Question: Unbelievable my parents are helping me out on this one loaning me 15,000 at 2 percent over five years get out of credit card debt. Didn’t ask they know i’ve been stressing over it. They got money i would never ask for them to bail me out though but i will accept there offer. I feel i got off EASY on this one but lessons have been learned. All my credit card accounts will be closed. I am keeping one for EMERGENCIES only and i think it’s good to have a line of credit account open. Not because i want good credit for the sake of opening more lines of credit, i would like to buy a house someday. I will NOT get in trouble with the card. It will feel good to write checks paying off full balances. My dream of actually buying a starter home by the time i’m thirty may actually come true. I still get the feeling i’m going to wake up and it’s a dream. Almost too good to be true.
If i did amortization right i’ll owe my folks roughly 260 a month over five years. Total i will borrow is actually 14,750 which i calculated a pmt. of 258. Did i do this right? 5 years at 2 percent. No early payment meaning i pay what total is principle and interest over the 5 year amortization whatever it is even if i pay more then my payment a month. This sure beats paying 350 a month where 300 is going toward interests. And i will be able to work out lower payments BEING i get LAID off of work and so forth. Only if needed in case of financial hardship which also helps my stress. I feel so relieved i am so happy.
I have an education loan i’ll pay for a long time no big deal the payment is as small as i wanna keep it and a personal loan which will be paid off end of this year, then i figure i can even pay more toward what i owe my folks (i think i will try to save money though) plus i can put a higher percentage in my 401k. PLUS, i am thinking about cancelling my cable and internet get a monthly netflix and antennae for my tv, actually try to start saving money.
I don’t know if i’m deserving of this but i have been making payments i do not use my cards (not in last 18 months). C.c. companies do what they want with interest and minimum payments. I have made mistakes i have learned from them and now my stress level is much lower. Just 6 hours ago i was planning on credit counseling or bankruptcy.
Answer: Last year i have struggled on and off financially have made ends meet thought and 2005 was the first year i did a monthly budget i did it every month. Even tough months i found ways to tighten it. Am really thinking of the bunny ears on the tv, and quite honestly i don’t watch it much, i rent movies when i wanna watch something so hence netflix perhaps. As far as internet goes i haven’t decided yet. I still have a month with my cable deal to figure it out. My main thing is upping my 401 k percentage and getting money in the bank. No doubt though my monthly payments are still up there as i have an educational and personal loan but it will feel good to see the progress made every month, as i put the progress on principal on my debt on my monthly budget i’ll have principal owed to parents instead of the c.c. principle.
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