Here is my story I got in way over my head after my last child my wife came off payroll way earlier than expected and I lived on CC until I could arrange a second job.
I racked up about 35,000 in debt in a real short time losing a second income really hurts.
So here is my question MY wife has finally left her job to be a stay home mom and I have picked up a second job to make up some of the income. So she has a 457 that's getting cashed out valued at 27,000 and I am looking for advice on what to do with it. I know I can roll it over or should I pay off my existing debt currently not paid for about 3 years or buy my my wife and myself car's?
A little back history My car had 350,00 miles on it and is on it's last leg and she just totaled hers public transportation is not an option as it is almost non existent here. I work 2 jobs and travel about 100 miles a day round trip so buying used and cheap get's expensive in the repair department.
My thought is 2 civics nothing special probably about 22,000 each 10,000 down on each and finance the rest. this will leave me about 7000 to negotiate with my current creditors.
I am already approved for the loans at a high but not too high considering 4.5 interest rate. I would like a lower rate but you have to pay the piper for your mistakes.
I would appreciate any advice.
I know this is probably not a debt management question in itself but I have to start somewhere every time I seem to start to get ahead something else falls on me for example car breakdown (mine) of my wife totaling her's.
MY thinking is like this pay the first year on time at 4.5 then try to refinance at lower rate to help save some money then I can concentrate on trying to get the bills in order if they don't have me in court before then. Also in the next year I will have a loan that is taken automatically from my check end freeing up about 300 a month to start working the bills.
I racked up about 35,000 in debt in a real short time losing a second income really hurts.
So here is my question MY wife has finally left her job to be a stay home mom and I have picked up a second job to make up some of the income. So she has a 457 that's getting cashed out valued at 27,000 and I am looking for advice on what to do with it. I know I can roll it over or should I pay off my existing debt currently not paid for about 3 years or buy my my wife and myself car's?
A little back history My car had 350,00 miles on it and is on it's last leg and she just totaled hers public transportation is not an option as it is almost non existent here. I work 2 jobs and travel about 100 miles a day round trip so buying used and cheap get's expensive in the repair department.
My thought is 2 civics nothing special probably about 22,000 each 10,000 down on each and finance the rest. this will leave me about 7000 to negotiate with my current creditors.
I am already approved for the loans at a high but not too high considering 4.5 interest rate. I would like a lower rate but you have to pay the piper for your mistakes.
I would appreciate any advice.
I know this is probably not a debt management question in itself but I have to start somewhere every time I seem to start to get ahead something else falls on me for example car breakdown (mine) of my wife totaling her's.
MY thinking is like this pay the first year on time at 4.5 then try to refinance at lower rate to help save some money then I can concentrate on trying to get the bills in order if they don't have me in court before then. Also in the next year I will have a loan that is taken automatically from my check end freeing up about 300 a month to start working the bills.
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