Debt Dumpers 2020

New to this group, but so excited because we just paid off our ridiculously expensive truck. We never should have gotten it, I know, but I've done all I can since I've learned, to get it paid off. It's very exciting for me and I'm so proud of us!
 
Hi again. So I have scrolled through the last three pages or so and wow, a lot going on. I hope everyone who has been sick and injured is on the mend. Scary stuff. We are all healthy - knock on wood. One of my SIL out of state got COVID and we were very worried bc she has an autoimmune disease but it was very mild and lasted about a week. She’s fine now. We have not been able to go anywhere to see family and that's been very hard, especially when I think about Thanksgiving and the winter holidays and our aging parents. DH and I took a few days off work in July because we needed the brain break and did a couple of day trips to outdoor areas near us that have pretty views etc. and have plans next week to dine outdoors at a restaurant we like for our anniversary. It amazes me that we've been home for five months with no end in sight. Long update follows:

Like some of you have mentioned, it has taken a pandemic for us to be in the best financial shape we’ve ever been in. Both working from home, which means no 100 mile round trip commutes. We probably save $500/month in gas. We got our money back from the flights to London we obviously couldn’t take, plus almost $4k refunded for DS19's room and board last semester. We do order takeout every Saturday night for dinner and with all four of us eating every meal at home, are spending quite a bit on food. I have done some online shopping for non-food items/non-essentials but we’re barely spending money.

We have been getting some things done around the house that are high-ticket items though, a new garage door opener that we had put off for almost three years, some work done on our porch and gutter repairs. And in Sept. we’re replacing the sliding door to our deck with French doors. And we‘ve put about $2k into the boys’ car, which our (trusted) mechanic says is still the more cost efficient way to go bc even on a 2010 car (Toyota), he thinks there’s a lot of life left. DS19 is in the process of moving into an off-campus house near the university (an hour away from us), even though all of his classes this upcoming semester happen to be online (the school is doing a hybrid approach). They signed the lease in Feb. right before all this hit and even though I would have preferred him to spend another year on campus, now I am glad he'll be sharing space with just four others. A lot of his friends are going to stay home and if they have any in-person classes, commute. He said he would have done that if he was going to be in the dorms. He's getting his (required) COVID test next week and needs to start reporting his temperature and symptoms/nonsymptoms next week before classes start.

Because DS17's senior year of high school will be starting online (makes me very sad), we told DS19 he can take their car with him, mainly so he can food shop easily. Wasn't our original plan, but with DH and me both working at home, we have two other cars mostly just sitting in the driveway these days that DS17 can use. He's been the one out of the house most, he lifeguards at an outdoor pool. We've been teaching the boys to cook and they've each taken a night a week to cook, and we got through the entire Cheers run and are now onto Frasier, and have weekend movie nights together which has been fun. Not how I've wanted their young adult years to start, that's for sure, but they've handled it really well. Better than me.

I am always worried and will keep worrying I'm sure. I'm back on WW (most days) and am struggling to stay motivated on it, but I have lost three pounds. I need to lose probably 10+ more - I gained some at the holidays that I never lost and probably put on a few too. Since mid-May I have been getting up to walk at 7 a.m. three or four days a week before I start my work day. I've been more successful with that than the weight loss, and have walked 114 miles so far. Trying to remember how fortunate we are in the face of this crazy time.
 


Ally APY is dropping down to 0.80% in savings accounts.
Yeah, I saw that writing on the wall coming. I track rates expecting to change very unconventionally, watching some trends and reading reports, and figured it was coming. I'm not set up on Ally for rate alerts, though, so I'll take your word for it about to come.

I haven't paid off my car loan yet. Deciding just at the moment to hold steady. I did make an extra payment just to test the waters on the website, making sure it was going to come off the principal. I will probably make extra payments on occasion for now. I see the Southwest flights are out for next spring break 2021 (hopefully all is well in the world then, knock on wood, metal, anything really....), will take a look and see if anything looks good on the points.

Also @Jen and Ashwin hope all is well
 
Starting that paycheck place at least $50 in savings to get it to at least 1K.
Small is still forward!
and let's talk about this thing I don't do called heights
:rotfl2: I've jumped from a plane.
Plan is to use at least some of the money if there is a 2nd stimulus around the same amount as the last time
Well...let's see if it actually happens.
Hi all, life has been busy and Disboards kind of fell off my radar for a while. I plan to do some catching up this weekend. I hope everyone is well.
You're back!!! :goodvibes
 


New to this group, but so excited because we just paid off our ridiculously expensive truck. We never should have gotten it, I know, but I've done all I can since I've learned, to get it paid off. It's very exciting for me and I'm so proud of us!
Howdy, howdy, howdy! Welcome to the parade! At least you learned quickly! It took me a couple of smacks to the forehead.
 
How do you guys manage paying down your debt given the uncertainty of COVID? This is where I’m struggling with this the most. Do I continue to pay down my home faster or hoard more cash? How are you guys thinking about this?
 
How do you guys manage paying down your debt given the uncertainty of COVID? This is where I’m struggling with this the most. Do I continue to pay down my home faster or hoard more cash? How are you guys thinking about this?
I guess it would depend on job security. Neither of our jobs is uncertain - or maybe I should say not any more than anyone’s is, but COVID has nothing to do with that. If you pay down/off your mortgage, then if you lost your job you wouldn’t have that monthly payment. If you build your savings and don’t pay off the mortgage, you still have that payment but have more cash with which to make it.
 
I guess it would depend on job security. Neither of our jobs is uncertain - or maybe I should say not any more than anyone’s is, but COVID has nothing to do with that. If you pay down/off your mortgage, then if you lost your job you wouldn’t have that monthly payment. If you build your savings and don’t pay off the mortgage, you still have that payment but have more cash with which to make it.

If I pay it down faster, I’ll have it paid off eventually faster. More like 10 years from now instead if 20. But both still have me with a mortgage during COVID.
 
How do you guys manage paying down your debt given the uncertainty of COVID? This is where I’m struggling with this the most. Do I continue to pay down my home faster or hoard more cash? How are you guys thinking about this?

It's easy for us because my husband's job is as secure as they come, plus he has a guaranteed pension as well.

We are hoarding cash right now. This situation may finally change us from renters to homeowners in a few years. Kinda hoping to see a huge housing market/mortgage crash so we can get in on it.

The general advice from smart financial types right now is DO NOT sink extra money into your mortgage. The idea is that the equity in your house can't be tapped in an emergency like liquid cash can be. Also, many lenders are stopping Home Equity lines of credit at this time so you can't count on that. Hoard cash. It's what they are all recommending people do to weather this uncertain time.
 
If I pay it down faster, I’ll have it paid off eventually faster. More like 10 years from now instead if 20. But both still have me with a mortgage during COVID.

Have you considered refinancing to take advantage of these amazingly low rates? You might be able to refinance to a 15 year mortgage for a similar monthly payment.
 
Have you considered refinancing to take advantage of these amazingly low rates? You might be able to refinance to a 15 year mortgage for a similar monthly payment.

I expect rates to go even lower next year. I’m expecting a really bad Q1.
 
It's easy for us because my husband's job is as secure as they come, plus he has a guaranteed pension as well.

We are hoarding cash right now. This situation may finally change us from renters to homeowners in a few years. Kinda hoping to see a huge housing market/mortgage crash so we can get in on it.

The general advice from smart financial types right now is DO NOT sink extra money into your mortgage. The idea is that the equity in your house can't be tapped in an emergency like liquid cash can be. Also, many lenders are stopping Home Equity lines of credit at this time so you can't count on that. Hoard cash. It's what they are all recommending people do to weather this uncertain time.

Makes sense to me.
 
I know it's mainly money saving on the board, but is anyone else planning to get Mulan next month on Disney Plus? I am. Have only spent about $150 this whole summer on entertainment (not including streaming Hulu and Netflix monthly costs). Did not sign up for our pool membership this summer.

How do you guys manage paying down your debt given the uncertainty of COVID? This is where I’m struggling with this the most. Do I continue to pay down my home faster or hoard more cash? How are you guys thinking about this?
We don't own a home right now. But, we are planning at some point in a couple years (maybe even late next year-rates) to buy. With that, relocating, furniture, etc., we need a cash position (savings vs. investment) based on the timeline. I wouldn't even mind not buying, and just moving to Costa Rica (though the rest of the family, probably not so much!). I'm doing our Roths, and that's about it. Everything else is savings account. I will throw some extra payments along the way to the auto loan and get it done quicker. Slightly wondering if the markets are artificially high.......but anyway, that's a whole other topic!
 

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