# Debt Consolidation - Anyone ever take advantage of this? **URL:** \ **Category:** Shift518 Off Topic\ **Created:** [February 26, 2010, 8:25am UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555 "2010-02-26T08:25:27Z")\ **Posts on this page:** 15\ **Page:** 2
**Author:** ![Murrdog9000](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/murrdog9000/32/6391_2.png) [@Murrdog9000](https://forums.speedlife.net/u/Murrdog9000)\ **Post date:** [February 26, 2010, 4:54pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/21 "2010-02-26T16:54:46Z")
If your really thinking about getting out of your debt… just take out a personal loan to pay it all off. ---
**Author:** ![JClark](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/jclark/32/6309_2.png) [@JClark](https://forums.speedlife.net/u/JClark)\ **Post date:** [February 26, 2010, 5:21pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/22 "2010-02-26T17:21:54Z")
> [@Strip Clubs: the poll (pole?)](https://forums.speedlife.net/t/strip-clubs-the-poll-pole/29611/10): > > If your really thinking about getting out of your debt… just take out a personal loan to pay it all off. Not always a great idea. Just my $.02. ---
**Author:** ![OsoiNA6](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/osoina6/32/6301_2.png) [@OsoiNA6](https://forums.speedlife.net/u/OsoiNA6)\ **Post date:** [February 28, 2010, 6:44pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/23 "2010-02-28T18:44:44Z")
> [@WNY Autox ECCN 5/20](https://forums.speedlife.net/t/wny-autox-eccn-5-20/29290/65): > > Very good to know. Thanks! > > The rate was 5%. Which is the same as my mortgage. > > That I was not aware of. Like you said that right there will stop me with this plan. Just the risk involved, that I didn’t know of is not worth it like you said. > > **I am not taking it anyway buddy, I asked the questions and put myself out there because I am looking for answers** and have no problem sharing some personal information to get on the right track… Plus it might help others out that might be in boat too, who knows. > > My job is rather stable. And you’re correct, I spent a lot of money poorly this year. A lot of things came up rather quickly and I should have thought more before I jumped on some stuff. It’s a learning experience and I am working on that now. > > Your correct. I spend money sometimes like it’s going outa style! I am not ashamed of it, it is what it is. I ran into some bad luck and had a lot of things break that needed fixing all in a short period of time. The money I did save got blown to keep up. I am working on digging myself back out. The biggest thing was a job change, that I stepped backwards a little in pay, but made up for it with stability. > > I am not trying to trick myself into getting what I want, and can’t afford. I am thinking in the long run actually, and making sure I can do what I want to do. I understand that the $600 less a year in apr isn’t squat in the big picture. I was looking at it, thinking that being able to pay off my debts to the lenders would lift some pressure from my shoulders. I have 2 years left on the current auto loan, the school is pushed out for a long time and the credit card could technically be indefinite. If I put it all into a loan that was 5 years or so, it would even out I think, and even with the extra 3 years + on say the balance of the auto loan and my projected payback on the credit card. The convenience of paying all those bills off with a single payment would be helpful to me because I haven’t had a good track record of planning in advance for things. > > I think the best thing I can do at this time is pay off the small balance on the 24% card… its only $255. Then ask them to reduce that APR just because. The best thing I did was destroyed the 2 credit cards I have open. That way I can’t possibly put any more debt on them. If for some reason I had major problems and needed to I could ask for a replacement card. The second card at 9% I will call up to see if there is a way I can drop it a bit more. I have made some good progress in the last year or so with my debts. A lot of the money I made on side projects and what not I put %100 into paying down my debts. I will continue to do that too. > > I will just keep paying my personal debts as they are, and just do the garage between Steff and I under the mortgage. Like you said the lift, and tools are wants, your correct. But all of those things are long term investments. The major tools I purchased in the last few years, I will keep for a long time. The side work I do, pays for them. Each one I purchased was used with money I made from a project, there was very little out of my paycheck going into them. The only thing I need to pay for to build the garage is the materials and the concrete slab… the excavating and construction will be done by myself. All the remodeling to the house was done at a materials cost also, and because of that I am way ahead on that. > > I want to give you a big thank you for the time you put into that reply. I really appreciate that. Glad the post was helpful to you… I think your approach to paying your stuff down is good and you are taking some good steps here. Props for being able to do all the DIY / construction stuff, when it comes to practical skills like that I admire people who can do it… Also, I realize that your side work earns money, and if you love doing it then that’s great. Remember to be practical about it and take a look at the return on investment (how long it will take you in terms of hours/weeks/months/years to pay off your purchase… Even if you do it for leisure, it’s still nice to know what your payback is… After all, your time is worth something as well. Very easy to “justify” purchases one already wants saying it will earn \_\_\_\_\_ but then in the end sometimes a look at the hard numbers is a good reality check. Good luck!! ---
**Author:** ![deadbeatrec](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/deadbeatrec/32/6401_2.png) [@deadbeatrec](https://forums.speedlife.net/u/deadbeatrec)\ **Post date:** [February 28, 2010, 7:08pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/24 "2010-02-28T19:08:28Z")
if u really think these things work and benefit u in the long run, then u should be taken advantage of and be in debt the rest of ur dumb life. ---
**Author:** ![Hooked\_on\_240](https://avatars.discourse-cdn.com/v4/letter/h/b9e5f3/32.png) [@Hooked\_on\_240](https://forums.speedlife.net/u/Hooked_on_240)\ **Post date:** [February 28, 2010, 9:34pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/25 "2010-02-28T21:34:49Z")
Personally… Cash is king, You dont have it… Dont spend it… Unless its something like a house…etc. I Love having no loans. 🙂 ---
**Author:** ![Murrdog9000](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/murrdog9000/32/6391_2.png) [@Murrdog9000](https://forums.speedlife.net/u/Murrdog9000)\ **Post date:** [February 28, 2010, 9:35pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/26 "2010-02-28T21:35:42Z")
> [@\*\*\*\*\*Official: Mighty Meet Thread\*\*\*\*\*](https://forums.speedlife.net/t/official-mighty-meet-thread/10918/1892): > > Not always a great idea. Just my $.02. How come? ---
**Author:** ![Hooked\_on\_240](https://avatars.discourse-cdn.com/v4/letter/h/b9e5f3/32.png) [@Hooked\_on\_240](https://forums.speedlife.net/u/Hooked_on_240)\ **Post date:** [February 28, 2010, 9:40pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/27 "2010-02-28T21:40:46Z")
> [@\*\*\*3rd annual upstate Honda-tech Meet!\*\*\*](https://forums.speedlife.net/t/3rd-annual-upstate-honda-tech-meet/29145/18): > > You NEVER save money by spending money. I love this quote for a couple reasons but the first thing that comes to mind is when my gf is like " JEFF!!! I could save 25% off that $100 dress!!!.." Me- I know how you can save $100 off the bat! ---
**Author:** ![kramerbuccs24](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/kramerbuccs24/32/6397_2.png) [@kramerbuccs24](https://forums.speedlife.net/u/kramerbuccs24)\ **Post date:** [February 28, 2010, 9:52pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/28 "2010-02-28T21:52:39Z")
\*$75 ---
**Author:** ![JClark](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/jclark/32/6309_2.png) [@JClark](https://forums.speedlife.net/u/JClark)\ **Post date:** [March 1, 2010, 3:01am UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/29 "2010-03-01T03:01:11Z")
> [@I hate cars......](https://forums.speedlife.net/t/i-hate-cars/29655/43): > > How come? The rates on non-secured loans like personal loans are usually pretty high to begin with (not always, credit unions are a great thing), but will almost always be seriously high if the person has lots of debt to begin with. If they are seriously in the red, unsecured loans have no recourse if the person goes totally Failvis. In a way, it’s doing the same thing as the consolidation people, but before you get the money they evaluate your credit not knowing you’re going to use it to pay all the other debt off and they wont just take your word for it. So to them, you’re taking out an additional $XX,XXX without any collateral. Unless you’re saving money (rate and/or term), it can just make it easier and more simple at best by giving you just one monthly bill at a time. You’re better off crying to the CC companies that you’re “in a unsustainable situation and need help on the interest rate to remain solvent so you dont go totally Failvis and then they’ll never get paid.” :ninja Cleverly weaseling out of your obligations is the American way. Dyslexia is on overdrive today, not proofread for spelling. :facepalm ---
**Author:** ![KrazyKid](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/krazykid/32/6371_2.png) [@KrazyKid](https://forums.speedlife.net/u/KrazyKid)\ **Post date:** [March 1, 2010, 8:16am UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/30 "2010-03-01T08:16:59Z")
Jclark lots of good info in there. Thanks man! I purchased the cheapest house on a very high dollar road. My neighbors house if $650K, and the rest of the houses on that road are $300-$700K houses. I fully gutted, wiring, plumbing, blow in insulation… and put high end everything in. Corian, granite, high end cabinets, fixtures… $50K in materials, at contractors cost. A remodel on that scale would cost $120K+ if my father’s companies were to come in and do it all. My mother was in real state for 15 years and gave me some figures already… I am doing well to say the least with the house. I guess the thing to consider with all this is the consolidation plans use my home and other things as collateral, which not saying I am sketchy with making payments on time, exact opposite actually, just having that hover over my head if I went that road is enough to detour me. The only debt I have over 5% apr is that 4K card, and my car loan. I will just have to do some quick math and see what I can max a monthly payment for that card comfortably and get that paid out asap. the car will just go at it as I am. I appreciate all the help and useful information. I am sure a lot of other people out there are reading this and it might be helping them out too. THANK YOU. ---
**Author:** ![JClark](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/jclark/32/6309_2.png) [@JClark](https://forums.speedlife.net/u/JClark)\ **Post date:** [March 1, 2010, 11:43am UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/31 "2010-03-01T11:43:28Z")
No prob. It sounds like you have a pretty good handle on your situation, so you’re automatically not the person those companies are looking for. Also you most likely wont get an interest rate anywhere near 5% with something backed by home equity. Home equity loans are a secondary loans, mortgages being primary. Meaning if you default and they have to take action, the mortgage bank has first dibs on the collateral, the secondary lien holder (home equity) has second dibs. To the banks, that’s more risk which = a higher rate for you. Considering the market/economy/blah blah, its even higher risk than usual. I’d clean out that high rate card and refi the car if you can or at least make sure the term isnt something crazy like 72+ months. Debt sucks. Rich people earn interest, young people pay interest. :banghead ---
**Author:** ![KrazyKid](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/krazykid/32/6371_2.png) [@KrazyKid](https://forums.speedlife.net/u/KrazyKid)\ **Post date:** [March 1, 2010, 12:53pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/32 "2010-03-01T12:53:59Z")
> [@JClark"](#): > > No prob. It sounds like you have a pretty good handle on your situation, so you’re automatically not the person those companies are looking for. > > Also you most likely wont get an interest rate anywhere near 5% with something backed by home equity. Home equity loans are a secondary loans, mortgages being primary. Meaning if you default and they have to take action, the mortgage bank has first dibs on the collateral, the secondary lien holder (home equity) has second dibs. To the banks, that’s more risk which = a higher rate for you. Considering the market/economy/blah blah, its even higher risk than usual. > > I’d clean out that high rate card and refi the car if you can or at least make sure the term isnt something crazy like 72+ months. Debt sucks. Rich people earn interest, young people pay interest. :banghead Thanks buddy. When my tax guys gets back to me with, and hits me with the federal pound my ass bill, I am going to set up an appt with my bank and see what they say about the garage situation. My car should be paid off in 2 more years. argh. ---
**Author:** ![CRD](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/crd/32/6576_2.png) [@CRD](https://forums.speedlife.net/u/CRD)\ **Post date:** [March 1, 2010, 1:45pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/33 "2010-03-01T13:45:01Z")
I read through that list of expenses and did see any money going to savings for the wedding, wtf? ---
**Author:** ![Murrdog9000](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/murrdog9000/32/6391_2.png) [@Murrdog9000](https://forums.speedlife.net/u/Murrdog9000)\ **Post date:** [March 1, 2010, 3:20pm UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/34 "2010-03-01T15:20:32Z")
> [@So how do I drive the CLK back home?](https://forums.speedlife.net/t/so-how-do-i-drive-the-clk-back-home/29661/9): > > The rates on non-secured loans like personal loans are usually pretty high to begin with (not always, credit unions are a great thing), but will almost always be seriously high if the person has lots of debt to begin with. If they are seriously in the red, unsecured loans have no recourse if the person goes totally Failvis. > > In a way, it’s doing the same thing as the consolidation people, but before you get the money they evaluate your credit not knowing you’re going to use it to pay all the other debt off and they wont just take your word for it. So to them, you’re taking out an additional $XX,XXX without any collateral. > > Unless you’re saving money (rate and/or term), it can just make it easier and more simple at best by giving you just one monthly bill at a time. You’re better off crying to the CC companies that you’re “in a unsustainable situation and need help on the interest rate to remain solvent so you dont go totally Failvis and then they’ll never get paid.” :ninja Cleverly weaseling out of your obligations is the American way. > > Dyslexia is on overdrive today, not proofread for spelling. :facepalm Yah I hear yah your saying… but like for me, I would do what you said just so I could get the credit card companies off my back and just have that one payment a month. ---
**Author:** ![KrazyKid](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/krazykid/32/6371_2.png) [@KrazyKid](https://forums.speedlife.net/u/KrazyKid)\ **Post date:** [March 2, 2010, 5:49am UTC](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555/35 "2010-03-02T05:49:52Z")
> [@I hate cars......](https://forums.speedlife.net/t/i-hate-cars/29655/73): > > I read through that list of expenses and did see any money going to savings for the wedding, wtf? Thats casue I know steff doesnt sign into shift to find out! BTW weddings only cost $59.99 in vagas. [Previous page](https://forums.speedlife.net/t/debt-consolidation-anyone-ever-take-advantage-of-this/250555.md?page=1)