Well, my post from yesterday is still not on here, but neither are any other new posts??? My questions from that other message still apply, but I also have a new one and I hope that it gets posted and answered soon since the bank will close in a few hours! So, here goes!
Ok, so yesterday I called USAA, one of our banks, and spoke to the financial advice center there. The only thing that the girl said that I didn’t already know was to look into a debt consolidation loan. Well, I knew about them, I just didn’t think that we could get approved.
Will that bank, we can’t. But, Navy Federal I think has approved us. It should have the final stamp of approval today. It would be for 25K and would pay off the credit cards and our home equity loan. The only reason I want to pay off the equity loan is that I think then maybe we can actually sell the house because we could drop the price 10K- we could downsize. The payment on this loan is about 600 a month- which is about 100 more than our current min. payments on everything now. We aren’t able to pay all the bills for the first time ever as of this month. Right now, nothing is more than 14-21 days late, so it has not been reported yet.If we get this loan, I could make the payments before they are reported and the first payment would not be due until the end of Oct. I am going to ask if they can move that to Nov to buy us a bit more time, but I don’t know if they can. We are planning on having our in home daycare open by then, or maybe hubby will be in a great paying job in Afghanistan. but if those things don’t happen we will still be unable to make all our bills.
So here is the question. Should we do it since we would actually have a payoff date for everything this way and actually be making progress with the bills/ credit cards since they would all be combined in to one? I also thought that maybe it would be easier to work with one bank where we have a great history if we can’t make a full payment on just one loan than it is to try to work with all these different creditors. If we end up still having to file BK (and I am hoping that maybe this can prevent it) I don’t think it will matter if we have just hat loan vs having a bunch of different debts?
Let me know your thoughts and experiences pls…. This is all so new to me and it seems like a last chance!
M wife and I learned (as many others we later found out) why Dave Ramsey (website) calls them debt CON-solidaton loans. If you have not changed your habits, in 2-3 years, you will have racked up the cc’s again and, oh by the way, still have the CON loan to pay. Now you are doubly in debt. If, you will cut-up all cc’s, close the accounts and never, ever, borrow again, then a Consolidation loan may be a good venture. But, be warned. There are many people on this board who have wound up like us.
Our loan would save us about 225 a month vs not getting it and paying just our min payments. See, it would allow us to pay off enough of one vehicle (which we never use but have to keep fully insured as it is financed and have not been able to sell in 9 months) so that we can sell it. Just selling it and not having that payment and insurance would save us the amount of the monthly payment on the new loan. We had great experience with payday loans company called TnbLoans, and now we are looking for a similar provider offering debt consolidation loans. And, it would pay off all but one CC and would take a chunk off of that, thus lowering the min payment for that one. Plus, it is easier to work with one bill than a bunch of different creditors, rights?
Any other thoughts?
ya…I’ve been there and told myself this same story but 4 years later I am eagerly anticipating paying off this consolidations debt. It just never is as good as it sounds no matter how hard you try to spin it..trust me. Or dont, then talk to me in a few years. We paid off a vehicle, and now it sits in our driveway not running- two years into the consolidation debt the vehicle decided to have problems.. see where I’m going with this?. We paid off other stuff.
But what happens is you accumulate other stuff too in the process. The truth is, if you are willing to take on debt then you dont have your finances under control. This is just what I’ve learned. Once you finally make the connection that you dont need credit cards, refinancing, consolidation, etc. That’s when you finally become free from debt. Yes you still have to pay back what you already owe or file BK, but the realization alone is worth its weight in Gold. No one can make you realize it. You have to come to this on your own. I know I can talk until I’m blue in the face but there will come a day when you realize what I’m saying.
Yes, but in some places you just have to have a vehicle. If you don’t , you just can’t get to work. No work no money. Getting to work and getting that money coming in is the most important thing. Is not a luxury