    In addition to the toll aggressive debt repayment may take on mental health, emotional well-being, and relationships, it can cause major financial problems. You would think that aggressive debt repayments would be great for your finance right? Well, it can be, but it can also create a situation where you have very little liquid cash. If you put all of your savings (including your emergency fund) towards paying off debt, you might be in a bind when a financial emergency occurs. I believe in aggressive debt repayment, but it must be balanced with the maintenance of some liquid cash so that you have some flexibility in your life.

  4. Helen says:

    This is an great article. I’ve been here for the first time and found that your site is well informative and well organized. Keep up the sharing.

  5. aggressive debt repayment is never good thing to do, your debt is contract between two sides in which every side benefits on some way, you got service – property or goods and other side gets interest.

    If you early -Aggressive repay your debt, other side will not get planned income, so they must charge fees which are always to high.

    Never change drastically any contract, if you have extra money, invest it in other area (funds, bonds, real-estate, bank) and get yourself interest which will make your debt cost lower,

  6. Joan says:

    It has a negative side effects of aggressive debt repayment. It evokes a lot of mental strife for those who resent getting to that point in the first place. Thanks for sharing this.

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