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    Volthian

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    [–] Thought I’d park beside where the Challengers tend to hangout... Volthian 6 points ago in Mustang

    Oh dang nice. It looks oddly similar to a sewage treatment plant I visited on a class trip a while back 😂 and thanks!!

    [–] Thought I’d park beside where the Challengers tend to hangout... Volthian 8 points ago in Mustang

    I think the joke is that the background is a sewage treatment plant...?

    [–] Defense of Borrowing Volthian 0 points ago in StudentLoans

    Are you asking how to borrow student loans?

    Fill out your FAFSA at fafsa.gov to get lower interest rate federally subsidized student loans or pell grants. If that doesn't fully cover your tuition statement, see about getting scholarships or assistance through your school. Failing that, apply online with various lenders like Discover, Ally, Navient, et al, with a co-signer ready to take responsibility for the debt should you fail to pay. Recommend only taking out what you absolutely need to cover tuition and basic living, don't over-borrow to have extra spending money twice a year.

    [–] Student Loan through US Co-signer Volthian 1 points ago in StudentLoans

    I've only ever needed to get one rather small private loan for school, but when I did so I got it through Discover, so that's the only company I can personally speak for.

    That said, Discover has been pretty good for me personally. Basically you'll go through their loan application, state how much you need on your loan, enter personal info and such, complete the application, and then send it to your co-signer who will review it and sign on. Then you get to pick the various loan options, typically 3 types with fixed, variable, and pay during school or defer until after. You can just email them an invite to the loan and they just need to make an account to access it.

    An 8.31% interest rate is high, but its not unheard of for student loans. My current private student loan is at 9.44% variable, and my federally subsidized/unsubsidized loans hover between 4-5.5%. So its not out of the realm of possibility.

    Hope this helps!

    [–] Hit loans harder or enjoy some savings? Volthian 2 points ago in personalfinance

    Avalanche v.s Snowball repayment methods are both great. Whatever you feel comfortable doing is what you should do. I prefer the Snowball method because you can get rid of all of the annoying, small loans, and just focus on the big ones. And if you were really adhering to the avalanche method, you'd be OK with paying off your car early, just saying. Car loans are still debt.

    You don't have to diminish your savings that low. Dave Ramsey has a system of 'Baby Steps', step 1 is to get $1k in savings in the event of any car issues or medical bills, etc etc. If you have to use those funds, you simply just replenish it after you use it and then start back on the loan payments after.

    This sub is very protection oriented, which isn't a bad thing. I think a savings of $2k or $3k should be OK for you all right now if you're wary about going too low. The savings are there for car breakdowns and the like. Don't feel bad for using it for those things.

    As far as the wedding/celebration goes, you simply cash flow it. Add a weekly or monthly payment into your "Wedding/Celebration Fund" of X dollars built into your budget so that you have a fund amount of your desired total by the time you need to use it. For example, if you need $5,000 saved in 1 year for that, simply put $416 per month aside for that fund, or about $100 per week. Put it in an envelope at home or keep it separate from your checking account funds.

    If you half-do the debt repayment you'll be paying on these loans for ever. That's why I personally recommend tackling your loans head on first so you can be done with them and be debt free. Millions of people do this every year!! You can do it too.

    [–] 5 loans...which to pay off first? Volthian 3 points ago in StudentLoans

    There are generally 2 methods of paying off loans. Going from highest interest rate to lowest, or from smallest loan to largest.

    There are benefits for both, but I personally like the snowball method (going from smallest loan to largest). It basically works by making minimum payments on all of your loans and putting ALL extra cash towards that first loan, then rolling over all of that extra money + the minimum payment onto the next loan, and so on. Both methods are correct, neither are inherently wrong, and you'll end up paying all of the loans off around the same amount of time with either method.

    [–] Hit loans harder or enjoy some savings? Volthian 1 points ago in personalfinance

    I'm a fan of Dave Ramsey, so I will sort of use what his system is in my answer to your question. The short of it is that you should stop funding retirement accounts until all of your debts are paid off.

    Take your savings account down to $1,000 from $12,500 and use that $11.5k to pay off some of the student loans. Typically, Dave Ramsey recommends listing the debts smallest to largest, paying the minimum on all of them, attacking the smallest with everything you've got, and then using those funds + the minimum to attack the next one, and so on, and so on.

    So this is the order he recommends paying it off in:

    • Loan F (Paid by savings) - use minimum payment for loan A
    • Loan C (Paid by savings) - use minimum payment for loan A
    • Loan B (Paid by savings) - use minimum payment for loan A
    • Car loan (Paid by savings) - use minimum payment for loan A
    • Loan A
    • Loan E
    • Loan D
    • Loan G
    • Loan K
    • Loan H

    Ultimately, you're $118,000 in debt and broke. You need to cut your expenses and increase your income, which it appears you're already set on doing by your certification training, but you really need to jump onto these loans as quickly as possible and pay them down. Debt is debt, and as Dave would say, "the borrower is slave to the lender".

    [–] Is 'family liability protection' and 'personal liability insurance' the same thing? Volthian 1 points ago in Insurance

    Thanks for the info! I’ll definitely reach out to make sure everything lines up correctly.

    [–] 23 yo, sudden 180k inheritance, what now? (GER) Volthian 2 points ago in personalfinance

    180k

    Pay off apartment: 141,000

    Pay student loans: 121,000

    Buy a used car: 116,000 - 112,000 (5-9k is really the highest you need to go for good reliable vehicles).

    Put 6 months of expenses in a high yield easily accessible savings account, like Ally.

    Max out a Roth IRA/401k for 2018 and 2019: 5,500 for IRA and 18,500 for 401k

    Invest the rest with a financial adviser. Don't screw around learning how to invest with this amount of money left over. Leave yourself 1 or 2k if you want to play with stocks but don't do anything more than you're OK with losing. Gold and silver are not really good investments imo.

    [–] Is there any downside to financing a purchase at 0% APR? Volthian 1 points ago in personalfinance

    The downside for me, personally, is reducing monthly cash flow by financing it when you don't need to. Why not just pay for it up front? Buy once, cry once. There are sometimes also catches about paying the end of the loan by a certain time or date or they charge a ridiculous fee like 25% interest for being late, so make sure you read the fine print if you do decide to finance.

    [–] Understanding the Millionaire Next Door 22 Years Later Volthian 7 points ago in personalfinance

    This was the exact answer I was going to give, not sure why it's not higher up

    [–] Best option for personal student loans? Volthian 1 points ago in personalfinance

    You need to create a budget and see where you're at.

    Rent: $460 Utilities: $100 Groceries: $200 Gas: $200 Insurance: $150 Fun: $60 Total: $1,170

    Income: $950

    Defecit: $220

    So where do we get this $220 per month back? Well, for starters: Why are you paying $200 a month in gas? I drive 30 miles to work 6 days a week and drive to class and spend at most $150 per month. Is ubering cheaper than driving yourself? Ask the ice skating rink to pay you for your work rather than giving you free skate time. You can't afford not to.

    Insurance: What are you paying $150 in insurance for? Call your insurance company and see if you can get a lower rate or call and shop around for lower rates.

    Groceries: Meal prep. Use coupons and sale codes to only ever buy food that's discounted.

    It's not impossible to live off of what you're making but you need to be smarter about what you're doing.

    [–] Obtaining a private loan for Grad School Volthian 1 points ago in personalfinance

    Are you looking for loans for the spring semester or next year? If its the latter then just wait until the position is filled, you've got plenty of time, but I'd be very surprised if a college of any size only had 1 financial aid adviser working for them for every student.

    [–] Weekday Help Thread for the week of September 24, 2018 Volthian -1 points ago in personalfinance

    Because that 500-600/month is a recurring cost hindering cash flow. I don't understand why people are so willing to take out car loans for tens of thousands of dollars. That's five to six hundred dollars a month for the next SIX YEARS. If they pay off the car now, which they're able to do from the looks of it, that's $43,200 in positive cash flow over the same six years. They'll make their money back and more over the loan term rather than paying monthly on a depreciating asset.