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Wednesday, February 19, 2014

2/19/2014 - update

January and February

Well today I logged into my account and saw that two of my accounts have gone from Defaults to Charge off. That sucks... but at least it only a little loss not a huge loss. Got to keep a positive attitude with all this.

So a lot of things have happened in the past few weeks since I last updated this. I have paid off all credit cards (Got a debt consolidation loan) and We refinanced the mortgage and our cars to a much lower interest. and this weekend we are looking to remove a third line that we done use and also change our Contract with AT&T. So we have made some huge changes.

I paid off a 12.9% and 13.5% credit card and rolled it into a Loan that I got from Lending Club. So now I am on both sides of the lending club as the investor and the borrower. The Job news is that loan will be paid in full in 36 months unlike a credit card that never ends until you just pay it off not make the minimum payments.

With the cars we reduced our terms from 60 months to 48 and reduced the interest to 3.5% versus 8.~% and 4.25%. The payments are higher but we will have them done by 2018.

So if we stay on trace we will have the loan and the cars paid in full in 4 years. (hopefully sooner).

I have started to force a small deposit into our savings account and also lending club. $50 to savings per week and $25 every other week to lending club. It's small but it is better then nothing. I want to invest a lot more but the loan consolidation is taken a huge chunk of that and the increased car payments are killing it as well. The loan is not just to cover the credit cards, but it is also to pay for a trip to japan this coming September. the tickets were ridiculously expensive. But in order to get the better deal you have to purchase your tickets earlier in the year that waiting to that last minute.

So now we have $10,756 in saving this is made up of the left over money from the loan consolidation and a $455 check was returned to us from the Mortgage refi, and the $50 per week that we start at the beginning of the month of February. The idea is to keep the 10,000 grand as a safety net and to use to cover loan payments if needed.

I also got a discover card to earn 1% cash back on all purchases and 5% of their quarterly benefits. And since we do a lot more online shopping we can get anywhere from 5%-15%+ on those purchases. So far I have had this card for a month. and I keep the balance at 0 at all times. I only use the card for normal everyday bills and gas and groceries. No! Big purchase, No! Big spending. I just treat the card like my debit card, but I make sure to pay it off every time there is a balance on the card. I check my card balance everyday (m-f) and it so far helps me to keep a very very close eye on my spending. There are a ton of other perks that I like with the card. like the 0% 15 month introductory rate. (which doesn't matter if I keep the card at $0 Balance due.

More later...