Savings: I transferred $120 into savings for AS's retirement, and about US$606 into UK savings for the baby/emergency fund. In total, $726 saved, $49 to go on October savings.
Debt: The following payments hit--
US mortgage: $283 to principal
UK #1: $256
UK #2: $54
UK #3: $58
All told, $651 down, $1949 to go on the October debt goal.
So as I've been mentioning--repeatedly, cause I'm so excited about it--our mortgage rate is going to adjust for the better for our Nov. 1 payment (and the next 11 payments after that). Well, as I was checking the mortgage balance, I remembered that the site can give you details of the next payment, like how much is going to principal, how much to escrow, etc. I checked out our new payment. It's going to be about $190 smaller, and it's going to pay about $90 more in principal per month! That means not only is our principal balance going to go down $90 faster every month, but we're actually paying $280 less in interest each month. How sweet is that? We were paying about 45% of our total household debt payments toward interest, escrow and other fees, but now it's down to 40% in one fell swoop!
October savings & debt repayment progress
October 1st, 2009 at 02:57 pm
October 1st, 2009 at 03:12 pm 1254409927
The overage would go to extra principal payments, yes??
Can you do that or do you have other plans for those dollars?
October 1st, 2009 at 03:23 pm 1254410587
For the next few months the extra is going toward knocking out my ugly personal loan. That should be gone by mid-January and then I'm going to snowball that payment with my extra mortgage money and focus on paying back some of the $6000 I still owe my dad. (I've been managing about $1000 a year average but I want to get that debt off my shoulders and out of our relationship!)
Once the baby is born, all bets are off. I think what I'm going to do is create a lump-sum line item of all the surplus we have in our budget each month. Baby's needs get taken care of first, and anything we have left over goes to paying off my dad.
So I do have exciting plans for it, but not snowballing the mortgage.
October 1st, 2009 at 03:37 pm 1254411449
October 1st, 2009 at 05:18 pm 1254417524
October 1st, 2009 at 05:54 pm 1254419664
I would love to refi before the year is up, but I seriously doubt I will have paid off enough principal, or regained enough home value, to be eligible for refi. Right now we owe about $16K more than the current value of the condo, and I think you need at least 10% equity to refinance to a good fixed rate.
October 2nd, 2009 at 06:29 am 1254464995