So currently I have a mass of debt that I need to pay off. I’ll give you a breakdown first:
Personal:
$10k Discover @ 0% until November 2019
$26k Family loan 1 @ 0% (Payment is $2k a month)
$28k Car loan @ 7.5% (Paid for by business, for business use but on personal credit)
$33k Family loan 2 (Total interest is included, no fixed payment plan)
Total non mortgage debt: $97k
Income:
$6000/month salary (self employed)
$1500/month (profits from 3 businesses)
$7500/month income
Monthly Expenses:
$1760 Mortgage (10 yr. at 8%, $132k balance)
$2200 Debt (Discover/Family loan 1)
$750 Bills (Internet/Phone/Utilities)
$500 Food
$400 Life insurance
Total expenses - $5610/month
At this point, where should I start? The reason I made this post is because I just finished paying off a $2k a month family loan and which frees up space in my budget.
Also, I don’t have an emergency fund. Do you think it’s necessary in my situation? I feel like I should just pay off debt and use a CC for emergencies. I have 3 kids and a wife.
Please let me know your thoughts on this mess that I am digging myself out of. Thanks!
Edit: I will be looking into our life insurance and seeing if I can cut it down. Mortgage interest is high because it’s a private loan, I was denied a traditional mortgage twice in the past 5 years.
Edit 2: I am going to shop around and refi my car. My credit score has gone up since I got the loan so I’ll add that to my list of stuff to fix.
Submitted March 24, 2019 at 09:25AM by ZeldaGamer1 https://ift.tt/2OqST2E
