I need Help please!!?

View your credit file based on any of the UK credit reference agencies, or all three at once
LifeLock is the only Identity Theft Prevention Solution backed by a one-million dollar guarantee!Click here to get a 10% discount.

LifeLock Identity Theft Prevention - Save 10%

Step 3: The game plan鈥?

Let鈥檚 say you were able to free up $100 a month. What the game plan is, is to get rid of the smallest debt first and work your way up to the biggest one. Instead of a shot gun approach of just fire in a bunch of direction, we are going to focus our aim at one thing at a time, so it鈥檚 a little more manageable. Using the example situation above, here鈥檚 what it will look like:

A) Take that extra $100 and apply it on top of your VISA payment each month (now you are paying $150 a month to the VISA instead of $50). Continue making minimum payments on the other debts, until the VISA is paid off.

B) When VISA is paid off, you are now used to making those $150 payments anyways, so take the $150 you were paying on the VISA and add that to the minimum payment you were making on the master card ($150+$125 = new payment $275/month). You鈥檙e now making more than double the payments, it鈥檚 pretty easy to see that this will get paid off much sooner.

C) When the MC is paid off, take that $275 and add it to your loan payment (new loan payment = $675/month). Sounds like paying $675 a month is a lot, but remember, you鈥檝e now been used to paying these payments for several months now鈥t鈥檚 just going to one spot now, right? Keep paying $675 on your loan until it鈥檚 gone and continue making your minimum on the mortgage.

D) Now that the loan is paid off, take that $675 a month and apply that to your mortgage payment. Many mortgages have limits to how much you can increase your payments by, so it is important to plan things out. EI: When your mortgage renews and you know you will be making massively high mortgage payments (adding the $675 to $350 is almost tripling your payment, most banks only allow up to double), renew it to an open mortgage so you can make the payments as high as you can. Now that you are making $1025 payments each month, you will have the mortgage paid off in less than 5 years instead of 20, plus you will save roughly $40,000 in interest. IF you can鈥檛 think what you would do with an extra $40,000 in your pocket instead of the banks, feel free to give it to me. :D

First Previous 1 2 345 6 Next End

I need Help please!!?

Topic