Laid off and looking for some suggestions (Sorry, long)

[Lindahfx]

I was laid off a month + ago but have been kept on for a 4 month project. We are not prepared for this (I’m a perfect example of why you need an EF – we don’t have one). We have debt and our monthly living expenses are pretty high. I have a budget based on our current incomes but have been calculating what our budget will be when I am officially unemployed – assuming I don’t get another job by then. Here is our current budget with comments about where we can cut. When I look at our current net income, it looks like we are clearing a large amount and should easily be able to pay off the smaller cc’s and save $$ but I find that we are scraping by. I am putting larger amounts on some of the cc’s (I paid $450 the other night on some) but it is still so tight.

Please provide me with any input you think would help our situation:

Monthly Expenses:
Mortgage - $1,529
Property Taxes - $280
Mortgage Insurance - $56
House Insurance - $71
Heat (oil – budget billing 10 months per year – will not have this payment in July and Aug.) - $265
Power - $80
Water - $30
Cable/Phone/Internet - $185 (could bring this down a little bit by removing a few cable items but not much)
Furnace Lease - $92
Car Insurance - $77
Car Lease Payment - $498 (I know… bad decision but it’s a lease, can’t get out of)
Cell Phone - $45 (locked in to a plan for another year)
House Security - $21
Childcare - $600 (this will decrease when I am unemployed but unless I want to lose daycare altogether, need to keep her in for a min of 3 days per week which would total $360/month)
Gym/Weight Watchers - $110 (unemployed budget - will give up both)
Groceries/Toilettries - $750 (unemployed budget - can reduce to around $600)
Gas - $125 (unemployed budget - will reduce to around $60 since will not be going to work)
Bus Pass for DH to go to work - $68
Lunches - $180 (this is mostly my DH who never takes his lunch – I’m trying to bring mine 4 days per week; unemployed budget - $75)
Dinners - $100 (unemployed budget - $40)
Entertainment - $50 (we rarely go out anymore so this is actually much lower; unemployed budget - $30)
Clothing - $30 (this is mainly for my 3 year old DD)
Anniv/Birthdays - $40 (some months it is higher and some lower)
Hair – approx. $50 (I go every 6 weeks and DH goes every 4 or so)
Misc. - $60 (unemployed budget - $30)

Credit Cards:
CC#1 – not sure of min. payment off hand but probably around $40; $973 (APR - 19%) – have some expense cheques coming in that will pay a large chunk of this… have been putting as much as possible on it
CC #2 – min pymt is approx $15; $446 (APR – 19%)
CC #3 – min pymt is $20; $4400 (APR – 2.9% until Sept. – then 19.99% - hoping to have another offer for low rate and will transfer)

Student Loans:
SL#1 - $89 (not sure of total balance) unsure of int. rate – this is DH’s and he doesn’t get a statement or have much info on it. I’ve continued to ask him to look in to it but still don’t have the exact info
SL#2 - $310 (balance approx. $18k) int. rate approx. 4.25% - will need to check to confirm

Total Revenues: $6,870
Total Expenses (including min cc pymts): $5, 380
Net: approx. $1,500

Savings:
We currently have $4,500 in a savings account but this has been put aside for taxes as I am expecting a large tax bill this year. Other than that, we have minimal savings.

Unemployment Income (+ DH’s income)/Expenses:
Income: Approx. $4,940
Expenses: Approx. $5,069
Net loss: -$129 (during July and Aug. there will be a + income due to no heat costs)

My questions are:
- Should we be trying to pay off as much debt as possible until I am officially unemployed i.e. I know that we will have CCs #1 & #2 paid off soon but should we focus on CC#3 at 2.99% interest or should we focus on savings?
- Should I try to refinance our mortgage while I’m still employed to see if I can reduce the month payment?
- Any other suggestions?

[creditcardfree]

First, what is a furnace lease?

[swaymonae]

Why does CC#3 jump from 2.9% to 19.99%??
Are you sure there are no ways to get out of a lease??

Lunches - $180
^ this can be reduced to $50 or less per week. For about $10/week I bring in supplies to make bean & cheese burritos/tacos, noodle soup, or rice & salsa + water. (That's $170 less right there.)

Groceries/Toilettries
^ Don't tell me you shop at Safeway. This is way too high. Is it just you two? I spend $250/ month shopping at Target, Trader Joes, Walmart or Costco. Multiply me x 2 = $500 - (That's $250 less.)

Cable/Phone/Internet - $185 (could bring this down a little bit by removing a few cable items but not much)
^ Yeah, bring it down to $30 - You might not have a job for a while, the only thing you should be doing on the internet is sending out resumes. ($155 less.)

Anniv/Birthdays - $40 (some months it is higher and some lower)
^ Sorry, we're broke, here's a Hallmark card. ($35 less)

Hair – approx. $50 (I go every 6 weeks and DH goes every 4 or so)
^ $5 @ Walgreens ($45 less)

Dinners - $100 (unemployed budget - $40)
^ New budget = $0 eat at home ($40 less)

Entertainment - $50 (we rarely go out anymore so this is actually much lower; unemployed budget - $30
^New budget = $0, read a book ($30 less)

This all kind of irks me.. you're about to lose your job and it doesn't seem like you're taking it seriously. There are so many places for you to cut corners.


- Should we be trying to pay off as much debt as possible until I am officially unemployed i.e. I know that we will have CCs #1 & #2 paid off soon but should we focus on CC#3 at 2.99% interest or should we focus on savings?
^ No, you need to SAVE money. You desperately need an EF.

- Should I try to refinance our mortgage while I’m still employed to see if I can reduce the month payment?
^ Yes

- Any other suggestions?
^ Stop spending money

[Lindahfx]

Originally Posted by creditcardfree

First, what is a furnace lease?

When we built our house, we were provided with a furnace to lease to buy over 5 years. $92/month. After that we will own it.

[Lindahfx]

Originally Posted by swaymonae

Why does CC#3 jump from 2.9% to 19.99%??

It was a deal offer... we transferred a balance over from a higher int. CC... 2.99% til Sept., then it increases to 19.99%
Are you sure there are no ways to get out of a lease??
you mean the car lease? There could be a way - we would have to look in to it. We would need a reliable car though.

Lunches - $180
^ this can be reduced to $50 or less per week. For about $10/week I bring in supplies to make bean & cheese burritos/tacos, noodle soup, or rice & salsa + water. (That's $170 less right there.)
I agree... if I could get my DH to take his lunch that would be good. He either eats out or doesn't eat lunch at all. I have no problem bringing mine.

Groceries/Toilettries
^ Don't tell me you shop at Safeway. This is way too high. Is it just you two? I spend $250/ month shopping at Target, Trader Joes, Walmart or Costco. Multiply me x 2 = $500 - (That's $250 less.)
I'm in Canada and we really only have 2 grocery stores to pick from. They're prices are both about the same. I do buy meats, etc. from Costco which we will be reducing.

Cable/Phone/Internet - $185 (could bring this down a little bit by removing a few cable items but not much)
^ Yeah, bring it down to $30 - You might not have a job for a while, the only thing you should be doing on the internet is sending out resumes. ($155 less.)
Thanks, I know that there is room for movement there. I'll look in to the full savings we could get.

Anniv/Birthdays - $40 (some months it is higher and some lower)
^ Sorry, we're broke, here's a Hallmark card. ($35 less)
yes you are right... this can be almost eliminated

Hair – approx. $50 (I go every 6 weeks and DH goes every 4 or so)
^ $5 @ Walgreens ($45 less)
Again, I am in Canada but you are right... I could save if I went some discount hair salon.

This all kind of irks me.. you're about to lose your job and it doesn't seem like you're taking it seriously. There are so many places for you to cut corners.
I am taking this very seriously. I think about this 24/7. I am stressed and have been working on numbers constantly to figure this out. My DH is a bit in denial so I sat him down the other night to show him the situation. I think a bit of a lightbulb went on in his head but he's still not catching on to it all. I have gone to an employment assistance counsellor to discuss my stresses. Please don't say that I am taking it seriously because that's just not true.


- Should we be trying to pay off as much debt as possible until I am officially unemployed i.e. I know that we will have CCs #1 & #2 paid off soon but should we focus on CC#3 at 2.99% interest or should we focus on savings?
^ No, you need to SAVE money. You desperately need an EF.
So, you don't think I should focus on the cc. I asked about this on another board and they all said to focus on paying off the cc.

- Should I try to refinance our mortgage while I’m still employed to see if I can reduce the month payment?
^ Yes

- Any other suggestions?
^ Stop spending money

I have cut back quite a bit already and I am working on these further reductions that I mentioned above.

[swaymonae]

If you don't have an EF, and only a few grand in savings,... you need to get some money together in the event that you are unable to obtain employment fairly quickly.. Look at it like this. If you can quickly save $10,000 and just pay the minimums on the CC's, and you do acquire a position somewhere, some of that money that you saved you can throw a large lump sum towards your debt. However, if you pay off your CC's and can't obtain employment, how are you going to pay your mortgage? Visa?

^PS, if you pay down your credit cards, you'll likely see a drop in your credit limit, and if you were planning on living off of those, they might not be there anymore.

[zetta]

You have a lot of 19% cards -- is there any way to apply for cards with a better rate while you are still employed and do a balance transfer?

Tell your DH to suck it up and take his lunch until you find a job. To make sure he does it, you may have to pack it for him. You can make sandwiches, hot soup in a thermos, leftovers, or find cheap things like burritos that he can take and reheat (if he has access to a microwave)

[boosami]

What is House Insurance - $71/month? Seems high if you're talking about home owner's insurance. Especially since you have a home security system. Or are you in some high risk disaster area?

[reptile411]

My only suggestion is if he cant catch on the the situation then take everything for him on that budget and move it to a big fat goose egg "$0.00" I agree with the suggestions thus far, there are a lot of ways to cut down from going over the list. I didn't have internet and cable when I got my job, you can get rid of that all together. I am not sure about Canada but a lot of places in the US are really trying to work with unemployed consumers right now. You need to call everyone you owe money to and explain the situation, maybe you can work out some differed payments that will save your credit and at least buy you some time. Also I don't know about the unemployment situation in Canada but I know here in California I can live off my unemployment for a year.

[swaymonae]

Suze Orman's advice:

A Change in Credit Card Strategy


If you have an unpaid credit card balance and not much saved up in emergency savings I need you to listen up. My advice has changed.

I want you to only pay the minimum due on your credit card balance and instead make it your top priority to build as much of an emergency cash fund as you can.

Let me tell you why I am now telling you to do this. With rising unemployment, having a big emergency cash fund is vital, even if it means curtailing your credit card repayment strategy.

The sad reality is that the credit card industry is taking actions to protect themselves with no regard to your needs or how good you have been about paying your bills on time. The problem is that most credit card companies are either reducing your credit limits, raising your interest rates and are even paying you to close down your account. Many of you are even finding that when you do finally pay off your credit card debt that the issuing credit card company of that card is closing that card down as fast as they can so you cannot ever charge on it again. You did everything right, and yet still you could have your credit limit reduced, which can have a negative impact on your credit score.

So here is the problem. If you do not have a stash of cash in an emergency fund and you have been using all your extra money to pay down your credit card debt and they keep closing your cards down—what are you going to live on if you lose your job? Chances are you may not have any available credit, or too little credit, to use in the event you are laid off. Nor will you be able to get a new card if you are unemployed.

That’s why I am telling you to pay just the minimum required on your card each month and then use every extra penny you have to build up your emergency savings fund. You want to have a fund that can cover your living expenses for up to eight months.

If you revert to paying just the minimum on your credit card there’s a chance it may indeed hurt your credit score. But as I just explained, even if you do pay it down there’s a chance your credit score will be hurt if the credit limit is reduced.

I want to be very clear: I still believe getting out of credit card debt and making sure your FICO score is as high as possible is incredibly important. For those of you with a fully-funded emergency account please make it a priority to pay off any credit card balances as soon as possible. My new advice is solely for those of you who do not have an emergency savings account, or too small of an account. The single most important Action to take in this severe recession is to build savings so you and your family will be able to have money to cover your basic necessities if you lose your job. As you have heard me say before: Hope for the Best, Prepare for the Worst. And right now we all need to be redoubling our preparation efforts.

[Russell]

Sorry to hear about your lay off. The times are tough and there are a lot of people, very qualified and those that didn't deserve to be laid off, in the same situation.

You're doing the right thing by asking for advice here and I agree with most of the advice given here so far. I am of the school of thought that at the end of the day when all is said and done what you really need is a roof over your head and food on the table. Again:

Roof over your head and food on the table.

So with that said, what you need to do is make sure that you can pay your mortgage and related expenses and food. Make sure that at least 6 months of these expenses are in your savings. In the meantime cut expenses as hard as you can to accelerate the savings rate. This could mean lowering expenses by spending less, negotiating better rates for mortgage and other debt, negotiating payment deferment etc. Definitely look into 0% balance transfer options. Also look into part time work. I understand about the child care, it's hard to take care of the kids every single day and in most cases it's better to have a day or two to yourself but perhaps a family member can help with that which may allow you to save $300 a month.

Goodluck and keep us posted on how you're doing.

[me in socal]

I am in a similar boat so I understand and am sorry!

First, I listened to the advice others gave me on my post and just deferred my student loan. See if you can do that as soon as you get your UI benefit verification. That will be $310 that can go toward your EF!! Monthly, wow!

Second, hair cuts. I have long hair and bangs and can go a long time without a cut, your mileage may vary. But this is my new strategy, I am waiting for an interview before I get a haircut. I have been looking since NOVEMBER. YES, NOVEMBER and got laid off in JAN and still no interviews. It's rough and my hair has seen better days. If you color, try and do it at home and go one color all over, leave the fancy highlights for AFTER you get a job (if you do that sort of thing...)

Third, food. I've found that there are some surprising expenses that have went up since I've been home that were previously covered by work (unknown employee benefits!!) Toilet paper, tissue, water, electricity, breakfast (we had oatmeal packets that I ate daily), coffee, coffee, coffee! Be aware of those things and budget for them or adjust elsewhere. I now drink regular ground coffee (like Yuban, Maxwell House...) instead of my beloved Trader Joe's Dark Espresso Roast.

Fourth, cable, etc.. Now, my family tends to be nerdy internet people so we rely on that connection. We have completely eliminated cable/satellite from our lives. You know what, you might not NEED WW after that! Really! Get outdoors, go to the library, go to the gym/YMCA/community center, run around with your kid, hit the park, etc. Use Skype for long distance calls from your computer (you will need headphones with a mike...) But everyone is different so maybe you can't give it up, I would at least try it. You might end up liking it! I realize it's cold where you live (yikes-heating bill!!!) but I grew up in upstate NY so I know there is stuff you can do outside even in winter! For free!

Fifth, birthdays/gifts. I am trying to eliminate my gift budget too. My kid makes home made cards (and NO ONE has complained yet!) Saves $3 a bday and they are cute! That is the cost of construction paper from Big Lots and time.

Sixth, kids clothing. I shop now at thrift stores and Children's Orchard. They often have dept store brands for pennies on the dollar. $4 dresses and Orchard has a fill-a-bag for $5 event. You wouldn't believe what I got for $15!!! Check mom's groups and see if there are resale shops in your area. Kids go thru clothes too fast, don't spend a fortune on them! Now I realize even Target is too much unless it's on super-clearance.

I do hope this helps. It's been hard for me because I was making good money (I made almost as much daily as my entire weeks' UI check...) so this is a reality check for me. And I'm trying to get on track and STAY THERE! Yay!

Thanks and good luck!!!!

[Joan.of.the.Arch]

me in socal, those are some good down-to-earth tips and observations. When you are really in the grips of a situation, you can be very helpful to the next person. Good goin'!

[disneysteve]

Originally Posted by Lindahfx

I was laid off a month + ago but have been kept on for a 4 month project. We are not prepared for this (I’m a perfect example of why you need an EF – we don’t have one). We have debt and our monthly living expenses are pretty high. I have a budget based on our current incomes but have been calculating what our budget will be when I am officially unemployed – assuming I don’t get another job by then. Here is our current budget with comments about where we can cut. When I look at our current net income, it looks like we are clearing a large amount and should easily be able to pay off the smaller cc’s and save $$ but I find that we are scraping by. I am putting larger amounts on some of the cc’s (I paid $450 the other night on some) but it is still so tight.

Please provide me with any input you think would help our situation:

Monthly Expenses:
Cable/Phone/Internet - $185 (could bring this down a little bit by removing a few cable items but not much)
Gym/Weight Watchers - $110 (unemployed budget - will give up both)
Groceries/Toilettries - $750 (unemployed budget - can reduce to around $600)
Lunches - $180 (this is mostly my DH who never takes his lunch – I’m trying to bring mine 4 days per week; unemployed budget - $75)
Dinners - $100 (unemployed budget - $40)
Clothing - $30 (this is mainly for my 3 year old DD)
Anniv/Birthdays - $40 (some months it is higher and some lower)
Hair – approx. $50 (I go every 6 weeks and DH goes every 4 or so)
Misc. - $60 (unemployed budget - $30)

Credit Cards:
CC#1 – $973 (APR - 19%)
CC #2 – $446 (APR – 19%)
CC #3 – $4400 (APR – 2.9% until Sept. – then 19.99%)

I don't want to restate what others have said, but these are things that totally jump out at me. You've listed a slew of luxury spending at the same time that you've listed consumer debt with sky high interest rates. Those two facts just don't add up. I've got not problem with enjoying the finer things in life IF you can afford them. Right now, you can't. You need to cut things way, way back, and your notes do indicate that you're moving in that direction, but it sounds like you need to get much more dedicated to that goal.

As I read your post, you are spending $750 on groceries PLUS $180 on lunches PLUS $100 on dinners. Is that correct? That comes to over $1,000/month on food. Sorry, I don't care where you live. That's simply insane. There was just a thread about eating for $100/month. Good Morning America did a story last week on a woman who ate for $1/day, so $30/month. I'm not advocating that. I think that's really extreme, but you can absolutely eat a decent, varied and healthy diet on $150/month/person. That would be $300 for the 2 of you plus money for your child, so maybe $400 for the month. That would save you over $600/month.

Cable TV is a LUXURY. It is not a need. People often forget that. We have limited basic cable - $10.76/month. I'm not sure what your options are in Canada but you need to call and cut back to their absolute cheapest service. For phone, cable and internet, we pay about $70.

$30/month for clothes for a 3-year-old is a lot. Are you buying new or used? I'd be hitting the thrift shops, ebay, craigslist (if you have that there) and friends and family for hand-me-downs.

Hair can be cut to $0. My wife and I both cut our own hair and have for years. I bought a $15 electric trimmer for myself. She does hers with a scissors. If you aren't that brave, go somewhere like Hair Cuttery where it is $15.

There is more than enough fat in your budget to get rid of CC#1 and #2 within the next month or two. You absolutely need to be building your cash reserve. Otherwise, what will you live on when your job ends?

[maat55]

When I got serious about my finances, I sat down and wrote down my expenses from most important to least. I made the list with necessities and wants.

Depending on the urgency of your situation, you should cut all wants and find cuts in the needs. Do not assume you will regain your income, plan for the worst. After you have made deep cuts, go back and cut more.

You should look at what can be sold. I would mow lawns to avoid touching my EF.

[snafu]

I'm guessing you're in Ont. You're life is about to change in a drastic, unpleasant way. Without an EF, you & DH will need to be aware of every penny spent and weigh which NEEDS will be covered and which will fall by the wayside. He needs to get with the program PDQ.

You've been given great advice though there are a few modifications for Canucks. Does your project extention include EI benefits? Apply for benefits on your 1st unemployed day as you will have a waiting period + any vacation accrual. How many weeks of benefit are available in your region?

I suggest you call your MP's office and have them explain EI benefits. You need to know the Rules before applying as ignorance will you lose you weeks of benefits which will not be added at the end of your benefit period. If you don't like that idea, research on-line or at the library. If you are denied any benefits, Appeal! It's a simple process and most claimaints win.

Have you updated your resume? Create a list of business contacts that might know of jobs. Send out resumes to everyone you know. More work is obtained through contacts than any other means. You obviously have special skills. What other type of employment has the counselor suggested your skills apply?

EI benefits extend to training programs. Ask if you are eligible for any. You are in a horrid job market so learning new skills helps retain child care, gives you a breather, allows you to meet new sources etc.

FICO scores are an American system. 19% APR is low for here, some are going to 28%. Once laid off - call your creditors and request they stop interest charges and reduce the debt.You might have to beg, plead, grovel, be polite but persistent. There is a provincal service called "Orderly Payment of Debt.' Get information from MPP's office. Their debt counsellors can call your creditors and negotiate for no cost of credit and a lower balance. Be careful that you are not joining a For-Profit debt counsel service. They charge fees for doing what you can do on your own.

What can you do to bring in more money? Can you rent a room to someone who can no longer afford an apt.? Can you offer child care? Do you or DH have any skills that can earn income?

I'd choose to retain basic Cable and Internet. However, internet is available for free at every library. If you're not a member, join the library and rent their DVDs for entertainment. They have lots of tot programs. Go to any interview practice sessions you can find, likewise job fairs even if it feels like a cattle call.

There are several grocery discount stores, look in the Yellow Pages for Liquidators. Find out where the nearest Foodbank is, you may need to go there. Schools offer beauty culture where well supervised students offer hair cuts, perms, color, manicure, pedicure, facials for the cost of products.

Meal planning is the most effictive way to cut food costs. wwwCooks.com is merely one site that you can search Budget Dinner. You need to know what food you have on-hand and what is needed to make up healthy meals.
Consider canceling your land-line and revert to cell for job search and Skype for conversations even world wide. You will need to get regular excercise to keep up endomorphs. Look for freebies

[Fizgig]

It sounds like you intend to continue using your "employed" budget until your four month project runs out. I think you should move to your "unemployed" budget right now, with the additional cuts suggested, and use the surplus to HORDE cash in preparation for your layoff. I hate saying to pay only minimums on debt, but that's probably the right thing to do so you can build a stockpile.

People have made excellent suggestions for your budget and I just want to add my vote to a few of the really good ones:

- Do pack lunch for your hubby. It'd be nice if he took the initiative himself but since he's resistant and you're already packing your own, it can't be that hard to pack another to make it a little easier for him.

- Living without cable is EASY. I dropped mine and went to antenna about six months ago just out of principle, because Comcast service is lousy and I didn't want to give them money anymore. Keep the internet connection and you can watch everything you want online (legally), but there are great shows on network anyway. The antenna cost $30 and my picture is clearer than ever.

- You say the daycare people need 3 days/week or you'll lose your spot. If you explain the situation to them, they might be more accommodating than you think. People understand that these are unusual times and many will be compassionate.

- Gym/WW. It's a great move for your health but that's a steep price. Maybe try to find a supportive, free online community and exercise at home and outside. It'll be important for stress relief but if I were you the bill would CAUSE stress!

Best of luck to you - you'll get through.

[Lindahfx]

Originally Posted by swaymonae

Suze Orman's advice:

A Change in Credit Card Strategy


If you have an unpaid credit card balance and not much saved up in emergency savings I need you to listen up. My advice has changed.

I want you to only pay the minimum due on your credit card balance and instead make it your top priority to build as much of an emergency cash fund as you can.

Let me tell you why I am now telling you to do this. With rising unemployment, having a big emergency cash fund is vital, even if it means curtailing your credit card repayment strategy.

The sad reality is that the credit card industry is taking actions to protect themselves with no regard to your needs or how good you have been about paying your bills on time. The problem is that most credit card companies are either reducing your credit limits, raising your interest rates and are even paying you to close down your account. Many of you are even finding that when you do finally pay off your credit card debt that the issuing credit card company of that card is closing that card down as fast as they can so you cannot ever charge on it again. You did everything right, and yet still you could have your credit limit reduced, which can have a negative impact on your credit score.

So here is the problem. If you do not have a stash of cash in an emergency fund and you have been using all your extra money to pay down your credit card debt and they keep closing your cards down—what are you going to live on if you lose your job? Chances are you may not have any available credit, or too little credit, to use in the event you are laid off. Nor will you be able to get a new card if you are unemployed.

That’s why I am telling you to pay just the minimum required on your card each month and then use every extra penny you have to build up your emergency savings fund. You want to have a fund that can cover your living expenses for up to eight months.

If you revert to paying just the minimum on your credit card there’s a chance it may indeed hurt your credit score. But as I just explained, even if you do pay it down there’s a chance your credit score will be hurt if the credit limit is reduced.

I want to be very clear: I still believe getting out of credit card debt and making sure your FICO score is as high as possible is incredibly important. For those of you with a fully-funded emergency account please make it a priority to pay off any credit card balances as soon as possible. My new advice is solely for those of you who do not have an emergency savings account, or too small of an account. The single most important Action to take in this severe recession is to build savings so you and your family will be able to have money to cover your basic necessities if you lose your job. As you have heard me say before: Hope for the Best, Prepare for the Worst. And right now we all need to be redoubling our preparation efforts.

Thanks! This is great information. That's exactly what we need to do. I just put out $450 extra out on my ccs. Too bad I hadn't saved that. But I will do it for now on. Great article.

[Lindahfx]

Originally Posted by zetta

You have a lot of 19% cards -- is there any way to apply for cards with a better rate while you are still employed and do a balance transfer?

Tell your DH to suck it up and take his lunch until you find a job. To make sure he does it, you may have to pack it for him. You can make sandwiches, hot soup in a thermos, leftovers, or find cheap things like burritos that he can take and reheat (if he has access to a microwave)

Actually, I just received a letter from one of my cc's offering a 2.99% APR until Jan. 2010 on transfers (with a 1% transfer fee). I was thinking that I would use that if we weren't going to pay off our cc's which is looks like that's what we will now do.

Also, I agree... he is going to suck it up. I don't care if he doesn't eat at all... as long as he's not spending our $$.

[Lindahfx]

Originally Posted by boosami

What is House Insurance - $71/month? Seems high if you're talking about home owner's insurance. Especially since you have a home security system. Or are you in some high risk disaster area?

Yes, it is home owner's insurance. Is that high? I'm not sure... we don't live in any high risk disaster area. Hmmmm.... I will ask around with my friends and see what there's is to see if we are in the same ballpark. Thanks.