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Let us see if I can use numbers correctly this time...



Loan Oct. 2015 Sep. 2015
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Student Loan 1 (6.41%) $19,790 $19,920
Car Loan 1 (4.45%) 10,200 10,200
Student Loan 2 (3.86%) 5,482 5,482
Car Loan 2 (3.45%) 7,073 7,073
Car Loan 3 (3.45%) 5,531 5,531
Discover CC (0.00%) 4,542 4,542
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$52,618 $52,748
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Not much of a decline since the last upate, but that's because I posted the Sep. 2015 figures late in the month, after I had already made payments on most of my debts. Next update should be much better.
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Out of curiosity, how'd you get stuck with 3 car loans?
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whafa: Out of curiosity, how'd you get stuck with 3 car loans?

Oy, yeah, that's a sore spot with me, something that I wish hadn't happened.

Four years ago my son turned sixteen and was active enough to need his own car. He had saved allowance money ($1500) and "bought" my Toyota Corolla, and I took his money for a down payment on a Hyundai Tuscon for my wife. (Car Loan #2). I drove a 1995 Suburban (paid for) that ran relatively well but guzzled gas.

A year later my son was in a car accident. Good-bye Toyota Corolla. The insurance gave us $8K for it, and I used that to buy a 2008 Volkswagon Jetta free and clear from the local Toyota dealer. That car turned out to be a lemon. Over the next year it needed $2500 worth of work and would periodically strand my son on the side of the road. One shop told me that the transmission was going to need to be replaced and soon, which gave me an idea why the previous owner had gotten rid of it.

I decided my son needed a reliable car before he went off to college out-of-state, so we took it to CarMax and traded it for a 2010 Chevrolet Cobalt (Car Loan #3.) CarMax took one look at the Jetta and offered $1700 for it. So yeah, I turned $10,500 ($8K purchase plus $2.5K repairs) into $1700 in one year. (Ask me for investment advice!)

Six months ago the Suburban's transmission left me stranded on the side of the road. I needed to drive it just one more year until the Tuscon's loan was paid off when I planned to trade it in, but the Suburban had other plans. The estimate was going to $3500 for the repair, for a vehicle with a street value of about $1000 that I was planning on owning for less than a year. So with a heavy heart I let the Suburban go to charity and bought a 2008 Hyundai Sonata (Car Loan #1).

For those keeping track at home, that's four car purchases in four years. I'm currently dumping everything I can into a "Tuscon Payoff" fund that doubles as an emergency fund, and I hope to have it paid off in First Quarter 2016.
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Wow, that's some bad luck! I'm a car owner now for the first time in over 10 years. I keep waiting for something to go wrong.
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For those keeping track at home, that's four car purchases in four years. I'm currently dumping everything I can into a "Tuscon Payoff" fund that doubles as an emergency fund, and I hope to have it paid off in First Quarter 2016.

When does your Discover 0% rate expire, and what rate does it go to upon expiration?

I get that you hate the car loans (and I can understand why), but it might be better to pay off the Discover debt just before the rate expires and delay paying off the Tucson loan. Please keep in mind, the minimum payment on the Discover card will probably go up substantially, along with the interest rate. If you are cash flow strapped, you may want to call Discover to see what the minimum payment will go up to, and see if it's more or less than the payment on the Tucson, and use that to help you decide which one to pay off.

I'm also confused about your statements:

Six months ago the Suburban's transmission left me stranded on the side of the road. I needed to drive it just one more year until the Tuscon's loan was paid off when I planned to trade it in

vs.

I'm currently dumping everything I can into a "Tuscon Payoff" fund that doubles as an emergency fund, and I hope to have it paid off in First Quarter 2016

It's now October, 2015. 6 months ago was April 2015. If, in April, 2015 you had only needed to keep paying on the Tucson for another year, that would mean that the Tucson would be paid off in April, 2016. Q1 of 2016 is only 1 - 3 months before April, 2016 - it doesn't seem like you would need to add that much to pay the car off 1 - 3 months earlier.

On the other hand, the lowest balance on any of your car loans is $5,531, and the balance on car loan #2 (which you say is the Tucson loan) is $7,073 - that doesn't seem like a balance that would be paid off in 6 months (a year from 6 months ago), so that doesn't really jive with your statement about how long you had to drive the Suburban to have the Tucson paid off.

AJ
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...with a heavy heart I let the Suburban go to charity...

When I looked into donating an old car to charity it looked kind of like a lose-lose situation for me and the charity.

Owner gets a tax deduction for whatever the charity gets for it (assuming they itemize at all).
The charity hands it over to company that handles the car donations and gets just a tiny percentage of the value. That company keeps the majority of what ever value is available on the junker market.

Other option is to sell it directly to a junkyard, keep a portion for yourself and donate some cash to the charity of your choice. Cuts out the middle man.

Mosquito
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