Fabulous Financials

On 9 March 2007, I denounced debt by stating “Consumer Debt is NOT Fabulous!” Then I made a promise to myself – even claimed 110% dedication – “to become consumer debt free by the end of THIS YEAR.” At the time, I had a little over $15k remaining (car and student loans).

To motivate others to join me, on 20 March 2007, I wanted to offer an incentive for successful end of year debt reduction plans. In fact, to make it fun and spread the love, I created MULTIPLE incentives!

1. Expense paid initial consultation to see a financial planner.
2. One year subscription to any financial magazine of your choice.
3. One personal finance book of your choice.
4. Three month commitment from Single Ma to be your personal “coach” as you strive for financial freedom.

The person who paid off the most consumer debt by 31 December 2007 would get first dibs at the prizes – then the 2nd, 3rd, etc. The incentives were eligible to ALL readers in the US who were highly motivated to pay off their consumer debt. The responses were slow at first, but they trinkled in with every related blog post.

YEAR END REVIEW

At final count, I had 27 participants – whom I later referred to as my DPI (Debt Payoff Incentive) Crew – and two very generous sponsors. I created a spreadsheet with each member’s name in the DPI Crew, their debt, and beginning totals as of 1 April. From April through December, I would send out pesky little emails requesting debt payoff updates and at least half the group would respond. Then I offered a mini incentive for the highest monthly payoff and the response to that was much larger. We had a tie with two winners who received a personal finance book or hosted ING referral links on my blog.

I’d also send perky emails as motivation to keep up the good work – or provide tips on debt reduction – or provide tips on how to avoid incurring new debt. Even had a DPI Crew member write a guest article about his debt reduction experience. Occasionally, a DPI Crew member would send me an email about their specific situation. They either wanted someone to release frustration, bounce an idea, or give a pat on the back – and I tried to be all of the above as needed. I’d also get a ton of emails asking for advice, to which I’d always respond with the caveat: I am not a financial advisor (or a licensed financial professional), but if I were in your shoes, here is what *I* would do. Sometimes I’d get a “thank you” if I helped the person in some way. But most of the time, they probably thought “this chic is a loony toon!” LOL!

**SIDE BAR WARNING**

When it comes to debt reduction, I give it to ya raw baby! LOL! Straight, no chaser! I hate debt because it is NOT fabulous. So if you can’t handle the truth, don’t ask Single Ma for her opinion about your debt situation. Got it? Good.

FINAL REPORT

Exactly eight months after making the promise to myself, I celebrated debt freedom on 10 November 2007 and I attribute my success to this blog, encouragement from SMFF readers, focus, and dedication.

Now I also want to celebrate the DPI Crew and their hard work. Many of them began this contest armed and ready, some fell off after only a few months while others admitted to incurring new debt. Unfortunately, only a hand full rode the debt reduction train with me until the very end and I would like to recognize the winners. So without further ado, here are the top four winners based on total debt reduction since 1 April 2007:

I’m sure the winners recognize their numbers and know who they are. Congratulations!! Please email me so we can make arrangements for your prize. To all other participants, sponsors, and SMFF readers who followed my debt reduction journey from the very beginning – thank you.

GOOD LUCK luck to everyone in 2008 and Happy New Year!!

[image credit: www.usoge.gov]