So I'm officially off the hook for all my dis-chargeable debt. Which is all of it, aside from a $12,000 student loan.
How does that feel?
Pretty darn good. I have to say, however, that once the initial filing and 341 meeting was done, I somewhat put it out of my mind. I knew there was a chance that an issue would crop up, but I didn't dwell on it. After the first 30 days post-341 I mostly didn't think of it at all. The last 30 days flew by.
What would I have done differently?
Well... I would have filed a lot earlier. It was a fairly painless process that mostly required the ability to fill out a ton of worksheets for the lawyer and then wait. And wait. And wait. It definitely stretched my patience. Other than that, it was easy. This seems to be the general answer that everyone on the bkforum website give as well. They wish they'd have done it sooner.
What are my next steps?
Well, for one, I've got a reminder note to check my credit in about 75 days, including paying to see my credit score. They said to check it after 60 days, but I'm going to give it an extra couple of weeks, just in case something takes a bit longer. At the end of the week I'm going to call Tampa to get some certified copies of the discharge mailed to me. I had thought I'd receive one via the mail, but the only notification thus far has been an email with an attached pdf from my lawyer's office.
After everything has been straightened out I need to figure out which cards still work. I'm not sure if any survived the fallout. If one did, then I'm going to use it for something like gas or groceries and billpay a check to pay it off as soon as I return home. I figure if I get a monthly "pay as agreed" going on, then that's the best way to start. Next I'll start paying my student loans as soon as my deferment has expired next summer.
Job Update?
We're both working. It's a huge, huge change. The kiddo is in daycare and she loves to go to "school". We're both working full time.
Our expenses have increased. We're spending more on gas, food, and childcare than we were before, simply due to the change in circumstances. However, with adding that additional amount into the budget, we still have about $1000 left over to split between our FSA and savings. (FSA is for all the things we need that are random or scheduled but not monthly, such as the car breaking down, replacing a water heater, or car insurance.) After the FSA is funded we don't have a lot for savings, but it keeps things that are going to happen from becoming emergencies.
Showing posts with label credit cards. Show all posts
Showing posts with label credit cards. Show all posts
Monday, October 4, 2010
Tuesday, August 17, 2010
Alright, what else?
We were playing outside. Frisbee and hula hoops. We were having a lot of fun.
Hubby noticed that the fan on the A/C was spinning more slowly than usual and it started to make an odd noise.
A little later we went back outside to check on it. It made a terrible sounding noise (we both stepped back from the unit) and the fan slowed to a halt.
I was due to be somewhere, so I left him instructions of who to call and what to do. I took my leave and throughout the evening found out:
- Companies can come out immediately, day or night, as advertised, but the service charge is VERY inflated for them to do so.
- It was very likely the capacitor.
The next morning we awaited a call from the company whose number was on our unit. Turns out they did not contact us "first thing the morning" and hubby called them to find out what was going on. Apparently this was not the company that serviced us after we purchased the house; they had the old owner's name in the system. They'd be out "sometime in the afternoon".
We found our company's number. They had a tech there within a few hours. Turns out the compressor shorted out and took the capacitor with it. We'd known that if this happened we'd be SOL. The unit is 10 years old, a 10 SEER system, not supported anymore, and very hard to find parts for. We'd learned this from our home inspector as well as the A/C checkup/maintainer guys last summer.
We had figured we had a few years. The unit was doing okay, though the air handler inside was clogged with mold and dust and rust (which hubby cleaned up as best he could, not having the $800 to pay for them to do it). It ran. It cooled. Our average electric bill was about $160.00. One of the goals we had after filing was to save up money towards the A/C.
Nope. Caput. Done. He showed hubby a few things that made sense to him as far as it being truly broken and not just a sales technique. A new part, should they even be able to find it, would cost about $2000. It made sense to get a new system.
And, best party, they could install a new one that afternoon.
We called the office manager who checked with their financing company. Hubby was turned down. (I, of course, could not apply.) I was shocked. He has really good credit, even great. It was good enough to get a good rate on the house, we've made every payment, he has no other debt except for student loans. They couldn't tell us why. She offered to try their secondary company, and I agreed.
I also ran upstairs to log into his BOA account (with his permission). He has a credit card that we don't use. In fact, when he got the new card in the mail after the old one expired, we snipped it right up. No more CCs for us, no siree. Well, we might need it, and I had no idea even what kind of credit limit he has.
$5500 at 16.9%
For those who haven't bought a new A/C lately, they are rated by SEER. Higher SEER levels indicate higher efficiency, and there are tax credits from FPL as well as the government. 13 SEER is the least expensive unit and the least efficient currently available. (This is all based on very limited research and may not be entirely accurate.)
A 13 SEER system (a huge improvement over our old system) for our house was $3918.00. That includes installation, removal of the old system, a 10 year warranty, and one year of service.
We could have gotten a larger system; we certainly have enough room on the BOA card to do so. However, we decided to get the most basic system.
Was that a mistake? Ask me in a few years. We only knew that we have a senior citizen with a bad heart living downstairs and a 2 year old living upstairs. For us we could do a few days without A/C to price shop. For the other family members, there's no way. We got what we could "afford".
Yeah, yeah, we don't have income right now, so we can't "afford". I should say, instead, that it was the most affordable option.
I called the office manager back after getting the card number off the statement (hubby called and begged for the expiration date). Turns out we qualified for the financing.
At 5 years the payments were just over $100/month at 17.9% financing. This was a percent over the credit card, so we didn't go with that.
4 years had an APR at 14.9%.
3 years had an APR at 13.9%.
If hubby gets a source of income, we can swing the $133.00/month payments over the next three years. It's not an ideal solution, but it works.
If he does not get a job, it's still covered, though it gives us less for food.
By 4:45 we had a brand new A/C system and $4000.00 more in debt.
I have a Feeling that something's going to happen to/break down in the older car in the next few weeks. You know how "when it rains, it pours"? Yeah. I have a Feeling.
Hubby noticed that the fan on the A/C was spinning more slowly than usual and it started to make an odd noise.
A little later we went back outside to check on it. It made a terrible sounding noise (we both stepped back from the unit) and the fan slowed to a halt.
I was due to be somewhere, so I left him instructions of who to call and what to do. I took my leave and throughout the evening found out:
- Companies can come out immediately, day or night, as advertised, but the service charge is VERY inflated for them to do so.
- It was very likely the capacitor.
The next morning we awaited a call from the company whose number was on our unit. Turns out they did not contact us "first thing the morning" and hubby called them to find out what was going on. Apparently this was not the company that serviced us after we purchased the house; they had the old owner's name in the system. They'd be out "sometime in the afternoon".
We found our company's number. They had a tech there within a few hours. Turns out the compressor shorted out and took the capacitor with it. We'd known that if this happened we'd be SOL. The unit is 10 years old, a 10 SEER system, not supported anymore, and very hard to find parts for. We'd learned this from our home inspector as well as the A/C checkup/maintainer guys last summer.
We had figured we had a few years. The unit was doing okay, though the air handler inside was clogged with mold and dust and rust (which hubby cleaned up as best he could, not having the $800 to pay for them to do it). It ran. It cooled. Our average electric bill was about $160.00. One of the goals we had after filing was to save up money towards the A/C.
Nope. Caput. Done. He showed hubby a few things that made sense to him as far as it being truly broken and not just a sales technique. A new part, should they even be able to find it, would cost about $2000. It made sense to get a new system.
And, best party, they could install a new one that afternoon.
We called the office manager who checked with their financing company. Hubby was turned down. (I, of course, could not apply.) I was shocked. He has really good credit, even great. It was good enough to get a good rate on the house, we've made every payment, he has no other debt except for student loans. They couldn't tell us why. She offered to try their secondary company, and I agreed.
I also ran upstairs to log into his BOA account (with his permission). He has a credit card that we don't use. In fact, when he got the new card in the mail after the old one expired, we snipped it right up. No more CCs for us, no siree. Well, we might need it, and I had no idea even what kind of credit limit he has.
$5500 at 16.9%
For those who haven't bought a new A/C lately, they are rated by SEER. Higher SEER levels indicate higher efficiency, and there are tax credits from FPL as well as the government. 13 SEER is the least expensive unit and the least efficient currently available. (This is all based on very limited research and may not be entirely accurate.)
A 13 SEER system (a huge improvement over our old system) for our house was $3918.00. That includes installation, removal of the old system, a 10 year warranty, and one year of service.
We could have gotten a larger system; we certainly have enough room on the BOA card to do so. However, we decided to get the most basic system.
Was that a mistake? Ask me in a few years. We only knew that we have a senior citizen with a bad heart living downstairs and a 2 year old living upstairs. For us we could do a few days without A/C to price shop. For the other family members, there's no way. We got what we could "afford".
Yeah, yeah, we don't have income right now, so we can't "afford". I should say, instead, that it was the most affordable option.
I called the office manager back after getting the card number off the statement (hubby called and begged for the expiration date). Turns out we qualified for the financing.
At 5 years the payments were just over $100/month at 17.9% financing. This was a percent over the credit card, so we didn't go with that.
4 years had an APR at 14.9%.
3 years had an APR at 13.9%.
If hubby gets a source of income, we can swing the $133.00/month payments over the next three years. It's not an ideal solution, but it works.
If he does not get a job, it's still covered, though it gives us less for food.
By 4:45 we had a brand new A/C system and $4000.00 more in debt.
I have a Feeling that something's going to happen to/break down in the older car in the next few weeks. You know how "when it rains, it pours"? Yeah. I have a Feeling.
Saturday, July 31, 2010
Capital One
I received an email from my paralegal's assistant. Apparently the address I pulled off the bill from Capital One for bankruptcy notices was incorrect. (I may have copied it wrong onto the piles of paperwork I filled out or they may have inputted it incorrectly.)
If a company cannot be notified then it's likely that debt won't be discharged.
So you better bet I was on the phone within a minute of getting that call. I got a different address (different state, even) from C1 and emailed that back to them. I also included their regular address for correspondence, figuring it can't hurt to have them send a notice both places.
If a company cannot be notified then it's likely that debt won't be discharged.
So you better bet I was on the phone within a minute of getting that call. I got a different address (different state, even) from C1 and emailed that back to them. I also included their regular address for correspondence, figuring it can't hurt to have them send a notice both places.
Monday, May 17, 2010
Thank goodness I opened it...!
Bank of America has a very distinctive envelope. I've been putting all my correspondance aside in case the lawyer or trustee needs to see it.
Luckily, however, I opened this one.
I didn't look too closely and so didn't notice it was addressed to my husband. He has a BOA card but we never use it. It was a $69.99 balance with $15 minimum payment.
SO glad I looked at it so I could pay it. We thought we canceled our Norton auto-bill but they still charged his credit card. I'm annoyed. However, it's a good idea to charge a few things occasionally (and pay them off in full immediately) so that the credit card keeps reporting. At least that's what I've read.
Luckily, however, I opened this one.
I didn't look too closely and so didn't notice it was addressed to my husband. He has a BOA card but we never use it. It was a $69.99 balance with $15 minimum payment.
SO glad I looked at it so I could pay it. We thought we canceled our Norton auto-bill but they still charged his credit card. I'm annoyed. However, it's a good idea to charge a few things occasionally (and pay them off in full immediately) so that the credit card keeps reporting. At least that's what I've read.
Tuesday, April 27, 2010
29.99%
Just got a letter stating that my APR on the Chase account was finally raised to 29.99%
At first... GULP... then I realized that it's not a big deal. They can raise it to 153% and it won't matter because I'm filing for Chapter 7 bankruptcy.
I can breathe deeply.
At first... GULP... then I realized that it's not a big deal. They can raise it to 153% and it won't matter because I'm filing for Chapter 7 bankruptcy.
I can breathe deeply.
Monday, April 5, 2010
And the calls began again...
I left the lawyer's office with advice on how to handle future collection calls:
Tell them you're going to give them my name and phone number, and that you've been advised not to talk further with them.
As soon as I got to my car I put a slip of paper with the correct spelling of the lawyer's name and phone number and slipped it into the slide-out keyboard. Then I went to Controls - Contacts - Reject List - Delete All. The block list that I had so carefully added to after each new phone number called was wiped out.
(Sidenote: All the calls have been polite even up until now, which surprised me. I had expected more aggressive techniques, but I guess since I'm still under 30 days late they'd have reason to keep my business if they can.)
Within the hour I got my first call.
Capital One
I spoke with the lady from Capital One first. She gave her schpiel. I confirmed her name and told her exactly what the lawyer told me to say. She said, "Oh, I'd be happy to take that information from you. Would you give me just a minute to pull the right screen up?" All she asked after that was whether it was a debt relief lawyer or if it was a bankruptcy lawyer, in which case my number would be pulled from the call list in her system. I told her it was bankruptcy. She said, "I've got it. Thank you so much, and good luck."
Chase
Chase called next. This time I modified my schpiel to specifically say "bankruptcy attorney". The gentleman was also very polite and happy to take my lawyer's info.
He then asked for the address. I didn't have it as I was in the car. Then he asked what chapter I was filing, which I answered. Then he asked if I had a case number yet, which I don't. Then he asked if he could know why I chose to file bankruptcy at which point I said, "I'm sorry, but my lawyer said not to get into a conversation with you." He confirmed he had the number and to have a good day.
Bank of America
Wouldn't you know, within another hour BOA called. It was another woman. She was just as friendly as the other two and confirmed they'd stop calling me and get further information from the lawyer. She asked a few of the same questions Chase did, but only what chapter and whether I had a case number yet.
It's over
And just like that all three creditors were informed that I'm filing bankruptcy. I thought this step would be hard, but honestly it was a huge weight off my shoulders.
The first big step was to stop paying my bills. The next was the time I spent dreading getting the collection calls and letters. Then admitting I was filing.
I'm still here. The earth didn't swallow me, nobody laughed or teased, and my heart didn't stop.
I CAN DO THIS.
Tell them you're going to give them my name and phone number, and that you've been advised not to talk further with them.
As soon as I got to my car I put a slip of paper with the correct spelling of the lawyer's name and phone number and slipped it into the slide-out keyboard. Then I went to Controls - Contacts - Reject List - Delete All. The block list that I had so carefully added to after each new phone number called was wiped out.
(Sidenote: All the calls have been polite even up until now, which surprised me. I had expected more aggressive techniques, but I guess since I'm still under 30 days late they'd have reason to keep my business if they can.)
Within the hour I got my first call.
Capital One
I spoke with the lady from Capital One first. She gave her schpiel. I confirmed her name and told her exactly what the lawyer told me to say. She said, "Oh, I'd be happy to take that information from you. Would you give me just a minute to pull the right screen up?" All she asked after that was whether it was a debt relief lawyer or if it was a bankruptcy lawyer, in which case my number would be pulled from the call list in her system. I told her it was bankruptcy. She said, "I've got it. Thank you so much, and good luck."
Chase
Chase called next. This time I modified my schpiel to specifically say "bankruptcy attorney". The gentleman was also very polite and happy to take my lawyer's info.
He then asked for the address. I didn't have it as I was in the car. Then he asked what chapter I was filing, which I answered. Then he asked if I had a case number yet, which I don't. Then he asked if he could know why I chose to file bankruptcy at which point I said, "I'm sorry, but my lawyer said not to get into a conversation with you." He confirmed he had the number and to have a good day.
Bank of America
Wouldn't you know, within another hour BOA called. It was another woman. She was just as friendly as the other two and confirmed they'd stop calling me and get further information from the lawyer. She asked a few of the same questions Chase did, but only what chapter and whether I had a case number yet.
It's over
And just like that all three creditors were informed that I'm filing bankruptcy. I thought this step would be hard, but honestly it was a huge weight off my shoulders.
The first big step was to stop paying my bills. The next was the time I spent dreading getting the collection calls and letters. Then admitting I was filing.
I'm still here. The earth didn't swallow me, nobody laughed or teased, and my heart didn't stop.
I CAN DO THIS.
Monday, March 22, 2010
This feels weird
I've gotten notices from all three companies that I'm overdue. Chase has sent separate notices reducing my available credit and increasing my interest rate. BOA simply reminded me of a late fee.
After years of being so careful to pay everything on time, this just feels weird. Irresponsible. Shameful. But there's no sense in throwing more money in when I'm filing bankruptcy.
After years of being so careful to pay everything on time, this just feels weird. Irresponsible. Shameful. But there's no sense in throwing more money in when I'm filing bankruptcy.
Sunday: More Phone Calls
Capital One finally caught up with my yesterday.
I told her I was aware I missed the payment and was not sure when I'd be able to make a payment. I told her I was unemployed. She asked if it was due to health reasons and I laughed. No, it's due to economic reasons. She said she was sorry to hear that and that I should call them as soon as I had a better idea of my budget and they'd work on a payment plan with me.
I told her I was aware I missed the payment and was not sure when I'd be able to make a payment. I told her I was unemployed. She asked if it was due to health reasons and I laughed. No, it's due to economic reasons. She said she was sorry to hear that and that I should call them as soon as I had a better idea of my budget and they'd work on a payment plan with me.
Saturday, March 20, 2010
We Want Our Money!
The phonecalls started today.
Starting at just after 8:00 this morning both Capital One and Chase called. Both called almost every hour.
I finally was in a position to pick up one of the calls.
Things I noticed:
Chase was exceptionally polite. The guy expressed understanding and tried to get me to talk more about my situation. He also tried to get me to commit to paying the overdue amount by a specific date. He was interested in how much I thought I might be able to pay, even if it was only a small amount. He said he sympathized with my situation. He also was incredibly hard to get off the phone with, and I eventually had to hang up on him.
I've heard that collection calls are generally polite and continue to get more aggressive as time goes on.
I've also heard that they try to get as much information as possible so that they can use it to try and collect on the account.
Every time I pay a bill, even if it's only $5, it resets that "clock". If I paid nothing for the next seven years it would no longer be on my credit card and I wouldn't have to repay it. Any payment at all, no matter how small, resets that clock.
It wasn't as hard as I thought it would be. It took Chase 8 days to finally start calling me. I felt like I wanted to be a nice person and be polite. I didn't want to be a bitch. I also didn't want to tell him I was filing bankruptcy on this call. Why not? Because I wanted to see how the phone call would go if he thought he had a hope of recovering some money.
Capital One left a message this morning. "This is _______ and I have some information about an exciting opportunity available for you from Capital One. Please call me ASAP at _______." They called a few more times but I was at a wedding and missed all of them. I'm going to tell them the same thing.
Still no Bank of America calls. I'm sure that will change soon.
Starting at just after 8:00 this morning both Capital One and Chase called. Both called almost every hour.
I finally was in a position to pick up one of the calls.
Things I noticed:
Chase was exceptionally polite. The guy expressed understanding and tried to get me to talk more about my situation. He also tried to get me to commit to paying the overdue amount by a specific date. He was interested in how much I thought I might be able to pay, even if it was only a small amount. He said he sympathized with my situation. He also was incredibly hard to get off the phone with, and I eventually had to hang up on him.
I've heard that collection calls are generally polite and continue to get more aggressive as time goes on.
I've also heard that they try to get as much information as possible so that they can use it to try and collect on the account.
Every time I pay a bill, even if it's only $5, it resets that "clock". If I paid nothing for the next seven years it would no longer be on my credit card and I wouldn't have to repay it. Any payment at all, no matter how small, resets that clock.
It wasn't as hard as I thought it would be. It took Chase 8 days to finally start calling me. I felt like I wanted to be a nice person and be polite. I didn't want to be a bitch. I also didn't want to tell him I was filing bankruptcy on this call. Why not? Because I wanted to see how the phone call would go if he thought he had a hope of recovering some money.
Capital One left a message this morning. "This is _______ and I have some information about an exciting opportunity available for you from Capital One. Please call me ASAP at _______." They called a few more times but I was at a wedding and missed all of them. I'm going to tell them the same thing.
Still no Bank of America calls. I'm sure that will change soon.
Thursday, March 18, 2010
Still no calls...
I still have not received a single call from any of the three credit lines I stopped paying on this month.
I did, however, receive my Chase bill.
My past due amount and current amount due total to just over $250. And, a friendly reminder, that if I pay before the due date my APR will not go up to 29.9%.
I was expecting to have a more emotional reaction to my first "you're late, pay up be-atch" communication. Nope.
I can't believe an almost 30% interest rate, but since I'm going to be including the account (and all my dischargeable debt) in my chapter 7 bankruptcy, I'm not too worried about it.
I did, however, receive my Chase bill.
My past due amount and current amount due total to just over $250. And, a friendly reminder, that if I pay before the due date my APR will not go up to 29.9%.
I was expecting to have a more emotional reaction to my first "you're late, pay up be-atch" communication. Nope.
I can't believe an almost 30% interest rate, but since I'm going to be including the account (and all my dischargeable debt) in my chapter 7 bankruptcy, I'm not too worried about it.
Tuesday, March 16, 2010
No Calls Yet
Not paying my credit cards felt like a ballsy move for me. I've never ignored a bill before. Now, three.
The thing that I fear the most is the ringing of the phone. I'm over a week late for Chase and several days for Bank of America and Capital One.
The phone has not rang.
The only communication I've gotten thus far is a very polite form letter from Chase advising me that they've lowered my credit limit.
I have a feeling that in a few days I'll be writing a "well... they called" post.
The thing that I fear the most is the ringing of the phone. I'm over a week late for Chase and several days for Bank of America and Capital One.
The phone has not rang.
The only communication I've gotten thus far is a very polite form letter from Chase advising me that they've lowered my credit limit.
I have a feeling that in a few days I'll be writing a "well... they called" post.
Friday, February 26, 2010
Pre-Bankruptcy Payments Have More Impact than Bankruptcy Itself
Article About This
Is it worth $600 to have less impact to my credit score?
Today is February 26th.
My due dates for debt are March 6, 12, and 14. We should receive our tax refund sometime in March and as soon as we do we're going to get started on our paperwork.
The attorney said it often takes 4 weeks to get everything finalized for paperwork before filing. I'm extremely organized as far as important things are concerned and can probably have most, if not all, of what I need before I even retain the attorney. Then it's a matter of transferring it onto the correct forms.
So chances are--as long as my mom's situation get straightened out--I'll only be 30 days (because it's less than 60) late on three accounts, all of which were previously current.
Is it worth $600 to avoid a hit to my credit?
From what I've read a 30 day late payment can affect you for 1-2 years. However, this article also points out that credit sometimes improve because the income to debt ratio improves so much. Will those two factors cancel each other out?
Things to ponder...
Is it worth $600 to have less impact to my credit score?
Today is February 26th.
My due dates for debt are March 6, 12, and 14. We should receive our tax refund sometime in March and as soon as we do we're going to get started on our paperwork.
The attorney said it often takes 4 weeks to get everything finalized for paperwork before filing. I'm extremely organized as far as important things are concerned and can probably have most, if not all, of what I need before I even retain the attorney. Then it's a matter of transferring it onto the correct forms.
So chances are--as long as my mom's situation get straightened out--I'll only be 30 days (because it's less than 60) late on three accounts, all of which were previously current.
Is it worth $600 to avoid a hit to my credit?
From what I've read a 30 day late payment can affect you for 1-2 years. However, this article also points out that credit sometimes improve because the income to debt ratio improves so much. Will those two factors cancel each other out?
Things to ponder...
Thursday, February 25, 2010
Due Dates: Huge Relief
I pay my bills on two separate days.
Due Date: between 2nd and 15th Paid: on the second
Due Date: between 16th and 1st Paid: on the 16th
I was fretting over my BOA account and the right of setoff and paying them for March just to buy myself extra time. I always pay them on the 2nd, so therefore in my mind I only had until the 2nd. Right?
I got my account statement in the mail and saw it's not actual due until the 12th. My Capital One card due date is the 14th. Chase is the 6th, but I'm not worried about them.
HUGE relief. I will be able to get most things transferred over by the 15th. My plan is to have my name taken off the joint account and then as soon as hubby's first VA disability check hits the new account, we'll close the old one.
If the do catch me for right of set off then at least there won't be a lot of money in the account.
Which means I can use that $350 payment for something else.
YAY!
Due Date: between 2nd and 15th Paid: on the second
Due Date: between 16th and 1st Paid: on the 16th
I was fretting over my BOA account and the right of setoff and paying them for March just to buy myself extra time. I always pay them on the 2nd, so therefore in my mind I only had until the 2nd. Right?
I got my account statement in the mail and saw it's not actual due until the 12th. My Capital One card due date is the 14th. Chase is the 6th, but I'm not worried about them.
HUGE relief. I will be able to get most things transferred over by the 15th. My plan is to have my name taken off the joint account and then as soon as hubby's first VA disability check hits the new account, we'll close the old one.
If the do catch me for right of set off then at least there won't be a lot of money in the account.
Which means I can use that $350 payment for something else.
YAY!
Sunday, February 21, 2010
Regrets: Charging Necessities
Regret #2: Charging Necessities
I learned a hard lesson after the too-big house. My husband had gotten laid off. At the time he was in charge of all our money and I wasn't really aware of our money situation. I thought we were doing fine and getting by.
We'd go out to eat or buy something new for the house. We weren't going out as often or buying as much, but we weren't cutting those things out entirely.
Turns out hubby was paying for necessities on his credit card.
Here's the thing... money is money is money. If you're eating out and need to pay your electric bill on the credit card, that doesn't make it okay. It's not okay to pay something with credit just because it's a necessity. We might as well have paid our bills with his unemployment and my paycheck and then charged all the fun stuff.
I learned a hard lesson after the too-big house. My husband had gotten laid off. At the time he was in charge of all our money and I wasn't really aware of our money situation. I thought we were doing fine and getting by.
We'd go out to eat or buy something new for the house. We weren't going out as often or buying as much, but we weren't cutting those things out entirely.
Turns out hubby was paying for necessities on his credit card.
Here's the thing... money is money is money. If you're eating out and need to pay your electric bill on the credit card, that doesn't make it okay. It's not okay to pay something with credit just because it's a necessity. We might as well have paid our bills with his unemployment and my paycheck and then charged all the fun stuff.
Monday, February 15, 2010
BK Forums
I am not alone.
http://www.bkforum.com/
There are many others out there who are going through the same thing, have the same questions, and others who have already gone though it and have unique insights.
Like, for example, today. I was commenting on a post about when to stop paying your credit card bills. If you know you're going to file, it's money down the drain.
My concern is over the phone calls and letters... yikes! I'm nervous.
One very helpful user posted a response: "If you're filing, STOP PAYING. Don't waste your money. If you feel the urge, ask yourself...would I be willing to pay $600/month to avoid mail (that I don't have to read) and phone calls (that I don't have to answer)?" (HakunaMatata)
Duh. Freaking duh. It hit me. What a brilliant response. That's absolutely true, isn't it?
http://www.bkforum.com/
There are many others out there who are going through the same thing, have the same questions, and others who have already gone though it and have unique insights.
Like, for example, today. I was commenting on a post about when to stop paying your credit card bills. If you know you're going to file, it's money down the drain.
My concern is over the phone calls and letters... yikes! I'm nervous.
One very helpful user posted a response: "If you're filing, STOP PAYING. Don't waste your money. If you feel the urge, ask yourself...would I be willing to pay $600/month to avoid mail (that I don't have to read) and phone calls (that I don't have to answer)?" (HakunaMatata)
Duh. Freaking duh. It hit me. What a brilliant response. That's absolutely true, isn't it?
Subscribe to:
Posts (Atom)
