I was looking for this number to give me some incentive to look for spare money to pay this loan off faster. And to be honest, it doesn’t look like it is worth it.
This is a credit card balance we’ve had since at least 2007. The interest rate is actually 5.9%. One of the first of our cards to jump the interest rate. So we froze the account and have been paying it off since. We have since started following Dave Ramsey and have paid off a whole bunch of “smaller” debts. This is the first of three “five digit” balances we have. Starting next month, we’ll be paying $250 a week on this card, hoping to have it paid off in just over a year.
And to be honest, at this point in our life, it’s not worth sacrificing to save $5. Especially since, after Sharon mentioned amortization charts, I started looking at those, and did actually find the one at bankrate.com that someone suggested. When I put in the actual numbers ($12,000 at 5.9%), an extra one-time-only payment of $50 would save us . . . $1.49.
It’s really simple — it has the fields of:
Annual % Interest
Years to Pay it Off
Then you can choose if you want it to solve for amount owed, monthly payments, or years to pay it off.
It was what I was looking for – really really simple — I could quickly find out how much sooner I could pay things off by adding just a little bit to the monthly payment number.
I sort of used the calculator for your question — and it’d be less than $5.
For instance, if the debt was 5000 for the year… The monthly payment would be 440. The total interest is about 275 dollars. To take 50 bucks off the principal would lower your payment by about 5 dollars a month but the total interest payment over the 12 months is only a 3 dollar savings. I used an amortization calculator to get the above numbers.
I’m sure it’s out there, and I’m sure my Husband could come up with one. But I’ll have the debt paid off before he gets down researching it, figuring it out, and explaining it!
How much will you save if you throw a one-time extra $50 on a debt on a debt with 10% interest that you will pay off in a year. I know you have three variables — $50, 10% and 12 payments. I just don’t know what to do with those three numbers.
Wondering if there a “golden rule” about giving gifts (or even a legal one)? For example, my brother once gave away 1,000 baseball cards. Most had little to no “value”, but one of them happened to be worth $1,000. The kid & parent he gave them to, once they found out how much they were worth, offered to give some of that money to my brother. My brother was like, didn’t think it had value before I gave it to you, just because it has monetary value afterwards doesn’t change it, but thanks.
Then I asked on freecycle for a motorcycle helmet for my oldest son a few weeks ago. A person responded, I picked it up. They also happened to have a higher end scooter for sale, so later I asked about its status. The guy responded back that he thought when he gave me the helmet that my son already HAD a scooter, and if he didn’t (and I quote, in capital letters) I DEMAND YOU GIVE ME MY HELMET BACK.
I just ignored him.
But I have a different dilemma– I was given a closed box of “kitchen stuff” a while back. They were going to toss it (literally), but they gave it to me instead, and I figured what I couldn’t use myself, I’d either sell at a garage sale or freecycle it. So today since we were having the garage sale, i opened it up.
Yeah, it wasn’t kitchen stuff. With a bit of effort I could probably sell the odds and ends and net about $1,000.
So….is it mine? Or do I have a moral/ethical/legal obligation to get hold of them and give it back?
I know how hard you two have been working to make ends meet, and this was such a relief, and now what a disappointment. I hope he can get on with one of the other companies; maybe it’s not too late, particularly if he explains what happened. Hang in there, and know that we’re all rooting for you and praying for you both.
So, the week that DH accepted this position he was told another firm was going to make him a similar offer.
He accepted this one and politely declined the other, and took himself out of the running for a much higher paying one (3rd company) because of the potential for growth at the company he went to work for.
That just went up in smoke.
DH came home tonight “early” (5:45pm on a Friday, in SoCal; he’s been getting home at like 8ish every night for the past 3 weeks. I said, wow. You’re home so early I’m almost worried you got fired or something!”
He said: I did.
And he wasn’t kidding.
The company is tanking fast, and they never should have filled the position. So he’s last in and first out.
I’m calmer than I was a few hours ago. I was SO MAD. The opportunity cost for us was tremendous. It’s possible that those other positions are still open, but it just makes me MAD, and it puts us in a very tenuous position.
Although on the bright side, it bought us an extra month when we needed it.
According to DH, “they’re so sorry, it’s all their fault” blah blah blah.
I said, Yeah? Were they “sorry” enough to cut you a check for a month’s worth of severance? Because it’s going to take 2 weeks to get unemployment flowing again. So they can gush “how sorry they are” but in my world:
MONEY talks, and BS walks.
I have no other words except, thanks for letting me vent.
We bought laptops for hubby and son. Tablets for daughters. Bikes for the girls. We bought our son the new xbox one coming out in November. We also bought hubby his new building. My real dream is to travel and have lots of family outings. I am trying to figure out how to plan and budget it in right now. I have so much I want to do and I need to tone the list down.
Or if you already are—what did you buy? I’m talking the very first item? We’re getting close enough to being cc debt free we are starting to have that discussion and to make priority lists. Since our children are already out of college and we are already putting back for retirement (will increase the amount though) we are looking at needed repairs in conjunction with building the ffef and paying off the two mortgages that each only have 3 years at the most left to die a normal death—which we will speed up considerably.
We are planning on taking a big trip to WDW after the cc are gone and before going hard after the mortgages, but haven’t decided yet for certain what our first cash purchase for home/lifestyle improvement will be. I’m leaning hard toward a small chest freezer packed with meat and restocking my food storage big time (we’re in our 9th or is it 10th week of living out of it). Dh is leaning toward new decks for the house. We’ll probably change our minds 100 times between now and then.