Debt Dumpers 2021

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Officially paid of my student debt garnishment! I'll have $260 back in my paychecks now. I believe we are about $200 away from paying of one loan too, so fingers crossed, next paycheck that will be done as well. Looking forward to having a solid $600 back in our budget every month.

You guys! We got our tax refunds today. We started 2021 with 11 credit cards. Between stimulus payments, tax refunds, and careful budgeting we are down to 2 now!! We will have those paid off before the end of the year even with 2 trips to Disney. I feel such a weight lifted!

 

[Tygerlilly]

With things finally starting to feel like they're falling into place a little more, we decided to start a new sinking fund. We're looking for a camper a little more seriously. As a kid, I used to camp all the time with my family in our little pop up and I loved it! DH loves it but never really got to go much as a kid, so we're really excited to start doing it with the kids. We don't need a huge one, just something one step up from pop up for now. I'm honestly looking for something a little older with good bones that I can renovate. Usually the older fixers are fairly cheap, so I feel like it's something we can make happen pretty easily this winter/spring.

 

[Jen and Ashwin]

With things finally starting to feel like they're falling into place a little more, we decided to start a new sinking fund. We're looking for a camper a little more seriously. As a kid, I used to camp all the time with my family in our little pop up and I loved it! DH loves it but never really got to go much as a kid, so we're really excited to start doing it with the kids. We don't need a huge one, just something one step up from pop up for now. I'm honestly looking for something a little older with good bones that I can renovate. Usually the older fixers are fairly cheap, so I feel like it's something we can make happen pretty easily this winter/spring.

Just be sure to have whatever you get checked out for structural integrity. Look for any wood rot and rust. Have welding checked. Have the roof condition evaluated. It will cost a lot if you have to do major structural repairs. We purchased an all-aluminum trailer with only wood composite to avoid any issues with rot or rust. It was a little pricier used than most things, but it will last a lot longer and need fewer repairs.

 

[Buzzsgramma]

We've decided to skip the Panama Canal cruise for now. I didn't actually cancel it yet but we really want to be done with our mortgage. It will free up so much $ each month and I'd love to have that weight taken off my shoulders.
I say that now but it's possible I might change my mind again when it starts getting cold next fall. Part of our deposit is a $2000 Disney gift card so it's not like we'd get that refunded anyway. We bought it pre-covid at a discount from BJs.
Maybe we'll use it for a quickie cruise when that starts happening again.
This week I paid an extra $560 to our mortgage.

Good for you really doing it right....pay debt then vacation whenever....

 

[ruadisneyfan2]

Good for you really doing it right....pay debt then vacation whenever....

You’re right. Normally I would’t think to delay any travel until the house is paid off but I know if we really jam it we can be done in a year or so.
We made such huge progress last Aug- Jan that I was actually excited to make payments.Saving for a big trip now would only derail us again.
The Pan. Canal isnt going anywhere; it will still be there in 2 or 3 years.That trip can be our reward when we're done.

 

[Gr8t Fan]

You’re right. Normally I would’t think to delay any travel until the house is paid off but I know if we really jam it we can be done in a year or so.
We made such huge progress last Aug- Jan that I was actually excited to make payments.Saving for a big trip now would only derail us again.
The Pan. Canal isnt going anywhere; it will still be there in 2 or 3 years.That trip can be our reward when we're done.

This EXACTLY! I cannot tell you how much peace of mind having our mortgage paid off has brought us, especially during the pandemic. Hoping it does the same for you!

 

[ruadisneyfan2]

For anyone else trying to pay down their mortgage early, this is a great calculator.
https://www.free-online-calculator-use.com/extra-payment-mortgage-calculator.html
It is estimating 1 year 3 months for us. This is if we apply all of our snowball and never funnel it elsewhere. Also, this does not include any holiday/birthday gift $ from dh nor any OT. So many possibilities to go in either direction.

Just keep swimming!

 

[jen7233]

With things finally starting to feel like they're falling into place a little more, we decided to start a new sinking fund. We're looking for a camper a little more seriously. As a kid, I used to camp all the time with my family in our little pop up and I loved it! DH loves it but never really got to go much as a kid, so we're really excited to start doing it with the kids. We don't need a huge one, just something one step up from pop up for now. I'm honestly looking for something a little older with good bones that I can renovate. Usually the older fixers are fairly cheap, so I feel like it's something we can make happen pretty easily this winter/spring.

I miss the trailer we had for camping. Never thought I'd say that because I had a love/hate with camping. Miss the memories though, and it's such a tight space (one reason why I love/hate it) but that space kept us more together every moment. We had a Jay Feather before, and if we ever did get another trailer we'd have to go a little bigger, my pretty big and still growing kids wouldn't fit in that double bunk anymore, but it was so great when they were younger. We'd load up their bikes in the storage compartment, outdoor chairs, have cookouts, go on walks around wherever we were camped, sometimes there were trails, sometimes a place would have a swimming pool, sometimes a place to fish nearby, or we'd sit outside while the kids biked around near us only in sight, or we played outdoor stuff and had volleyball, ladderball games, toss a football, cookout, smores, watch movies, such good memories.

I changed my avatar after reminiscing looking through past Disney pictures

 

[4 Ears]

Made a $500 payment on my CC today. Was thinking this was bonus week, it's not so next paycheck should be able to pay it off. We do use it so it is on going but as long as I dont carry a balance I am ok ish with it.
Was hoping to put bonus after that on DH's but need to finish paying off our July trip next month.
Went to make DH's car payment on line and now they are charging a $5 monthly fee to do it. I called and complained but "the 3rd party is charging us". Maybe you shouldn't have a 3rd party involved or get another one... but I can have it taken out automatically. Nope, not doing that. Nicely let them know I am not happy especially since we just got another car loan with them.
$5 a month on 2 loans over 4 or 5 years is a lot of money I could use paying it off. So for now I will old school take a check in
Rant over

 

[FQLover]

I pay all my bills through my bank where I have a checking account. It is still online, it is easy peasy, and I don't have to mail checks. This goes faster than how I was doing it for years and years. Maybe it could be a solution for you?

 

[piglet1979]

After seeing what my sister is getting back from the sale of her house, I am really working on paying down our mortgage. Over the 16 years they lived there they have really never paid anything down on it. They were taking home equity loans on it. If it wasn't for the housing market right now they would be getting nothing back. They are only selling because they are getting a divorce.

We have 2 loans on our house. When we bought it we did an 80/20 loan I had it so that the smaller loan would be paid off in October but we just bought a new car on Saturday. DH felt it was needed because I drive a decent way to work and I had 110,000 miles on my old car. Now it will be paid off in a year. When I did the calculation (from the link above) we will have the house paid off by 2025 ish. Not bad as that is almost 10 years ahead of schedule.

 

[Tygerlilly]

Seeing all of you getting close to paying off your houses has me all kinds of jealous. Lol. I can't even find a dang house in our price range around here these days. Maybe next fall things will calm down a little and we can try buying.

 

[imbatman]

I bought a new vacuum today. My old one was heavy and I've always hated it. You know you're an adult when you get super excited about a new vacuum that picks up pet hair!

 

[Tygerlilly]

I bought a new vacuum today. My old one was heavy and I've always hated it. You know you're an adult when you get super excited about a new vacuum that picks up pet hair!

That was the only thing I asked for for Christmas. I was so freaking happy to get it. Isn't adulting fun?!

 

[Tygerlilly]

For those who own their homes:
Did you actually put 20% down when you went to buy? More? Less?
I'm trying to make an achievable goal for home down-payment, but 20% down on the houses around here is roughly $60k. We barely even MAKE $60k a year, so I'm just not thinking that is realistic.

Is it a massive frown upon to put less down?

 

[DisneyHardin]

For those who own their homes:
Did you actually put 20% down when you went to buy? More? Less?
I'm trying to make an achievable goal for home down-payment, but 20% down on the houses around here is roughly $60k. We barely even MAKE $60k a year, so I'm just not thinking that is realistic.

Is it a massive frown upon to put less down?

The first house I bought, I put 0% down (although, I'm not sure they do 0% down mortgages anymore). My second house I put 10% down and then took out a HELOC for the other 10% so that I would put 20% down on the actual mortgage and could avoid PMI. When DH and I got married and we both sold our houses, we had about 25% to put down on the house we are in now.

I know you talk about bonuses and overtime pay sometimes - know that a mortgage lender won't look at that when looking at your income - your mortgage approval will be based off your base pay, so if the $60,000 you are talking about includes any bonuses or OT, I think you would have a really hard time getting approved for a $300,000 mortgage even if you have 20% down. You might want to make an appointment with a mortgage lender at your bank just to talk about what would be a realistic price range to be looking for a house in.

 

[Tygerlilly]

I think you would have a really hard time getting approved for a $300,000 mortgage even if you have 20% down. You might want to make an appointment with a mortgage lender at your bank just to talk about what would be a realistic price range to be looking for a house in.

Bonuses and overtime account for less than 3k total between the both of us per year. Our "bonus" is a joke considering it's a multi billion dollar company. And overtime is basically a few hours here and there anymore.
Unfortunately, for a 4 bedroom house in our area, you're looking at $290k-$400k. Everything is basically new construction now and prices are absolute insanity.

 

[FQLover]

Can you look at some nearby communities that are still commutable to your jobs? They may be more affordable.

 

[Tygerlilly]

The only other town within a decent distance to work isn't somewhere we'd raise our kids. We actually lived there pre-kids and all the vandalism and crime was getting out of control.
The city we're in now is good, but going farther south would actually probably put us into more expensive homes or less than ideal areas.

We're kinda stuck for a while, I know this already. The crummy thing is that I've gone through a few mortgage calculators and a 300k house, even with a higher rate percentage, is only about $500 more per month than we're already paying in rent.

 

[ruadisneyfan2]

Seeing all of you getting close to paying off your houses has me all kinds of jealous. Lol. I can't even find a dang house in our price range around here these days. Maybe next fall things will calm down a little and we can try buying.

Aww, try not to think that way. It just depends what stage of life you're in. I could say the same thing that it's so great that you're having a baby and I'm way too old for that. I miss having the energy and stamina that I had back when we were in our baby-making years.
The market fluctuates and right now it's a seller's market so it's crazy trying to be a buyer. When we bought our current home, late 1996, it was a buyer's market and most houses for sale had "price reduced" signs attached to the for sale sign.
To answer your other question, we put 5% down back then because it was allowed but we had to pay a monthly PMI which is insurance to protect the mortgage company, not the buyer. Back then, you could request to have it dropped once your equity reached the 20% mark. For us that was around 2 years later. We just had to pay for an appraisal. I have read that nowadays, they won't just drop it because you request it; one would have to refinance to drop the PMI. If interest rates don't cooperate, or property values drop, or something that makes it undesirable to refinance at that time, (thinking how my sister was underwater) you might be stuck paying it until you're done.
It is really hard to save with young children so I can understand your frustration trying to save now. We saved really ferociously for about 1-2 years and without kids it didn't seem that hard. We were living in a small condo that was very low cost of living. We really wanted to move out of that condo before having babies because it was so small and we felt that it would be harder to sell if it was cluttered up with lots of baby stuff and I especially wanted a back yard before having kids.
You can't always plan all these things out. When our kids were little, it would have been nearly impossible for us to save for a down payment.