Any smart with money folks out there?

[68BabyBlue]

2 jobs. YOUR HOUSE IS NOT A BANK. You have to live somewhere. Elderly neighbors who did this, have mortgages in their 70’s. No way. No how. Stay out of restaurants unless you work there like Dave Ramsey says.

Back in the day, I took a second job rather than sell the car. A few years earlier, I had sold the car when a second job was not an option (full time student.)

 

[bm02tj]

Is a line of credit using house as security for better interest rate and leave the mortgage in place an option

 

[chargervert]

If we was smart guys with money we wouldn't be here! We are poor guys with Mopars!

 

[BeepBeepRR]

The car is not mine. If it were that would be a thing for sure. The current numbers they estimated for a 100k loan was total amount would be 120k. This is by the ir numbers.
It really sucks because when Im working my regular 40 hours a week its not a problem to keep everything up to date. But just being real having 2 cards a truck and a few other things at different intervals is a little complex. It would be ideal to combine all of the debt into one bill. And that bill would be just a once a month bill and having everything else behind me. Since the numbers they quoted me were about 2 to 3 hundred more than my original house payment and if I use some of the money to pay off the house and eliminate that payment as well.I would be down to just making the new refinance payment. I can choose a 15 year or a 30.. I'm just not sure. Everything I think makes sense to me. However If I were smarter with money I wouldnt be here in the first place. So there is that and the reason I was looking for advice.. I do appreciate the input.

 

[BeepBeepRR]

Why didn't you do this 5 years ago when interest rates were low? You're just robbin Peter to pay Paul now! Some people tend to think outside the box, while others wear blinders! Good Luck

I was doing well 5 years ago and it never dawned on me to do this. I see your point about robbing Peter to pay Paul. But when you have Peter,Chris,Mike and Joe to pay and you only have your house to use as collateral its a hard pill to swallow. I'm not here for sympathy just looking for input and thoughts. I do appreciate the input.

 

[VANDAN]

Be careful on your decision, interest rates are not favorable, we are in a recession, which may soon become a depression. I hope you have secure employment, as massive layoffs are being talked about, on many fronts. I wouldn't gamble your house against the odds. Remember, They want everyone in debt, as it controls your choices.

 

[BeepBeepRR]

Whatever you do, #1 priority is pay off the credit cards first. Making a minimal payment on what is probably 15-25% interest is like rowing a boat up a waterfall. Do not be concerned about adding debt on your house to do this. Interest rates are not at historic lows anymore, but they are way less than credit card interest.

See to me this makes sense. The credit cards are in fact what are killing me the most. Not to mention the truck interest is stupid high.

 

[Dan64]

Its all about the new loan amortization, sure the new payment may work for you but are you just paying on the interest or the principal?

 

[BeepBeepRR]

Be careful on your decision, interest rates are not favorable, we are in a recession, which may soon become a depression. I hope you have secure employment, as massive layoffs are being talked about, on many fronts. I wouldn't gamble your house against the odds. Remember, They want everyone in debt, as it controls your choices.

This is why I am here.. lol My work has dropped off and its going to get harder to catch this up. Im just trying to see if a refi or a heloc would be better for me. However. My home was 79k when I bought it back in 98. The current market value of the house is 250k. I dont know if the HELOC is based on my original price of the current value of the home.

 

[chargervert]

Credit cards are dangerous,cut them up and don't use them anymore!

 

[Dan64]

you got to remember that you pay the interest on a loan up front so if youve had your truck payment for a while your now paying on the principal which is what you want to be doing. Maybe get a small home equity loan but don't refinance it with a new mortgage

 

[BeepBeepRR]

I bought the truck used for $9,995 I paid 5k down on the truck and financed the rest for a 3 year loan. Just because I needed to build my credit. I have had the truck for 2 years this past March. So I am probably paying the principal right now. The payment is not terrible its like 239.00 per month. I can swing that pretty easy. Its the other things that accumulate and are harder and harder to get upstream of.

 

[66 Sat]

So you only have 9 or 10 repayments on the truck. Say 10, so $2,390 and it's paid off.
You put that into your mortgage over 25 or 30 years you'll pay about $50k instead of $2k.
Suck it up in the short-term, you're nearly there.

 

[BeepBeepRR]

So you only have 9 or 10 repayments on the truck. Say 10, so $2,390 and it's paid off.
You put that into your mortgage over 25 or 30 years you'll pay about $50k instead of $2k.
Suck it up in the short-term, you're nearly there.

The truck is at best the least of the issue. I can pay for that without issue. Its all of the other cards and credit stuff.

 

[BeepBeepRR]

Or vs I could just sell the house for 252k and find another place to live lol.

 

[dodgedifferent2]

The truck is at best the least of the issue. I can pay for that without issue. Its all of the other cards and credit stuff.

It may not be the issue at the moment, but those finances are being paid towards truck when can be used towards credit cards etc.
So in essence the truck is a problem. Depends how you want to look at it.

Pay off the lowest debt first because it is the easiest to pay off. That will free up cash which can go towards the next smallest debt and keep working towards getting them all paid off. Make the payments automatic so you are not tempted to spend that cash. Cut the cards up and don't use them.
Refinancing is a bad move. Get things paid off!

 

[VANDAN]

Well, maybe Gesara Nesara will come into Effect, Erasing All Debt. That would Surely Help Us All.................

 

[Budnicks]

Pasta...pasta and more pasta. Bin Der.. Done Dat. More times than I care to admit.

yep potatoes, rice, barley, red beans, most any all dried goods
like split pea, lentils, navy beans, 5 bean soup, pinto or chile' beans
pastas, many cheap homemade soups etc.

look in the 'cheap meals thread' here on FBBO

 

[Richard Cranium]

If we was smart guys with money we wouldn't be here! We are poor guys with Mopars!

Says the guy with three quarters of a million dollars worth of cars.

 

[BeepBeepRR]

Me and my family have had several nights of pb&j's, baloney and cheese, ramen and all of the other cheap things. I know how to stay alive.. I grew up poor so I'm used to minimal stuff. Wife not so much while her family had their trials like many others have but her as a child wanted for nothing. My kids are all grown up now my daughter just started college, son is dating some girl in CT so he spends time up there. My oldest is on his own with his live in girlfriend. So pretty much home life is getting a little easier. Feeding 2 vs feeding 5 makes a hell of a difference on the wallet.