April was a terrific month financially. I managed to pay off $1,107 in debt. An amazing amount considering my net income is only $852. Now, I know some may ask how I managed to do that. The answer is simple. I received a quarterly distribution from the Telephone company, I own a piece of. In addition I used the money from the roommate to help get this debt reduced. I am still waiting for the annual dividend check from the telephone company. That check will be $300 and I will use that to help pay off the last $400 of my home improvement loan with AmeriFirst Home Improvements.
While, I had hoped to have this debt paid off by today. it just did not happen, because the phone company has mailed the dividend checks yet. So now, I am looking to getting the debt paid off by May 31st (or June 1st, if you will). No matter, what I can't see any reason this debt won't be paid off in this time. According to AmirFirst's automated system, my next payment due date isn't until August 10th, and the payoff in late May is $404.22. Once, I get that paid off, I can turn my focus to the Fingerhut debt.
The downside, is today I entered another debt. A medical debt, for Physical Therapy. The portion that the insurance won't pay after the completion of 12 treatments will $1,315 of the $2,280 bill. The Physical Therapy center tacks on a 5% processing fee for financing the "interest free" billing, bringing my total debt to $1380.75. The cost per treatment is $109.58. My monthly payment beginning on June 23 will be $57.53. Which means 3 of my weekly payments to AmeriFirst will be going to this new debt.
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The rich rules over the poor, And the borrower becomes the lender's slave.
-- Proverbs 22:7 (NASB)
Thursday, May 01, 2008
April Was a Terrific Month Financially
Thursday, April 24, 2008
$300 Gone
I am excited. This week, the current balance on my mortgage was almost cut in half. A week ago today, my payoff balance was $725. Then I sent AmeriFirst Home Improvement a payment of $300, which was posted on their automated summary this morning. My new balance is now $423.28, based on a payoff for May 23. Of course, my goal is still to pay it off by May 1st. If only the $300 check I am still waiting on would arrive, so I can sweep that into this payoff amount. Once that happens, I would only need to come up with an additional $120 and some change to officially get it eliminated.
In fact, looking at the figures in Networth IQ, in the past month I have paid 50% of what I owed at the beginning of the month.
Realistically, at this late stage in the month, I may have to move the goal back to June 1st, but I believe in miracles and am going to stick to my May 1st goal, as long as I possibly can.
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Thursday, April 17, 2008
Worshiping At The Altar of the FICO
This past weekend, the Today show on NBC, had a story entitled, "7 ways to improve your credit score." It is clear from not only the title, but also their guest that they are worshiping at the altar of the FICO score.
So what are the 7 tips?
Fix your credit report Pay your bills on time About one-third of your credit score is based on your payment history. If you’re having trouble paying the total balance, pay at least the minimum by the deadline. Making that deadline is more important to your score than the amount you pay (although the more you pay off, the less interest you’ll owe). If you do miss the deadline, pay up as soon as possible, the later you are, the more you’ll hurt your score.
This is a commonsense no brainer. If you are late paying your debts, utilities and other bills, it is going to negatively affect your credit. Always, let me say that again, always pay your bills on time.
- Kiplinger’s Personal Finance magazines, Kimberly Lankford on NBC's Today Show- Keep your balances low
Another big part of your score is the share of available credit you’ve used. Lenders get worried if it looks like you’re maxing out your cards. Keep card balances below 25 percent of the credit limit, 10 percent is even better. It’s the amount you charge that counts, even if you pay the balance in full every month.
If we are going to be debt free, why do we need to keep low balances? This is one area, where this lady and the banks are trying to keep you in debt, by trying to tell you closing the account will negatively affect your credit. The only reason banks want you to keep any balance at all, is so they can relieve you of your hard earned money and make themselves richer.
- Kiplinger’s Personal Finance magazines, Kimberly Lankford on NBC's Today Show - Don't close old accounts
Keeping old accounts with a good record can help because the age of your oldest card and the average age of your cards are key elements of your score. Closing accounts also lowers your overall credit limits, which makes it look like you’re closer to maxing out your available credit. If you do want to close some accounts, especially ones with high annual fees, close only one every few months and don’t close any accounts within six months of applying for a loan.
I pretty much answered this one in my last response. As Dave Ramsey has repeatedly said on his show, the only thing a good FICO score shows is that you love debt. If we are going get out of debt, we don't need a score at all. Plus, if you want to get a mortgage and don't have credit, you can still get that mortgage. Mortgages being the only debt Dave Ramsey, backs away from being critical on, can be obtained by using a mortgage broker that uses manual underwriting.
- Kiplinger’s Personal Finance magazines, Kimberly Lankford on NBC's Today Show - Pay off old debts
Even a small library fine or disputed electric bill can crush your credit score if the debt goes into collection, dropping a high score by as much as 100 points. Now that more municipalities and utilities are sending small, old bills to collection agencies, I’ve been hearing from many more readers whose scores dropped significantly because of a very old bill for less than $100. Even if you pay off the bill after it’s gone to collection, the damage is already done. Negative information generally remains on your credit report for up to seven years, but the impact on your score lessens through time. Don’t lose track of small charges that can come back to haunt you, and pay the bills off quickly before your score suffers.
Yes, I agree. Going back and paying off debts that may have gone to collection is not only a legal obligation but us a moral one, because we are to honor our agreements.
- Kiplinger’s Personal Finance magazines, Kimberly Lankford on NBC's Today Show - Order your credit score
You can’t get your score for free, but you can order it when you get a free copy of your credit report at www.annualcreditreport.com. Or you can go to www.myfico.com and get your score directly from Fair Isaac, which created the popular FICO score. Some credit bureaus also offer their own versions of credit scores, which can give you a general idea of how your record stacks up, but most lenders use the FICO score when setting your rates.
I have even heard Dave Ramsey talk on his radio show about going to www.myfico.com and checking his FICO score. In his case it is 0 on all three credit bureaus. Meaning he doesn't have an "I love debt score," because he doesn't. - Don't ignore your score
Buying or refinancing a house is the biggest reason to be concerned about your score. But your credit score also affects your credit-card rates and terms, car-loan rates and auto and homeowners insurance premiums. Insurers found that people who have low credit scores are more likely to have insurance claims, and your score can have a big impact on your premiums in most states. Potential employers and landlords may also check your record. Don’t worry about micromanaging your score, you’ll usually look good with anything above the high 700s. But your score can affect your personal finances at any time.
OK, I have gave my thoughts on this. Unless you are going to make the banks richer and go into debt again, I strongly urge you to ignore your score. You can get a mortgage by using a manual underwriter rather then a bank that leans purely on the FICO score.
With that said, I do know my scores. Last Month, the last month WaMu checked my credit from the old Providian Credit Card that i just paid off, they put me at a 688 with TransUnion.
However, on April 14th of this year I logged into and got all 3 FICO's. I must say there is quite a bit of difference and I haven't been late on anything recently nor have I applied for any new debt.
*** TransUnion 619 *** Equifax 550 *** Experian 624 *****
Two of the three did however, have a public record on them that even though it was paid and the lien released had not been removed from my credit reports. In fact, the state actually just sent me the court papers dated some 3-years after they were to have been filed. Go figure.
The fastest way to raise your score is to fix errors on your credit report. Go to www.annualcreditreport.com to get a free report from each of the three credit bureaus every 12 months. It’s important to fix mistakes on all three credit reports. You have a separate credit score based on each bureau’s report, so your scores could be very different if one report contains errors.I personally agree that if there is errors on your credit report, they need to (and must) be removed. I am a big proponent of checking all 3 credit reports once each year.
- Kiplinger’s Personal Finance magazines, Kimberly Lankford on NBC's Today Show
Finally, Suze Orman who most recognize as a person who worships at the altar of the FICO score, has a product called, the Suze Orman FICO Kit Platinum that is available when you sign up with myFICOscore.com. The video below is from VideoCreditScore.com, and is an intereting review of the product. While I certainly to hold to the belief of fixing your "I love debt score," unless you want to put yourself into debt further (or again as the case may be), it is certainly worth viewing.
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Monday, April 14, 2008
Free Tax Filling Help for Procrastinators
Most of us have already filled our taxes, but for those of you who have procrastinated here is a something you might look at. Since the filling deadline is tomorrow, Michelle Shildkret with H & R Block emailed me to let my readers know.
I hear you about gas prices-- I just filled up in Brooklyn, NY and I was paying $3.45 a gallon. Ouch!
I see you're basically done filing, but tax day is tomorrow (ack) and I thought you might like to share the news that H&R Block is now offering TaxCut Basic + efile for the low, low price of FREE:
http://hrblock.com/cmpgn/online/free_online_lp.html
In addition, anyone that files with TaxCut is automatically entered to win a Cancun family vacation: http://www.facebook.com/HRBlockonline
Feel free to share with your readers- hope this makes their last minute filing a bit easier.
Thanks,
Michelle
So if you are one those that have procrastinated, hurry up. You are runny out of time and this online program, may be just the thing for you to get those taxes done.
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And that's my view, what's yours?
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Wednesday, March 26, 2008
My Free TV is Ending
Back in 1996, I found a great satellite service. The service offered nothing but Christian programing back then. Since then they have offered some family friendly TV stations as well. Such stations as the Hallmark channel, the Hallmark Movie Channel and Fox News have joined the line up along with such stations as Cornerstone TV (from PA), the Liberty Channel (as in Liberty University in VA) and many other Christian TV stations from around the country not to mention all the Christian radio stations. Well because I was an early subscriber, I had the opportunity to be a lifetime subscriber. Something that has paid for itself many times over.
Now, I have learned that come March 31, 2008, they will be ending their satellite service and be moving towards a new technology that will provide television through my high speed Internet service. The service called Sky Angel IPTV will be able to offer additional programing over the current (and soon to be disbanded). Some of the new channels include FOX Business (something I certainly want), the weather channel, discovery channel and the Sportsman Channel, to name just a few. Of course they are expanding their Christian TV programing as well, but as you can see the family channels really is being increased. The problem is that, I will no longer be a lifetime subscriber once they end the satellite service.
Their prices are as follows:
Faith Package $14.99 a month, Family Package $19.99 a month, and both packages $24.99. They are offering a free box if you make an 18 month commitment to the service.
While, I would love to make the switch and continue with this great service, I just don't know how I am going to work it into my budget. Perhaps, it is another area of consumerism that I must learn to do without.
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Sunday, March 02, 2008
March 2008 Budget
It's a few days late, but here is a look at my March 2008 budget plan. I am still hopeful of getting my another debt knocked out this month, but as I write my plan and figure in the setbacks (that I failed to plan for), it doesn't look realistic.
I really need to start budgeting for the insurance, taxes and clothing that I know I will have to incur at some point every year. But the budget as it is currently planned is already $88 over budget. Perhaps I will squeak out a little overtime to make up the difference, between my take home pay and my expenses.
It is really beginning to look like a wise idea to get a $15,000 Prosper.com loan, to pay these debts off. My payments would be less then the current $400 car loan. However, I could still pay $400/month on it and not have to pay out the other $90 in debt payments, that I am currently paying. Thus improving my financial situation immensely. What do you all think?Item Budgeted Actual Owed GIVING Tithe/Charity $?? $??? subtotal $?? HOUSING Mortgage $80 $891.88 Insurance $0 Maintenance $0 Taxes $0 subtotal $80 $891.88 UTILITIES Electric $80 Gas $80 Water $30 Internet $35 Phone $0 Cell phone $50 Trash $15.50 subtotal $290.50 FOOD Grocery $50 subtotal $50 Transportation Auto Gas $70 Insurance $0 Maintenance $0 Tags & Taxes $0 Car Payment $400 $9,861.05 subtotal $470 $9,861.05 CLOTHING Sunday Best $0 Work $0 Everyday $0 subtotal $0 Prescriptions $0 Deductibles $0 Eye Doctor $0 Insurance $0 subtotal $0 RECREATION/Memberships Entertainment $0 Dating $0 Optimist Membership $40 Farm Bureau Membership $0 Subtotal $40 DEBTS Providian Credit Card $0 $0 Fingerhut $10 $1,000 Black Gold Insulation $0 $0 IRS $0 $3,795.52 Subtotal $10 $4,795.52 TOTAL $940 $15,548.45
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Thursday, February 21, 2008
WOW! That FICO Jumped!
I logged into my Providian (Washington Mutual) credit card to see if my payment of $3.44 had cleared (it had), and while there checked my credit profile. Last month, I only had a FICO of 602. This month (as of February 1, 2008 my FICO had the biggest jump that I have ever seen. It now stands at 669. I guess paying off that credit card really helped improve my FICO. Now let's see what can happen as I pay off my other 3 debts. It will be difficult though, since I am sure, WaMu will shut off my access to their site at the end of the month. Unless they do something really absurd, like charge me interest on the $3.44.
Still though there is a difference between credit bureaus. Last week, my credit was checked by Prosper.com, which uses Experian and they have my credit ranked as an E (599-560). They also have 3 lines of credit with 2 open. So it is possible they either don't have the credit card info or don't have the updated info. If they had the same information, and scored it the same, I would have a Prosper grade of C (679-640)
It is time to run a new check on my credit with the Free Annual Credit Report tool. So I went and pulled the report for Experian and sure enough WaMu was there and it was up to date. With a balance due of $3, of course it may not have been there when Prosper.com pulled it.
In addition, I found a couple of minor items to dispute. Like addresses I have never been at. One in Florida, I even reported to law enforcement several years ago, when I got a notice from a debt collector about that address, but law enforcement seemed less then interested. Since then I reported to the credit bureaus that I never lived there. Heck I never ever lived anywhere in Florida. To top it off, while I went on Spring Break in Daytona and Orlando back in 1990 in never ever visited the city that is listed on my report. Hopefully in the next month or so, Experian will get that off the report.
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Sunday, February 17, 2008
Rambling Thoughts on My Debt
Well I sent off the $3.44, to the credit card company. You don't think they will try to charge me interest on the interest do you? I really don't need yet another bill, for a few cents, to be hassled with. I have other debts that I must focus on. Like that nagging AmerFirst home improvement debt. Like the nagging FingerHut ($937) Ripoff debt ($1,000).
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Friday, February 01, 2008
It's Going, Going, It's Gone
The batter stepped up to the plate. The pitcher winds up and throws a Providian Credit Card payment. The batter takes his swing and makes connection with the ball. As the credit card payment with a 31.74% interest rate sails over the pitchers head and out of the ballpark.
After a December payment had reduced this debt to $395, January interest charges brought this debt back up to $405.83. Now with help of the $147 received from Google AdSense this month the debt was brought down to a big fat $32. Because, some of my other bills, and unplanned spending to get a yard sign and sweatshirt for my Presidential candidate, I only sent $130 (1/29/08) off to Providian.
Finally, I went yesterday and withdrew $32 from my small emergency savings account. Today I sent the final payment of $32. Now I will have to see, if they send me another bill with additional interest charges on it. Hopefully they wont, but we shall see.
With one less debt to worry about, I can now get my home improvement (Amerifirst), Fingerhut and the IRS eliminated. My plan is to try to somehow get AmeriFirst and Fingerhut paid off by the end of March. Not sure how I will pull it off, but that is my hope. I am so pumped though.
I am eager to get these debts paid by April, though I would really like to be completely debt-free by then to. We will see what happens. Of course, I need to get an emergency savings built and kept to.
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Tuesday, January 29, 2008
Paying Debts, Productivity and Organization
How you pay your debts can be viewed in your productivity and organizational skills. Part of that is panning ahead for the unexpected. That is the focus of the Money Monk, who wrote about saving and paying your debts recently.
That has been the topic in someway of a number of bloggers recently. Saving Advice, recently posted 44 ways to improve your productivity. Below is part of Jeff's list and my comments on them.
Another blogger, known online as Money Monk, wrote Paying off all debts before saving is foolery.
The monks opinion is that saving is boring, but necessary. He suggests that it is foolery (Dave Ramsey would agree) to pay off your debts first. For me, I am so eager to get rid of my debts, I have focused more on the debt repayment, then I have my emergency fund.
What would happen, if my car were to break down? Or my water heater were to blow up right now? Answer, I would be in a world of hurt, because I haven't been proactive of building my savings. That is the danger of not saving. We can make all the excuses in the world that we want to, but that's what they are, excuses.
I have to be better about saving. I have to be prepared for the unexpected. Which really isn't unexpected, because we know that eventually they will happen. I do like to see my debts getting smaller, but I also need to get excited about seeing my savings grow as well.
Finally, I and a number of my readers need to be better organized. A person who is organized (everything has its place) and has a clean abode and car, will also have an organized financial life. Not only that, but the savings and productivity will also fall into place because they are all part of being organized.
Larry Winget says that he can bet these people he sees on those "clean my home," type programs that their finances are also a wreck. Especially, those people whose homes can't be gotten through, except for the small path in the room.
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Thursday, January 24, 2008
Remaining Debts - January 2008
As the month of January progressed, I wondered if I would reach any of my goals for these debts. I made a $23.50 payment to the crummy people at Providian on the 11th. Another $220.33 on the 17th. I am still waiting on my $147 from the Google AdSense allowing me to increase my payment to those ripoff artists, and get my debt to them down to $15. I am hopeful to then get that last $15 paid before Feb. 6, so I don't have to pay any more interest.
If I do have to go into a new month, it won't be the end of the world though. My paycheck comes on the 7th, but I think I will be able to swing that last accelerated payment. What a great day it will be, when that debt is paid off.
Perhaps, I have enough aluminum cans to get that final $15.
| Account | Beginning Balance | Monthly Minimum Payment | Payments This Month | Outstanding Balance | |
| Providian Credit Card | $405 | $17 | $243.83 | $162 | |
| Amerifirst Mortgage | $990 | $75 | $30 | $970? | |
| FingerHut | $1,000 | $50 | $10 | $1,000 | |
| Car Loan | $10,581 | $400 | $400 | $10,262.73 | |
| IRS | $3,796 | $0 | $0 | $3,796 |
I did get a phone call from FingerHut this month. The first, even though they claim otherwise. Perhaps, they are the ones making all the hang up all calls. Or, perhaps they are the ones that say they have an important announcement. My take there, is if it is so dang important, then actually call me. A recording telling me to hold, is not important.
Anyway, I am getting sidetracked, they said $10 wasn't enough, but they would accept that for the Jan. and Feb. payments. Then they would call back to get an increased payment. Oh they also said it was now in their (in house) collection department, so it would no longer be accruing interest and fees.
I would still like to somehow pay off this debt and the AmeriFirst (home improvement) loan paid off by March 31. Seeing as that would be more then my income, that would take a miracle, but still, I am hoping that between AdSense, PayPerPost and Blogvertise, I will get more additional income then ever before.
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Sunday, January 13, 2008
I must stay focused! Can't let my gaurd down.
I am eager to get rid of my smallest debt. With it's 31.74% interest, it is easily the debt that is most abusing to my finances. That interest rate is easily in excess 3 times more then any other interest rate, I pay.
Being eager, as soon as I got my paycheck last week, I sent them through my online bill pay a payment of $23.50. After I sent payment, they printed my new bill. Raising my bill from $395 to $405.83. They are expected to receive that payment tomorrow and have it posted at midnight Monday night/Tuesday morning.
But, I don't intend to stop there. My goal is to have the bill paid off by the end of January. I am expecting a payment from Google Adsense, for $147, late this week or sometime next. In addition, I received a little bit of cash from another source, allowing me to send another payment on Tuesday for $240.33. Right, now I have that cash sitting in my savings account so that I can earn a few days (the weekend) interest on it. Late Monday evening, I will move that to my checking, so that early Tuesday the money will be there to pay the payment, that I have already set up in my Credit Union's online bill pay.
I am pumped now. Watch as my 2-year struggle with this particular debt comes to an end. Then I will move on to fight Fingerhut ($1,000+ w/ 1% inteest), the home improvement loan ($990 w/10% interest) and the IRS debts ($3,000+ w/8% interest). Clearly, the smallest interest rate is that ripoff company known as Fingerhut, but which should I turn my focus onto next? I know Dave Ramsey would say the smallest (the Home Improvement loan), but Fingerhut is also the most annoying.
*** I misquoted the interest rate on this account. It is NOT 36% instead it IS 31.74%. Really, not much difference in the realm of things, but I did want to correct that.****
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Tuesday, January 08, 2008
You're Broke Because You Want To Be
I recently finished reading, "You're Broke Because You Want to Be: How to Stop Getting By and Start Getting Ahead," a new book by Larry Winget. Winget, whose other books include "It's Called Work For A Reason," and "Shut Up, Stop Whining & Get A Life." He is probably best known as the star of A & E's "Big Spender. Winget is sometimes called the the pitbull of personal development, for his harsh, abrasive, in-your-face style towards personal finance.
Perhaps it is important to say, that in the introduction to his new book he makes a clarification between broke and poor.
," a new book by
Poor is a condition I find very sad. Sad, yet inevitable. Jesus Said, "The poor will be with you always." And they will....I didn't write this book for the poor people of the world. I know it is going to take a lot more than a book to help truly poor people....Broke is NOT a condition like being poor. Broke is a situation you find yourself in because you are either under earning or overspending. I can't fix poor, though I would love to. I'm good, but I'm not that good. I can fix broke....I will show you how, step by step.
I wrote this book for the average person who has a job, makes a living, and still can't seem to get ahead.
He points out what I have tried to say in this blog numerous times (even about myself). We may say we want one thing, but our actions contradict those words. Until we actually decide to make sacrifices and to actually but some real action behind our words, we are just talk. The idea that we must have all our fun now, without planning for our future is a great example of not putting our words into action.
Now before you get the wrong idea, this isn't positive thinking, instead, it is a nose to the grindstone, no excuses accepted and get it done. Exactly what I have been trying to say and encourage readers of my blogs to do.
The book was a hard-hitting no-holds-barred read. He says what needs to be said and doesn't except any excuses.
I quickly found myself described in several spots, but I didn't let myself be offended. Instead, I wanted to learn. I found the book hard to put down and eagerly filled out the workbook sections in each chapter. Admittedly, I could do without some of the language he used in the book, but it wasn't so over used that it was too much of a problem.
It is a book I would strongly encourage anybody who really wants to get out of debt to read. It will be an invaluable tool to your financial life and peace of mind.
I know, that he will be someone that I will be quoting as often as I do Dave Ramsey and John Cummuta.
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Friday, December 28, 2007
A Look At The IRS Debt
After posting my financial resolutions for 2008 Dedicated made the suggestion
Call the IRS, with your debt papers in hand. Your goal is to get the debt reduced or eliminated. In my experience, I have seen the IRS eliminate, completely, debts with higher income than yours. I do not believe you earn enough - at your debt level to repay this debt.
If you would rather not call. Write a letter to the address on the notice, include a copy of the notice, divulge all your financial information (income and debts) and request that they give you debt forgiveness on this.
The way I see it, you have nothing to lose. And freedom to gain.
Even though I have called them before and set it up where they wouldn't hound me because of my income, I decided I would try to make that call (1-800-829-1040). The IRS is charging me 5%-8% interest on this debt.
When I finally got someone on the phone, the person said the only way to reduce the amount of debt was for me to fill out a form with an offer of how much I can pay. The application (Form 656) would require a mandatory fee of $145 to be included with the application. This would also require providing proof of income, copies of my bills and any other related documents. The IRS office will then make a determination and will notify me in 30-45 days if my offer was accepted.
I am intrigued by the possibility, but where am I going to get the application fee? Also the fee will not be applied to my debt so basically it just be lost?
As I have stated I am in "deferral" and the IRS is not making any hard pressure to collect although all my refunds go directly to them.
Any thoughts?
Are my Resolutions Realistic for 2008
As the new year comes upon us, it is time once again to consider one's New Years Resolutions, and to look back at the past year's. As a personal finance blogger, perhaps I should take a better look at my financial situation for 2008. Will I really be able to reach my goals or am I being overly optimistic?
Our first stop is to see how I did with the resolutions that I made last year.
Officially pay-off and eliminate the credit card.Since I still had charges being charged to this card for part of 2007, I didn't make this goal. I did make significant inroads on this debt in the last 6 months, having eliminated 3/4 of the debt. I expect this debt to be gone no later then Feb. 29, 2008.
Eliminate the remaining Home Improvement Loan. - While I didn't finish getting this debt paid off, I did make significant inroads to reducing the debt. It may be optimistic, but I am hopeful that I can get the last $950 paid off by the end of July, so that I can focus on the my bigger debts. Of course to do that I will have to figure out whee I am going to come up with the additional $100 over my current minimum payments. The Chevy. - When I did my resolutions at this time last year, I wanted to figure out how to get out from being upside down in this loan. I was hopping to either get a significant amount of this debt paid, or to sell the car and get a cheaper car to drive around in. At this point, I still have the car, and the Credit Union is withdrawing $100/week from my account to keep this loan current. Education. - While I looked at taking some classes in finances, none of the schools I looked at worked out. They wanted me to go into debt and said they had no grant money whatsoever to help finance my further education. Since, I refuse to go into deeper debt, I am continuing to look. Love. - Last year my resolve was to be in a better place financially, so that I could once again date and find my soul mate. While, I did go on one date this past year, it did not develop into anything more after that one date. Besides, I am not financially able to date at this time anyway.So now that we have looked at last year, my goals for 2008 are:
| Account | Outstanding Balance | Monthly Minimum Payment | Payments This Month | |
| Providian Credit Card | $395 | $25 | $200 | |
| Amerifirst Mortgage | $990 | $75 | $35 | |
| FingerHut | $1,000 | $50 | $10 | |
| Car Loan | $10,745 | $400 | $405 | |
| IRS | $3,796 | $0 | $0 |
Would love to hear your thoughts.
"Strange things happen when you're in debt. Two weeks ago my car broke down and my phone got disconnected. I was one electric bill away from being Amish."
- Comedian Tom Ryan
Thursday, December 27, 2007
Almost There
I called Black Gold insulation today. Still owing $180 and wanting to get this debt paid off by the end of the year (for the tax credit purpose), I wanted to make sure a payment was made this week. I am suppose to get enough from PayPal to pay off the remainder of this debt. However, part of the money was earned 30 days ago today and I won't see it until tomorrow, then more was earned on the Nov 29 and is due on December 29. The question is since the 29th is a weekend will I get the payment when I need it? Then if i do will Black Gold be open on the 31st. The last question is a yes. So I am still waiting to find out if the new payments will be available to me by the 31st.
Anyway, with todays call I paid $150 of the money still owing. Juanita, who is so pleasant to talk to and has been wonderful to work with over the last few months, said she would get a new invoice out. I did tell her, that I was hopeful to have the remaining $30 will be paid off by the end of the year, but I was waiting on some additional revenue to make that happen.
My PayPal balance is now $15 with the 2 expected PayPerPost receipts totaling $16. Now I guess I will just have to wait and see if I get those payments in time to make that last payment on Dec. 31.
Additionally, I see that I am within about $30 for my Goggle ad sense to pay half of my remaining balance on my credit card next month. I am excited. As I am finally seeing these 2 debts almost paid off, I am more encouraged then before that this really is possible. Once I get them paid off, I will turn my focus onto Fingerhut, the home improvement loan (AmeriFirst) and the KGB IRS.
Budget January 2008
In December, I began putting the tithe aka charitable giving back into my budget. As I have posted on a number of occasions I don't feel comfortable sharing the actual number. Since the Bible says to let your giving be done in secret with only God knowing. The Bible also talks about the the pharisees and how they bragged about their giving such as the example in the widows mite, where they gave little of their great wealth but the widow gave all she had. There is also the example of the pharisees blowing their own horn to call attention to all their great works.
It is for these reasons, I am not putting the exact dollar amount of my my giving online.
I am continuing to pay down my debt. As December draws to a close, I am not sure if I will completely pay off the Black Gold Debt (I am $20 from goal). As such I have them on my January budget.Item Budgeted Actual Owed GIVING Tithe/Charity $?? $?? subtotal $?? HOUSING Mortgage $35 $990.89 Insurance $0 Maintenance $0 Taxes $0 subtotal $35 $990.89 UTILITIES Electric $80 Gas $80 Water $30 Internet $35 Phone $0 Cell phone $50 Trash $15.50 subtotal $290.50 FOOD Grocery $50 subtotal $50 Transportation Auto Gas $80 Insurance $0 Maintenance $0 Tags & Taxes $0 Car Payment $400 $10,581.27 subtotal $480 $10,581.27 CLOTHING Sunday Best $0 Work $0 Everyday $0 subtotal $0 Prescriptions $0 Deductibles $0 Eye Doctor $0 Insurance $0 subtotal $0 RECREATION/Memberships Entertainment $0 Dating $0 Optimist Membership $40 Farm Bureau Membership $35 Subtotal $75 DEBTS Providian Credit Card $30 $394 Fingerhut $10 $1,000 Black Gold Insulation $0 $30 IRS $0 $3,795.52 Subtotal $40 $5,219.52
Sunday, December 23, 2007
The Secret to Get More
How many times have you heard someone say or perhaps said yourself, that if the boss paid more money then they/you would give him/her more work? It is a common theme I have heard numerous times. In fact as a shift manager, I have heard it more times then I care to count. My usual answer is what several financial writers and bloggers seem to be witting in the last couple of weeks.
The simple fact is, you will get more when you give more. Make yourself more valuable to your employer, s/he will in turn give you more. It simply does not work for you or anyone else get more, if you unwilling to give more. So if you want to earn more money, then give more to your employer.
Show up early and stay late. Take the initiative to write that report, instead of passing it off to someone else.
Maybe, you just need to give up more time to take a second job, so that you can earn more. Notice that I am saying earn, rather then make, only the treasury department can make money legally without going to jail.
Also give to charity. I know, I have repeatedly said to save your money, but some reason this actually works. When you help someone else, and put them before your own needs, your remaining money seems to stretch further. As I said, I can't explain it, but it seems to actually work.
Larry Winget tells of a time when he was bankrupt and he had the urge to give $100. After he put in the mail, he wondered how he would explain this to his wife. That night, his attorney stopped by his home. Wondering about the unusual house call, he invited him in. The attorney explained that someone had forgiven a huge debt in his practice and he wanted to pass on the good fortune and handed Larry an invoice and said that it was forgiven. As Larry looked at the invoice in disbelief, he noticed the bill (now forgiven) had been $100.
However, the principle doesn't stop there or with finances. Give up TV time or time with your buddies and spend more time with your family and your relationship with them will grow. No matter what it is, you have to give more to get more.
Thursday, December 20, 2007
The CIA Wants Your Money
On our road to debt freedom, one thing we must watch out for is the C. I. A.
Nope, that's not the Central Intelligence agency, rather Convenience, Indulgence and Appearance. This is an analogy that I learned from John Cummuta, and I think it so perfectly illustrates our bad spending habits. These 3 areas are the very things we must change, if we are build our savings so that we can enjoy life.