About 10 days ago, we dropped the price of the house $10,000. We didn't want to do it. But it was time.
Back in July when we put the house back on the market with the new realtor, we had an open house for brokers, and the price was the only REAL comment we got from them. Most would have priced the house in this new range, but after talking with the realtor....we left it where it was for the summer. However, part of that discussion was if we got to September and the house was not under contract, we may need to make changes. She asked us if our parents would just give us whatever money we may need. Um, if that was an option, we would have visited it a long time ago.
So we went through Labor Day, and then talked to her about the adjusting the price. We were all in agreement that this was the right decision. It would open up the pool of buyers since most people search in increments of 10k.
We noticed that on Zillow, our number of people who "saved" our house increased about 40%. However, we have only had one showing since we made the change. This coming weekend is a crapshoot...there is a large local fair that people attend and the weather is going to be beautiful! No idea what that will mean for real estate.
If the house sells at the current price (although we were told that most houses sell for 96-97% of the asking price), we would JUST cover the payoff on the mortgage. That leaves all the fees that go along with selling a house....realtor, conveyance, etc. Some things will get refunded down the line, but strictly speaking about going to closing...we will need 10k-12k to just close.
In order to cover the cost of dropping the house....we took out a personal loan. This loan is sort of a 2-part thing. The loan is for 22k at 6.99%, and is $435/mon for 60 months. The first $9400 went to pay off the retirement loan (although I have a feeling that we will end up making a slight overpayment since we paid this off right at the end of a paycycle and there may be an extra payment that will come out of G-man's check, which would be refunded to us). This will free up $441 a month (so a cash flow wash), which will then pay for the new loan. It also starts the 60 day "clock" that we have if we wanted to dip back into our retirement account down the line (possibly to lower the interest rate of the personal loan, money for a new house if that is a route that is open to us).
That leaves us $12,600. We originally were thinking we would need closer to 10k for the closing, and were going to use the difference ($2600) to pay off G-man's car, thus freeing up another $127 a month. However, we got nervous. I have said before, I have a problem with liquid money....I don't like to use it, because what if I NEED it (which contradicts myself since I have a hard time using it!). If we paid off the car, and then needed more for the closing, we would be scrambling. Even funneling all the "extra" money we would have in the budget (roughly $300 a month between everything that we have recently done), it would take 7-8 months to cover that amount. So, we are leaving it liquid.
We have $7000 put aside already for the moving costs (which also includes deposits for utilities, travel, etc). Add in the new $12,600....and we are at just under $20,000 cash. So this will cover the house and the move. And HOPEFULLY will have extra at the end that will then go toward some debt (at the moment, G-man's car, then my car....we are purely looking at cash flow, not at interest rates or long term goals). We also know we will have tax season coming before we know it....and if we move in 2015, our return will be much larger than usual because we will be able to deduct the move....and all of that money would go back into the debt reduction efforts.
I will update the side bar to reflect new numbers soon. So, yeah....a $12k set back. I played with the numbers until my eyes crossed. This was the option that made the most sense on paper.
I do feel better knowing that if we had to move quickly (if a buyer wanted a very quick closing), that we have this taken care of. Our cash flow isn't changing. Nothing really changes....except we now have $12k more in debt. That part....that I don't feel good about.
I guess time will tell how this will play out.
Showing posts with label personal loan. Show all posts
Showing posts with label personal loan. Show all posts
Tuesday, September 22, 2015
Thursday, April 12, 2012
Nasty Numbers
I have mentioned before that we are required to do a financial disclosure for G-man's job once a year. (One of these days I will do it as we go instead of having to go back and look at stuff....wait....I am doing that for this year! Yea me!).
This packet is a PITA. The basics of it are starting and ending balances of ALL accounts (CC, mortgage, car, investments, banking); how much we paid over the year, large purchases (like the car). This year is particularly a PITA because we have the refinance of the house, paying off G-man's car, purchasing my car. All of this has to be documented.
I started working on it last night (it is due in mid-May), and it wasn't pretty. I knew it wouldn't be....but it REALLY wasn't pretty. By going through 12 months of statements I discovered
This is a total of $18,920. This number includes interest we occurred, payment towards purchases (including car repairs, PTA stuff I fronted and was reimbursed for, and any other purchases). This does NOT include the balance transfer we made, which just rearranged the money.
But the truly sick part....
To those who want to be a hater and tell me how little progress we made...go right ahead. This is not an open invitation to bash me....just that I am not in the mood to fight today, so say what you will. I am not going to argue with you about it. I will agree that the numbers will support your argument, but the numbers don't tell the whole story, and you know it.
I am so looking forward to hitting the reset button soon. I need to put 2011 behind me for good.
This packet is a PITA. The basics of it are starting and ending balances of ALL accounts (CC, mortgage, car, investments, banking); how much we paid over the year, large purchases (like the car). This year is particularly a PITA because we have the refinance of the house, paying off G-man's car, purchasing my car. All of this has to be documented.
I started working on it last night (it is due in mid-May), and it wasn't pretty. I knew it wouldn't be....but it REALLY wasn't pretty. By going through 12 months of statements I discovered
- We paid $13,814.84 on our credit cards combined.
- We paid $5,105.16 towards Lending Club.
This is a total of $18,920. This number includes interest we occurred, payment towards purchases (including car repairs, PTA stuff I fronted and was reimbursed for, and any other purchases). This does NOT include the balance transfer we made, which just rearranged the money.
But the truly sick part....
- Overall starting balance for those 5 accounts - $34,634.94
- Overall ending balance for those 5 accounts - $36,408.94
To those who want to be a hater and tell me how little progress we made...go right ahead. This is not an open invitation to bash me....just that I am not in the mood to fight today, so say what you will. I am not going to argue with you about it. I will agree that the numbers will support your argument, but the numbers don't tell the whole story, and you know it.
I am so looking forward to hitting the reset button soon. I need to put 2011 behind me for good.
Monday, January 2, 2012
Not now...but maybe in a few months??
One of the biggest hurdles we had with our credit cards has been the interest rates. At one point, we were paying 19.24% on a large balance card!! We did a Lending Club loan and a few other things, and worked around it.
As it stands right now the interest rates are:
I would really like to get as much of this revolving credit down to as low of an interest rate as possible. The place that has the lowest rate....our retirement account. Once the current loan is paid off, we can dip into it again in 60 days. The rate? 1.75%. Of course any money we would withdraw would not be earning interest for our retirement. We would have to be sure that the overall benefit would be worth it.
The reason we are considering this is that G-man isn't even eligible to retire for 19 more years. Once the debt is paid off completely, we plan on aggressively saving for retirement. And if we can get the debt paid off within 4 more years, that would still give us 15 years to really save and invest.
I have kicked around a few thoughts.
Another idea we had was another Lending Club loan. More interest, but doesn't effect our retirement.
We aren't going to do anything now...it would be April the earliest that we would do ANYTHING. We have to wait for 2012 to settle....wait for the current retirement loan to be paid off for at least 60 days.....so nothing anytime soon. I just really want to find the right avenue to make progress!!
We do well with the "set it and forget it" stuff. We set up payment plans, and just let them do their thing. Lending Club has been fabulous for that. We got the loan....we put money aside each paycheck...and once a month they debit our account. Once the January payment posts, we will be almost half way paid off!
G-man's car was the same way. We had money direct deposited into the account, and it was debited once a month.
I am trying to do the same thing with the rest of our debt. Just trying to get it to the lowest interest rate possible! Any thoughts???? Right now we have $1105 in the budget that is designated for CC payments (minimums + $150 extra). This is JUST for the CC and current Lending Club loan. Not the car, student loans, or medical.
As it stands right now the interest rates are:
- CC2 - 11.99%
- CC3 - 14.24% (but the current balance was a balance transfer offer of 1.99% through January '13)
- CC4 - 9.24% (but over half of the current balance is at 5.99% from a balance transfer offer)
- Lending Club - 7.88%
I would really like to get as much of this revolving credit down to as low of an interest rate as possible. The place that has the lowest rate....our retirement account. Once the current loan is paid off, we can dip into it again in 60 days. The rate? 1.75%. Of course any money we would withdraw would not be earning interest for our retirement. We would have to be sure that the overall benefit would be worth it.
The reason we are considering this is that G-man isn't even eligible to retire for 19 more years. Once the debt is paid off completely, we plan on aggressively saving for retirement. And if we can get the debt paid off within 4 more years, that would still give us 15 years to really save and invest.
I have kicked around a few thoughts.
- We can take out $6500 for a 24 month term and pay off Lending Club. If we increase the minimum payment so that it is paid off at the same time Lending Club would have been paid off....it is a net savings of roughly $40 a month for 17 months, or a total savings of $680. That $40 savings would go towards another CC.
- We can take $10,000 out over 3 years, which would be $130 a paycheck, and pretty much wipe out CC2 for the same amount we are paying per month now.
Another idea we had was another Lending Club loan. More interest, but doesn't effect our retirement.
We aren't going to do anything now...it would be April the earliest that we would do ANYTHING. We have to wait for 2012 to settle....wait for the current retirement loan to be paid off for at least 60 days.....so nothing anytime soon. I just really want to find the right avenue to make progress!!
We do well with the "set it and forget it" stuff. We set up payment plans, and just let them do their thing. Lending Club has been fabulous for that. We got the loan....we put money aside each paycheck...and once a month they debit our account. Once the January payment posts, we will be almost half way paid off!
G-man's car was the same way. We had money direct deposited into the account, and it was debited once a month.
I am trying to do the same thing with the rest of our debt. Just trying to get it to the lowest interest rate possible! Any thoughts???? Right now we have $1105 in the budget that is designated for CC payments (minimums + $150 extra). This is JUST for the CC and current Lending Club loan. Not the car, student loans, or medical.
Tuesday, August 16, 2011
Move it to the left....move it to the right....
Once again, in an attempt to pay as little interest as possible, we are moving things around. I really wish we could just come up with ONE plan, and stick to it. But that just doesn't seem to be in the cards for us. Whatever.
CC3 had a 1.99% balance transfer through January 2013, with 1% fee. Per their policy, we couldn't go over 80% of the limit in a 90 day period, so with the fees and all....we transferred 79%. :) It was the majority of CC1 and part of CC2. I am watching CC4 to see if they offer a balance transfer. I am doubtful on this one. But I am watching.
We are also planning on trying another Lending Club loan. We did this almost exactly one year ago, and it worked beautifully for us. We have paid WAY less interest, and have paid off 1/3 of the loan at this point. This would replace CC2.
I realize that the fees eat into some of the benefits. But the minimum payments collectively are almost the same, just more going to principle. This will at least buy us a little time to figure things out further.
If I am able to get this job (please!!!!), it will drastically change the numbers. I am estimating that we have the potential to be debt free (minus the house), in about 2 years. I would LOVE to be debt free by 38.....two years before my goal. But one thing at a time.
G-man has some overtime this month....about 14 hrs so far. There is the potential for more in the next 4 weeks. I am thinking of holding on to the money for the mean time and top off a few accounts, like the EF. I need to see how the numbers play out.
I will update all the numbers soon. Just waiting for them all to settle a bit.
CC3 had a 1.99% balance transfer through January 2013, with 1% fee. Per their policy, we couldn't go over 80% of the limit in a 90 day period, so with the fees and all....we transferred 79%. :) It was the majority of CC1 and part of CC2. I am watching CC4 to see if they offer a balance transfer. I am doubtful on this one. But I am watching.
We are also planning on trying another Lending Club loan. We did this almost exactly one year ago, and it worked beautifully for us. We have paid WAY less interest, and have paid off 1/3 of the loan at this point. This would replace CC2.
I realize that the fees eat into some of the benefits. But the minimum payments collectively are almost the same, just more going to principle. This will at least buy us a little time to figure things out further.
If I am able to get this job (please!!!!), it will drastically change the numbers. I am estimating that we have the potential to be debt free (minus the house), in about 2 years. I would LOVE to be debt free by 38.....two years before my goal. But one thing at a time.
G-man has some overtime this month....about 14 hrs so far. There is the potential for more in the next 4 weeks. I am thinking of holding on to the money for the mean time and top off a few accounts, like the EF. I need to see how the numbers play out.
I will update all the numbers soon. Just waiting for them all to settle a bit.
Sunday, July 17, 2011
Beating away the financial blahs
I already know where and why these feelings are creeping in. But there are here....so now I have to deal with them. It is a combination of my meds being a little off, plus having a night out and spending money, and.....I am leaving for a few days to visit a friend.
I never claimed to be Gazelle intense. And while I love to read about others who are....it does frustrate me that we can't/won't do that. I just hate to adjust our current totals and have to adjust them UP.
I am frustrated that no matter what I do, the "master" plan doesn't work. There is ALWAYS a repair that ends up being way higher than what we have set aside. The cars...I question if we should have gotten rid of them awhile ago. The order of doing things seems to be in a constant state of change.
This year has been rough. But honestly...every year is rough. 2007 was the death of our twins, along with a huge oil leak. 2008 was my miscarriage and having to replace the roof. 2009 was the death of my father-in-law, car issues, and a myriad of other things. 2010...who knows. And now....2011....marriage issues, the pool, car issues.....now having to fix Bossy's room.....
Apparently....I just suck at this getting out of debt thing. G-man made a comment the other night that really upset me....."debt is just a way of life." That spoke VOLUMES to me. While he wants to be out of debt, and is participating more in the discussions....he isn't getting it yet that this noose around our neck is just weighing down our LIFE.
Now that our medical waiver is gone...my student loan is going up....we are unable to lower our interest rates without either opening another credit card, or maybe a new Lending Club loan....it is time to revisit the budget AGAIN...and figure this out.
I know I am not getting a raise at work (state budget cuts). I know that G-man is willing to work more overtime, when it is available....but if it isn't available....there isn't much we can do. I know that we are saving for Christmas, car stuff, irregular expenses.....and we are doing the best we can.
I am just frustrated that others are pulling way ahead, and we are treading water.
So my two small things for the day to make me financially feel better are 1) continue to pack up yard sale leftovers to sell at consignment (we did a trial run on Friday, and we will probably get about what we were asking at the yard sale), and 2) I bought some bulk coupons for shampoo, which with sales...will come out to about $1 a bottle.
Pity party over.
I never claimed to be Gazelle intense. And while I love to read about others who are....it does frustrate me that we can't/won't do that. I just hate to adjust our current totals and have to adjust them UP.
I am frustrated that no matter what I do, the "master" plan doesn't work. There is ALWAYS a repair that ends up being way higher than what we have set aside. The cars...I question if we should have gotten rid of them awhile ago. The order of doing things seems to be in a constant state of change.
This year has been rough. But honestly...every year is rough. 2007 was the death of our twins, along with a huge oil leak. 2008 was my miscarriage and having to replace the roof. 2009 was the death of my father-in-law, car issues, and a myriad of other things. 2010...who knows. And now....2011....marriage issues, the pool, car issues.....now having to fix Bossy's room.....
Apparently....I just suck at this getting out of debt thing. G-man made a comment the other night that really upset me....."debt is just a way of life." That spoke VOLUMES to me. While he wants to be out of debt, and is participating more in the discussions....he isn't getting it yet that this noose around our neck is just weighing down our LIFE.
Now that our medical waiver is gone...my student loan is going up....we are unable to lower our interest rates without either opening another credit card, or maybe a new Lending Club loan....it is time to revisit the budget AGAIN...and figure this out.
I know I am not getting a raise at work (state budget cuts). I know that G-man is willing to work more overtime, when it is available....but if it isn't available....there isn't much we can do. I know that we are saving for Christmas, car stuff, irregular expenses.....and we are doing the best we can.
I am just frustrated that others are pulling way ahead, and we are treading water.
So my two small things for the day to make me financially feel better are 1) continue to pack up yard sale leftovers to sell at consignment (we did a trial run on Friday, and we will probably get about what we were asking at the yard sale), and 2) I bought some bulk coupons for shampoo, which with sales...will come out to about $1 a bottle.
Pity party over.
Sunday, July 25, 2010
100% Funded!
Our Lending Club loan is 100% funded. We will be able to "pay off" CC1 this week.....buh bye 19.24% interest rate! And CC3 will be cut in half (or there abouts).
Things are finally starting to come together. Yippee!
Things are finally starting to come together. Yippee!
Thursday, July 22, 2010
I promised I would tell you....
what I decided about the bookcase.
G-man started off putting his foot down....no. We are doing Dave Ramsey. No. Then he softened a bit. Put it back in my lap. Said do it if I wanted to.
I e-mailed the guy and asked if he would consider a payment plan. And since he stated he wouldn't be making anymore for awhile, I asked if he had an idea when he would resume woodworking. He stated while he would like to help me out, he couldn't do a payment plan, and he has no idea when he would make more. This was more of a hobby than a business.
So at this point I was like, if I don't do this now, I probably won't be able to get it at all. This is the perfect cabinet. The price isn't really that bad for what I am getting....a custom, hand made cabinet with all the country charm I can handle. Perfect. So........
(wait for it)
(wait for it)
I decided AGAINST doing it.
Say what, Mysti? You wanted this thing so badly. You whined and cried for days about it. It is perfect. Might never be available again. What happened????
You guys happened.
An anonymous poster stated that I inspired her. That she was cutting back and doing her own digging out. And that I inspired her.
And that touched me to my soul.
Then, Lynne stated that she was signing up with Lending Club so she could help fund my loan. Awww, shucks......
And today, BobbieG helped us fund our loan as well.
You guys are the reason that I didn't do it. The outpour of support brought me to tears. People that don't "know" me believed in me. Believed that I am really doing the best that I can, and they wanted to help. Believed in my story and it helped them start their own journey.
How could I spend money on some object, when I have that kind of support around me? And at that point, it became easy to say NO.
I have decided to save all my rebate money (right now I am waiting on $86 via the mail, which is about 1/3 of the cost of the cabinet) and when I have enough to get the cabinet, I will e-mail the guy. If my dream cabinet is still there, then it was meant to be. If it isn't there....then oh well. I will have almost $300 to put towards something else.
I can't say that I won't suffer from the I WANT ITs again. I am sure I will. But I will do the best I can to hold strong.
G-man started off putting his foot down....no. We are doing Dave Ramsey. No. Then he softened a bit. Put it back in my lap. Said do it if I wanted to.
I e-mailed the guy and asked if he would consider a payment plan. And since he stated he wouldn't be making anymore for awhile, I asked if he had an idea when he would resume woodworking. He stated while he would like to help me out, he couldn't do a payment plan, and he has no idea when he would make more. This was more of a hobby than a business.
So at this point I was like, if I don't do this now, I probably won't be able to get it at all. This is the perfect cabinet. The price isn't really that bad for what I am getting....a custom, hand made cabinet with all the country charm I can handle. Perfect. So........
(wait for it)
(wait for it)
I decided AGAINST doing it.
Say what, Mysti? You wanted this thing so badly. You whined and cried for days about it. It is perfect. Might never be available again. What happened????
You guys happened.
An anonymous poster stated that I inspired her. That she was cutting back and doing her own digging out. And that I inspired her.
And that touched me to my soul.
Then, Lynne stated that she was signing up with Lending Club so she could help fund my loan. Awww, shucks......
And today, BobbieG helped us fund our loan as well.
You guys are the reason that I didn't do it. The outpour of support brought me to tears. People that don't "know" me believed in me. Believed that I am really doing the best that I can, and they wanted to help. Believed in my story and it helped them start their own journey.
How could I spend money on some object, when I have that kind of support around me? And at that point, it became easy to say NO.
I have decided to save all my rebate money (right now I am waiting on $86 via the mail, which is about 1/3 of the cost of the cabinet) and when I have enough to get the cabinet, I will e-mail the guy. If my dream cabinet is still there, then it was meant to be. If it isn't there....then oh well. I will have almost $300 to put towards something else.
I can't say that I won't suffer from the I WANT ITs again. I am sure I will. But I will do the best I can to hold strong.
Now the time has come to talk of many things
Have you ever had a week that just needs to END? Like, c'mon...do you really think I can deal with anything else on my plate? Glad today is Thursday!!
So, let's update a few things on the ole Mysti front that have been topics of discussion:
1) Lending Club loan. If you read my post here about Lending Club, I outlined the process and what we are trying to do. I have been wildly impressed with this process. Not only how easy it is, but the number of people that are involved. As of this morning at about 8am, we are at $4,225 of $13,600 (31.07% funded, or half of the minimum we need to actually acquire money). If you are interested in participating with Lending Club as an investor, click the link and go for it! Oh, and if you are interested in helping a girl and her husband and 2 kids on the path towards a debt free life......our loan number is 548886. :)
2) The Bookcase. Hmmmm, what do you think I decided? Did I go for it and am now the proud owner of the perfect bookcase that is housing my precious and much loved books? Did I hold strong and say NO to my inner brat (need to name my inner brat.....any thoughts? Right now I am leaning toward Esmerelda). You all ponder that one for a bit.....I will let you know!
3) No Eating out July. If you saw, I caved and took the kids out for dinner when a storm knocked our power out. The power was out about 4 hours, came back on for 2 hrs, and was out a good portion of the night (can you say sticky hot sleeping????). If it was just me, or even me and Sassy, we would have limped along with PB&J. But Bossy....that is a game changer. When you have a kid like him, and you have already told him hot dogs are on the menu, and you are late, and he is tired from camp and therapy.....you better produce. While I am not thrilled that we went out, I can justify my decision, and in the end, I think I made the right one for our family. Plus, we are having a BBQ this weekend, so my cupboards are bare, in order to make room for the BBQ stuff. ;)
4) Team Mysti/G-man. We are doing much better. I think when he read TTMM over vacation, he started to get it. When he and I sat for 3 hours and talked, I got it......he doesn't process this stuff the same way I do. It is still some give and take. But as a whole, things are better than a month ago when I kicked him out.
So, let's update a few things on the ole Mysti front that have been topics of discussion:
1) Lending Club loan. If you read my post here about Lending Club, I outlined the process and what we are trying to do. I have been wildly impressed with this process. Not only how easy it is, but the number of people that are involved. As of this morning at about 8am, we are at $4,225 of $13,600 (31.07% funded, or half of the minimum we need to actually acquire money). If you are interested in participating with Lending Club as an investor, click the link and go for it! Oh, and if you are interested in helping a girl and her husband and 2 kids on the path towards a debt free life......our loan number is 548886. :)
2) The Bookcase. Hmmmm, what do you think I decided? Did I go for it and am now the proud owner of the perfect bookcase that is housing my precious and much loved books? Did I hold strong and say NO to my inner brat (need to name my inner brat.....any thoughts? Right now I am leaning toward Esmerelda). You all ponder that one for a bit.....I will let you know!
3) No Eating out July. If you saw, I caved and took the kids out for dinner when a storm knocked our power out. The power was out about 4 hours, came back on for 2 hrs, and was out a good portion of the night (can you say sticky hot sleeping????). If it was just me, or even me and Sassy, we would have limped along with PB&J. But Bossy....that is a game changer. When you have a kid like him, and you have already told him hot dogs are on the menu, and you are late, and he is tired from camp and therapy.....you better produce. While I am not thrilled that we went out, I can justify my decision, and in the end, I think I made the right one for our family. Plus, we are having a BBQ this weekend, so my cupboards are bare, in order to make room for the BBQ stuff. ;)
4) Team Mysti/G-man. We are doing much better. I think when he read TTMM over vacation, he started to get it. When he and I sat for 3 hours and talked, I got it......he doesn't process this stuff the same way I do. It is still some give and take. But as a whole, things are better than a month ago when I kicked him out.
Wednesday, July 21, 2010
Peer to Peer Lending
AKA Lending Club. I mentioned before that we were considering this option. Well, we decided to go for it.
Don't know what this is? Basically, it is applying for an on-line loan, but instead of the funding coming from a bank or financial institution, it comes from multiple "investors." Members can choose which loans they would like to financial assist, at whatever amount they choose. The investors in turn make just under 10% interest. The investee.....you get a basic loan. They offer 36 or 60 month terms, and interest rates vary by your credit score.
Where we stand. We qualified for A5 tier. Basically, the bottom rung of the best group. Hey, at least were in the A group. Ulitmately, we asked for $13,600 at 7.88% over 36 months. It comes out to $425 a month.
Why this is better for us. This loan, if fully funded, will pay off CC1, which is at 19.24%!!! The remainder will go to CC3, at 14.24%. The minimum payments for these are at over $500, so even though CC3 won't be gone, the amount will go down roughly 50%. We still come out ahead, or at least even, but these will be GONE. And the new loan will be GONE in 36 month. Flat.
The Process. Actually, it is very straightforward. Fill out application, which is nothing more than name, address, etc, and employment, and of course, what you are looking for. It quickly tells you what you qualify for, along with some other options. In our case, we actually started asking for a higher amount, but that was also at a higher interest rate. The system offered us some other choices, and we ultimately decided what would be best for us.
The loan went live the next day, and as of this morning....we have $2100 dollars and 43 investors. We received one question that we have answered.
As for verification, we had to do a phone verification, to make sure we are who we say we are, and this morning will be faxing paystubs.
Now we just wait. The loan stays live for 2 weeks. At the end of the period, if the loan is funded at least 60%, we will automatically get that money. If it isn't, we have the option to decline, relist, or take what we got. We are hoping within 2 weeks we will be fully funded. Since it is only 24 hrs in, so far so good!
Wish us luck!
ETA: As of 1:00pm, we were up to $2,625 and 54 investors. I know that some people have been offering $25, since I am checking this regularly. If it goes up by 1 investor, and $25....there ya go. I am just thrilled that anyone believes in us enough to contribute. We still need another $5,535 to hit our 60% funding cash out point, but all the "snowflakes" (ala Dave Ramsey style!) are helping!
Don't know what this is? Basically, it is applying for an on-line loan, but instead of the funding coming from a bank or financial institution, it comes from multiple "investors." Members can choose which loans they would like to financial assist, at whatever amount they choose. The investors in turn make just under 10% interest. The investee.....you get a basic loan. They offer 36 or 60 month terms, and interest rates vary by your credit score.
Where we stand. We qualified for A5 tier. Basically, the bottom rung of the best group. Hey, at least were in the A group. Ulitmately, we asked for $13,600 at 7.88% over 36 months. It comes out to $425 a month.
Why this is better for us. This loan, if fully funded, will pay off CC1, which is at 19.24%!!! The remainder will go to CC3, at 14.24%. The minimum payments for these are at over $500, so even though CC3 won't be gone, the amount will go down roughly 50%. We still come out ahead, or at least even, but these will be GONE. And the new loan will be GONE in 36 month. Flat.
The Process. Actually, it is very straightforward. Fill out application, which is nothing more than name, address, etc, and employment, and of course, what you are looking for. It quickly tells you what you qualify for, along with some other options. In our case, we actually started asking for a higher amount, but that was also at a higher interest rate. The system offered us some other choices, and we ultimately decided what would be best for us.
The loan went live the next day, and as of this morning....we have $2100 dollars and 43 investors. We received one question that we have answered.
As for verification, we had to do a phone verification, to make sure we are who we say we are, and this morning will be faxing paystubs.
Now we just wait. The loan stays live for 2 weeks. At the end of the period, if the loan is funded at least 60%, we will automatically get that money. If it isn't, we have the option to decline, relist, or take what we got. We are hoping within 2 weeks we will be fully funded. Since it is only 24 hrs in, so far so good!
Wish us luck!
ETA: As of 1:00pm, we were up to $2,625 and 54 investors. I know that some people have been offering $25, since I am checking this regularly. If it goes up by 1 investor, and $25....there ya go. I am just thrilled that anyone believes in us enough to contribute. We still need another $5,535 to hit our 60% funding cash out point, but all the "snowflakes" (ala Dave Ramsey style!) are helping!
Monday, July 19, 2010
I had to giggle at this one
There was a message on the home phone answering machine from my credit union, wanting to talk to me about doing an e-loan.
Why is this funny? Because last year I blogged here and here and here about them turning us down for a loan!!
Not all that much has changed. We are at the same jobs, making the same money. We have paid off about 5k in debt, but that is about it. So now they want to talk......hee hee.
Where were you a year ago when we were desperately trying to make some changes for the better. When we really could have used the money, and have paid WAY less interest on things in the past year?
We are still pending on the peer to peer lending. I am getting antsy that it is the right decision. It would pay off CC1 and part of CC3. *sigh* I wish I were more decisive on these things. G-man has bowed out of this one....he said the final decision is mine. Thanks, hon.
Why is this funny? Because last year I blogged here and here and here about them turning us down for a loan!!
Not all that much has changed. We are at the same jobs, making the same money. We have paid off about 5k in debt, but that is about it. So now they want to talk......hee hee.
Where were you a year ago when we were desperately trying to make some changes for the better. When we really could have used the money, and have paid WAY less interest on things in the past year?
We are still pending on the peer to peer lending. I am getting antsy that it is the right decision. It would pay off CC1 and part of CC3. *sigh* I wish I were more decisive on these things. G-man has bowed out of this one....he said the final decision is mine. Thanks, hon.
Saturday, September 26, 2009
Now it is dead in the water
I called about our personal loan and explained to them what we were trying to do (i.e. it isn't new debt, but more of a consolidation). They told me to reapply and explain in detail the plan.
Well, we still got turned down.
The FA is about to get fired by us, because basically he is like....I dunno know. He wants us to try and get the loan from the local bank. But if they say no, then we are running out of ideas. We can't refinance the house, we can't gain cash flow. Nothing.
CC1 is losing ground. I am paying the minimum (which is up to $482) and the finance charges are killing us. We may have to close this acct and settle, which I have no idea what that will do to our credit score, thus making the refi on the house even more difficult.
Well, we still got turned down.
The FA is about to get fired by us, because basically he is like....I dunno know. He wants us to try and get the loan from the local bank. But if they say no, then we are running out of ideas. We can't refinance the house, we can't gain cash flow. Nothing.
CC1 is losing ground. I am paying the minimum (which is up to $482) and the finance charges are killing us. We may have to close this acct and settle, which I have no idea what that will do to our credit score, thus making the refi on the house even more difficult.
Wednesday, September 16, 2009
Personal Loan Update :(
They turned us down due to debt to income ratio being too high.
Well, crap.
In reality, this loan wasn't creating new debt....it was helping to reshuffle what we have. But they don't see it that way. When we receive the official letter (I was turned down on the phone), there will be info on contesting it. So, it may not be dead in the water just yet...but that is being drastically hopeful and optimistic (and trust me.....I am not good at playing Miss Mary Sunshine.)
Spoke to the FA, and he is bummed. This was a lynch pin in the plan....and now he has to figure out a way for us to come up with $7,000 to pay off the retirement loan so we can keep working the other steps. I told him I am concerned that if this was a NO, what else will be a NO. Plus, I don't want our FICO score to take too much of a beating.
There is a few other things we can do to come up with the money....none of which are good. Sell my engagement ring is one. Parents.....that is iffy.....I know my parents really can't do it. I know his mom can...but I hesitate to ask.
I can continue to sell off extra stuff we have, but I doubt we have $7,000 worth.
Frustating.
Well, crap.
In reality, this loan wasn't creating new debt....it was helping to reshuffle what we have. But they don't see it that way. When we receive the official letter (I was turned down on the phone), there will be info on contesting it. So, it may not be dead in the water just yet...but that is being drastically hopeful and optimistic (and trust me.....I am not good at playing Miss Mary Sunshine.)
Spoke to the FA, and he is bummed. This was a lynch pin in the plan....and now he has to figure out a way for us to come up with $7,000 to pay off the retirement loan so we can keep working the other steps. I told him I am concerned that if this was a NO, what else will be a NO. Plus, I don't want our FICO score to take too much of a beating.
There is a few other things we can do to come up with the money....none of which are good. Sell my engagement ring is one. Parents.....that is iffy.....I know my parents really can't do it. I know his mom can...but I hesitate to ask.
I can continue to sell off extra stuff we have, but I doubt we have $7,000 worth.
Frustating.
Monday, September 14, 2009
Pending further review
Oh poop....did I screw up?
We are applying for a personal loan through my credit union. This will pay off G-man's retirement loan, thus allowing us to access this account in 60 days. So I fill in the handy dandy on-line form. Pretty easy and straight forward.
Applicant....me. Co-applicant....G-man. It is my account, so I am the applicant, right??? Maybe.
Once I got the 60 second answer of "pending further review," I thought about it again. G-man is the primary breadwinner.....should I have put him first???? Dunno. Maybe once they review it, they will see we are married and have a joint income, and it won't be a big deal.
If they turn us down, then we have to go back to the drawing board.
We are applying for a personal loan through my credit union. This will pay off G-man's retirement loan, thus allowing us to access this account in 60 days. So I fill in the handy dandy on-line form. Pretty easy and straight forward.
Applicant....me. Co-applicant....G-man. It is my account, so I am the applicant, right??? Maybe.
Once I got the 60 second answer of "pending further review," I thought about it again. G-man is the primary breadwinner.....should I have put him first???? Dunno. Maybe once they review it, they will see we are married and have a joint income, and it won't be a big deal.
If they turn us down, then we have to go back to the drawing board.
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